Extra two billion Euros to be spent on new energy including clean coal
1 May 2006
An additional EUR 2 billion will be spent on new energy technologies by Germany's government over the 2006-2009 period, it says, with industry expected to match that level of investment. The money -- which comes on top of the EUR 40 billion already allocated to renewables up to 2012 -- will be spent on several projects. These include the Offshore Stiftung, the 12 turbine offshore wind power test project initiated by Germany's previous government last year, and "extensive investments" in clean coal technology. The news followed the government's April 3 energy summit, hosted by Chancellor Angela Merkel to discuss its strategy to 2020. Turbine manufacturer Enercon represented the wind industry. Renewable energy is at the heart of the government's plan, with the EUR 40 billion to be spent on an additional 19,000 MW of renewables capacity to 2012. It is more money than allocated to the conventional power sector: EUR 30 billion is going to gas and coal power station, mainly to replace old plant, though some money is for new network capacity. Of the renewables budget, wind energy is allocated some EUR 13 billion for the addition of 9700 MW of new wind capacity by 2012. The cost of green power will be reviewed next year when an assessment of the premium feed-in tariffs is conducted, as required under the renewable energy law. In addition, an amendment to the law coming soon will cap the cost of the renewable energy levy to energy intensive industry at EUR 0.0005/kWh. It will also allow energy regulator Bundesnetzagentur to check that network companies are correctly passing on the additional costs of renewables to the consumers.
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