Promoting Renewable Energies – in Germany and worldwide Dr. Karsten Sach at Eco Cities of the Mediterranean Forum 2008 October 20, 2008

2 I. Renewable Energies in Germany - Status and Perspectives –

3 1.Renewable Energy in Germany 2.Renewable Energy policy 3.Impacts Content

4 Structure of primary energy consumption in 2007

5 Structure of Electricity Supply in 2007

6 Development by Sector

7 Development of Electricity Generation

8 1.Development of Renewable Energy in Germany 2.Renewable Energy policy 3.Impacts Content

9 Targets for Renewable Energies European Council (March 2007): Binding target of 20 % share of renewable energy of final energy consumption by 2020 for Germany: 18 % of final energy consumption

10 Targets for Renewable Energies Targets of the national Integrated Energy and Climate Programme (2007) for 2020:  minimum 30% share of RE in gross electricity generation until 2020  14% share of heat final energy until 2020  12-15% RE in fuel final energy until % of final energy consumption

11 Policy Instruments Electricity: Renewable Energy Sources Act  Feed-in system Heating & Cooling: Renewable Energy Heat Law  installation obligation Market Incentive Programme  Grants and loans

12 Biofuels > Blending obligation/Quota Research and Development > Funding: more than 100 Mio € in 2008 Policy Instruments

13 Main Instrument for promoting electricity generation from renewable energy: Renewable Energy Act  Feed in Tariff System Priority access to the power grid, transmission and distribution for RE Obligation of grid operators to purchase the electricity produced from RE Renewable Energy Act (EEG)

14 Fixed price (“tariff”) for every kilowatt hour produced from RE for 20 years All different types of RE are considered and tariffs are differentiated by source and size of the plant Annual decrease of tariffs to follow the technical development (degression of -1,5% - -6,5%) Renewable Energy Act (EEG)

15 Additional costs for electricity from RE (Tariff minus market price) are equalised between all grid operators and electricity suppliers Additional costs are passed on to the consumer to balance geographically (additional fee per kWh) Renewable Energy Act (EEG)

16 Amendment of EEG in 2008 Evaluation of policy in 2007 Amendment in 2008 on the basis of review Amendment effective from 1 January 2009:  Overall structure of EEG remains  New target: Minimum of 30% electricity  new tariff structure reflecting priorities (wind offshore, biomass, integration)

17 29 measures agreed by the Government in August 2007 at Schloss Meseberg Target: - 40 % GHG until 2020 compared to 1990 To implement EU energy & climate policy Integrated Energy and Climate Package (2007): Strong support for renewable energies

18 1.Development of Renewable Energy in Germany 2.Renewable Energy policy 3.Impacts Content

19 Dynamic New Industry

20 Job Creation

21 Climate Protection

22 II. International Renewable Energy Agency -IRENA- Promoting Renewable Energy Worldwide

23 Content 1.The case for IRENA 2.What will IRENA do? 3.The way towards IRENA 4.Cooperation with other organisations

24 1. The case for IRENA Urgent global challenges related to energy issues: Global warming Depleting natural resources Unequal distribution of energy sources Arising conflicts IRENA will help to mobilise the huge potential of RE to: mitigate climate change ensure energy security foster economic development encourage human development

25 Why IRENA? Until now, there exists no international governmental organisation that o solely concentrates on renewable energy (comprising all types of renewables), o gives concrete and active policy advice to governments (on the national, regional and local level) and, o offers equally support to industrialised, emerging and developing countries. IRENA will close this institutional gap.

26 2. What will IRENA do? Providing concrete policy advice for developed and developing countries 1 Promoting technology transfer and providing advice on financing 2 Enhancing capacity building 3 IRENA’s main activities include:

27 IRENA‘s integrated approach The integrated approach comprises: - all types of renewable energy, in a sustainable manner - RE’s role in the overall energy system - an intergovernmental organisation - with industrialised, emerging and developing countries (no limitation of membership) - involving all stakeholders from governmental organisations, industry, academia, institutions and civil society

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29 REEEP REN21IEA UNEP WBG Etc. UNIDO FAO UNDPIRENA Join forces Examine potential for future cooperation Enhance synergy Initiate variety of exchanges 4. Cooperation with other organisations

30 Thank you very much ! More information is available at: