1. Renewable Energies in Germany János Büchner, energiewaechter GmbH Consultant to the Initiative “renewables – made in Germany” of the German Federal Ministry of Economics and Technology (BMWi) Serbian-German Conference & Trade Mission on Geothermal Energy, Belgrade, 25. September 2012 www.renewables-made-in-germany.com www.exportinitiative.bmwi.de

2. Content  The Initiative renewables – made in Germany  Political developments and framework for REs in Germany  Market development of REs in Germany and economic effects  Geothermal Energy and Heat Pumps in Germany  Presentation of German Company representatives

3. The Initiative renewables – made in Germany

4. Goals of the Initiative renewables – made in Germany  Scheme coordinated and financed by the Federal Ministry of Economics and Technology  Contribution to global climate protection through support of advanced RE-technologies  Contribution to international knowledge transfer through patents and joint ventures  Support of German SMEs entering foreign RE markets

5. The Initiative renewables – made in Germany on the Web www.renewables-made-in-germany.com  Info on upcoming events: Business trips, trade fairs, information trips for foreign decision makers to Germany  Information on German companies and institutions  Information on actual market developments www.renewablesb2b.com  Virtual Market Place; B2B platform

6. RE development in Germany and economic effects

7. Germany’s Energy Turnaround in 2011 Fukushima led to Germany’s energy turnaround by cabinet decision in June 2011:  Nuclear power phase out until 2022… …while keeping the aim to  reduce GHG-emissions until 2020 by 40% and until 2050 by 80% (compared to 1990)  Increase share of Renewables to 35% of electricity consumption by 2020, by 2030 to 50%, 2040 to 65%, 2050 to 80%  Increase final energy consumption share of REs to 18% in 2020, 45% in 2040 Positive effects  Cutting dependency on fuel imports  Creation of jobs in a future market / employment in the RE sector

8. Main Instrument to Promote REs ( ELECTRICITY production)  Act on Granting Priority to Renewable Energy Sources (EEG)  Fixed Feed-In tariffs (FITs) over 20 years guaranteed by law for RES system operators  Grid operators are obliged to connect RES systems to the grid and to buy the electricity from the system operators to set prices  Tariffs vary according to the source of energy, e.g. biomass, PV, geothermal energy etc.  Amendments to the EEG at regular intervals in order to adjust the act to current development of markets and (competitiveness of) technologies  Example: FITs for geothermal electricity production increased 2012. Depending on technology up to 23, 25 or even 30 ct/kWh (e.g. petrothermal projects). Gross production factored (incl. own energy consumption of pumps etc.) FITs for Photovoltaics - in contrast - decreased

9.  Renewable Energies Heat Act (EEWärmeG)  Minimum share of heating energy supply from REs for new buildings usually obligatory  Obligations depending on the technology/ies used (e.g. biomass and heat pumps: 50%, solar thermal 15%)  Market Incentive Program for Renewable Energies (Marktanreizprogramm / Federal Environment Ministry)  Financial contributions / beneficial loans for certain REs investments  Loans by KfW Bankengruppe (KfW Group) - National business development bank:  subsidised loans for energy-efficient housing and RES Main Instruments to Promote REs ( HEAT production)

10. Germany’s Energy Turnaround today Act on Granting Priority to Renewable Energy Sources remains major instrument to boost Res Challenges:  R&D promotion for energy storage technologies  Increase of energy saving and efficiency  Speed-up grid expansion

11. Development of RES in Germany - some figures

12. Renewable Energy Sources Shares of Total Final Energy Consumption in Germany 2011 Source: Development of renewable energy sources in Germany 2011 provided by BMWi

13. Share of Renewables in Energy Consumption 1998-2011 ELECTRICITY 2011 roughly 20% but some 50% of energy consumption through HEAT production Credits: German Renewable Energies Agency

14. Energy Use of PRIVATE Households in Germany According to Area of Application Source: Arbeitsgemeinschaft Energiebilanzen provided by BMWi

15. Development of RES Share in Reference to Heat Production Source: Federal Ministry of Environment 2012

16. Structure of Renewable-based Heat Supply in Germany 2011 Source: Development of renewable energy sources in Germany 2011 provided by BMWi

17. Federal Government‘s Targets  Almost 1/3 of the GHG-emissions are due to buildings  2011 4,3 % of the national heat consumption was supplied by shallow geothermal energy.  Heat supply share of REs planned to reach 14% by 2020  Potential: 261 bl. kWh, actually 6 bl. kWh installed.  Forecast: 2015 almost 1 m, and 2020 1.8 m heat pumps installed Picture: Bundesverband Wärmepumpe  Some figures: private households consume 30% of final energy consumption. Almost 90% used for heating purposes.

18. Near-surface Geothermal Energy Utilities for Heat Allocation in Germany (5.900 GWh) Source: Development of renewable energy sources in Germany 2011 provided by BMWi

19. Benefits of RE promotion

20. Renewables in Germany: Growth of Total Employment, 2004-2010

21. Renewable Energies in the Hands of the People (example ELECTRICITY production) Credits: German Renewable Energies Agency, 2012

22. Meet the representatives of German companies!

23. German Companies AP Sensing GmbH  Enhanced Geothermal Response Test (EGRT) – Systems for determining thermal soil parameters (thermal conductivity, borehole resistivity)  Contact: Mr. Clemens Pohl 360plus Consult GmbH  Consulting, planning, delivery of required authorizations. Partner in all project stages in the search for energy sources  Contact: Dr. Wolfgang Bauer

24. German Companies Geothermeon AG  Geothermal project developer: prospection, exploration and development of geothermal energy resources  Contact: Mr. Ralph Weidler Soundcore GmbH  sonic rigs, HF technology  Contact: Mr. Paul Eisenkolb

25. German Companies Geothermie Neubrandenburg GmbH  Engineering & geo technical expertise and solutions for geothermal projects  Contact: Dr. Peter Seibt Perforator GmbH  Drill pipes, drilling equipment and tools  Contact: Mr. Wolfgang Waide

26. Many thanks for your attention! Have a fruitful event day! Contact: János Büchner, energiewaechter GmbH E-Mail: jb@energiewaechter.de