Germany shows it's serious about developing alternative energy sources with a program set to...


Germany shows it's serious about developing alternative energy sources with a program set to invest a staggering $137B in renewable energy projects over the next five years. With its strong financial commitment and nuclear power firmly in the rear-view mirror, analysts see the nation positioned to work out the dilemmas and problems that will undoubtedly crop up: "Germany is in a very promising position to be the first industrialized country to rely entirely on renewable energy."

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Comments (10)
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    Short Germany!

     

    Their production costs are going to skyrocket under this scheme - in fact electricity prices already have and this boondoggle hasn't even started yet.

     

    Buy French Nuclear Energy companies.

     

    What a disaster this will turn out to be. Did they learn nothing from Spain's experience?
    20 Oct 2011, 04:05 PM Reply Like
  • TruffelPig
    , contributor
    Comments (4206) | Send Message
     
    Nonsense. Haven't you learned how expensive nuclear energy really is this year?
    20 Oct 2011, 04:08 PM Reply Like
  • Conventional Wisdumb
    , contributor
    Comments (1800) | Send Message
     
    Trufel,

     

    I have no idea where you get your data so back up your assertions. Germany's production costs and standard of living costs will necessarily skyrocket under this regime. Tsunami risk in Germany is about zero unless you know something I don't or you have been All Gore powerpoints.

     

    Spain started it and funnily enough a Spanish philosopher was the first to remind us of the importance of the following:

     

    "Those who cannot remember the past are condemned to repeat it."

     

    George Santayana

     

    From Reuters, Oct 19, 2011, I stand behind my call:

     

    http://reut.rs/qwiEEe

     

    "German industry expects 2012 power bill to rise 9 pct
    * Nuclear output losses result in higher costs for users

     

    * Grid infrequencies, even if small, matter most to industry

     

    * VIK group members might agree to curb usage in return for cash

     

    FRANKFURT, Oct 19 (Reuters) - Germany's big electricity consumers said on Wednesday they expected their power bills to rise by an average 9 percent for 2012, burdening industry amid a weakening economy and rising finance costs.

     

    "Due to the loss of production from eight nuclear plants the supply of power will become tighter," said VIK, their interest group, in a statement issued at its annual press conference.

     

    "This will result in price hikes and on top of that, the network stability and quality of supply will decrease," said Essen-based VIK, which held the event in the capital Berlin."
    20 Oct 2011, 04:31 PM Reply Like
  • kmi
    , contributor
    Comments (4587) | Send Message
     
    A few things:

     

    Germany has experienced OVERcapacity with Wind in the not too distant past.

     

    Germany has some pretty significant domestic interests in solar and wind production, so this is effectively stimulative in the face of a likely weak export environment.

     

    Grid infrequencies is a problem of a past era, modern infrastructure level energy products trend to hybridize and accoutn for generation anomalies.

     

    Germany is cutting 20% of its defense budget, and is moving resources around.

     

    All told, Germany, once again, will make everyone else look not as smart. DAX is suffering YTD and Germany and everyone else knows the export-led golden goose can't survive current global economic realities and is repositioning.
    21 Oct 2011, 10:40 AM Reply Like
  • Tony Petroski
    , contributor
    Comments (6356) | Send Message
     
    The one European country that isn't a basket case and they decide to pursue the Spanish route. Misery loves company.
    20 Oct 2011, 04:13 PM Reply Like
  • TruffelPig
    , contributor
    Comments (4206) | Send Message
     
    Hi-Tech is coming - I wouldn't underestimate Germany.
    20 Oct 2011, 04:19 PM Reply Like
  • Poor Texan
    , contributor
    Comments (3527) | Send Message
     
    "Hi-Tech is coming"

     

    So is the rapture:-{
    20 Oct 2011, 07:43 PM Reply Like
  • TruffelPig
    , contributor
    Comments (4206) | Send Message
     
    Lol, ok.
    20 Oct 2011, 08:10 PM Reply Like
  • vboring
    , contributor
    Comments (203) | Send Message
     
    Long solar, long Germany today. Deficit spending always boosts the economy short term.

     

    Short solar, short Germany in 5 years.

     

    It should be noted that 137B is a comically small amount of money to replace 17 nuclear power plants.

     

    It'll buy them about 41GW of nameplate capacity. At 30% capacity factor, this is good for about 12 GW of intermittent power. The nuclear plants being taken offline are about 15GW of firm power.

     

    To firm up the solar power will require another 5GW or so of gas plants.

     

    Long independant power producers.

     

    Long gas producers.
    20 Oct 2011, 04:19 PM Reply Like
  • kmi
    , contributor
    Comments (4587) | Send Message
     
    Yeah, don't worry too much about energy shortfall, they have already accomodated for it by acquiring Libya.

     

    I'm not long gas producers - since I think gas prices will stay flat near term - but pipeline and transportation and sales to retail (utilities) look good.

     

    Anyone with oil and gas interests in Libya is also a good bet since... well... it's pretty clear what the war there was all about. Most agreements were signed before Gaddafi was close to losing, i.e. lucrative.
    21 Oct 2011, 10:45 AM Reply Like
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