From pv magazine Germany
The leaders of Germany's new government coalition, formed by the Green party, the Liberal party (FDP) and the Social-democrat party (SPD) have presented, yesterday, their 177-page program for the next four years.
In the renewable energy chapter of the document, the government coalition is aiming for the share of renewables in gross electricity demand to rise to 80% by 2030, assuming an increased demand of between 680 and 750 TWh per year. In accordance with this goal, a further expansion of the electricity network is planned and the renewable energy capacities to be allocated through tenders should be “dynamically” adjusted. In addition, more funds will be provided for the further implementation of Germany's renewable energy law (EEG) and long-term power purchase agreements will be supported by more favorable regulatory conditions.
Furthermore, the coalition decided to raise the country's 2030 solar energy target from 100 to 200 GW. The country's cumulative solar capacity topped 56.5 GW at the end of September. This means that another 143.5 GW of PV capacity will have to be deployed during the current decade.
This would require annual growth of around 15 GW and the elimination of growth limits on future new capacity additions. “To this end, we are removing all obstacles, including accelerating grid connections and certification, adjusting tariffs, and planning tenders for large rooftop systems,” the document reads. “We will also support innovative solar energy solutions such as agrivoltaics and floating PV.”
“All suitable roof areas will be used for solar energy in the future. This should be mandatory for new commercial buildings and the rule for private new buildings,” says the coalition agreement. “We will remove bureaucratic hurdles and open up ways in order not to overburden installers financially and administratively. We also see this as an economic stimulus program for medium-sized businesses.”
The agreement also includes the gradual phasing out of all coal power plants by 2030. “That requires the massive expansion of renewable energies that we are striving for,” the coalition stated.
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The coalition’s weak spot is likely to be the appointment of Christian Lindner of the FDP to the Finance Ministry. Lindner is a hard-money deficit hawk in the Schäuble mould, who will block the sensible exploitation of Germany’s nil real borrowing rates for anything resembling a Green New Deal. This may not matter too much for PV and wind generation, which can attract funding from the private sector. But it may well crimp essential spending on early-deployment subsidies for other less mature key elements of the transition, such as electric trucks, residential heat pumps, hydrogen DRI steel, low-carbon cement, ammonia shipping, bulk storage and carbon capture. In 2050, Germans struggling with floods, heatwaves, storms and refugee waves will be able to console themselves that “at least Lindner saved us from a debt burden half that of Britain in 1815”.