German renewable revenues rose 35 pct in 2001
Date: 16-Jul-02
Country: GERMANY
Payments to renewable energy providers last year totalled 1.5 billion euros ($1.49 billion), 0.4 billion more than paid out in 2000, for 18 billion kilowatt hours (kWh) of power at 8.6 euro cents per kWh, it said in a press release.
In the year before, 13 billion kWh had been supplied at 8.5 cents/kWh, VDEW said, citing latest statistics from grid operators association VDN.
By comparison, average wholesale power prices from traditional energy sources coal, oil, gas and nuclear energy in 2001 cost just under two cents/kWh.
Under the EEG, grid operators are obliged to buy renewable power at minimum prices, which vary according to the power source, the size and the age of the installation.
The grid operators then balance out the sum paid out to renewables producers among each other so that there is no unfair burden on grid companies active in regions with a high proportion of renewable power sources, such as coastlines.
Having arrived at an average cost per kWh, they pass on the total subsidy bill pro rata to the electricity they sell to consumers.
Germany's red-green government coalition, which enacted the EEG in the spring of 2000, aims to double the share of power from renewables by the year 2010.
The payments have helped the country's wind, solar, hydro power and biomass sectors expand.