Now it seems that the fairy tales will soon end. Solar energy at 48 cents for the producer can provide the entire republic with electricity. It happened on Whit Monday, 2012!

But:

That is not the price I wish to pay for my electricity. Consequently, I prefer becoming energy autonomous!

Just like we used to have a butter mountain and a milk ocean, we are not producing an energy ocean. The high subsidies and the guarantee that the producer can sell are the Agens (Agens – in philosophy, it means the power that causes something).

Consequently:


If you can produce, it does not necessarily mean you will be permitted to sell.

Instead of following the meritocratic model (those who can provide at the best price will deliver), we have guaranteed subsidies to the tune of 100 billion € (over 20 years) for energy that needs shadow power stations in order to run. Of course, they will not pay, because they would be cheap but not allowed to deliver. Consequently, EON is now reducing non-profit power station capacity.

Then the planning economists come and say you have to forbid the owners to reduce their power station capacity. This is how the distance from the market as created in the EEG (Erneuerbare-Energien-Gesetz) gives birth to bureaucratic monster after bureaucratic monster: you get hundreds of new prices, several new administrative offices and no end to all of it.

Planned economy – this is no longer a scenario anybody is scared of, regardless of the fact that, so far, we have not even paid the debt we owe for the East-German adventure in planned economy.

Now salvation is on its way:

Brüderle (FDP) proposed to replace the EEG with a quantity model. That is not a stupid idea: the most economically run wind energy power stations would deliver, but not all of them. At long last, there would be competition between all the providers of alternative energy.

Federal president Gauck, too, warns:

”Neither will we be a success if we rely totally on planned economy. Certainly not with all this profusion of subsidies“, said Gauck last Tuesday in the park of Bellevue castle as he opened the Environmental Week. According to him, there is no better foundation for problem solutions than a society with open markets and free competition.

Personally, I prefer Brecht to those who constantly want to read new master plans  in their glass ball but really only want to travel at the cost of others: “Yes, go ahead and plan. Be a bright light. Make a second plan. But neither of them will work”.
Well done, Herr Präsident!

wl
(Translated by EG)

2 Kommentare zu “Producing Energy Has Nothing To Do With Being Permitted to Provide Energy: Desert Tec #17”

  1. Chris Wood (Monday June 11th, 2012)

    This criticism is in general OK. But in two or three points the emphasis should be changed.
    1
    A pure (FDP) market politic in energy generation does not work properly, because there is no proper control of (payment for) the damage done to the world. Politics (politicians and voters) realised too late that coal mining causes subsidence, that the waste from nuclear fission is a huge problem, and that we are ruining the climate. Particularly the climate is affected world-wide, so that the current world organisation has so far proved unable to get to grips with it.
    2
    It is unfair to criticise the EU so much for photovoltaic subvention. The EU started it, but Germany added considerable extra subvention, in an attempt to snatch the world market in this technology. Now small German firms are in trouble, as Germany reduces its subvention.
    3
    The situation in Germany has been worsened by the government’s panic reaction to Fukushima, closing relatively safe cheap power stations. The damage caused by CO2 emissions is already much worse than that caused by nuclear power, and is increasing rapidly.

  2. Justus Schütze (Wednesday June 20th, 2012)

    Danke für den inspirierenden Artikel!
    Die energiepolitische Lügengeschichte fing natürlich schon lange vor dem EEG an. Mit Subventionen für die konventionellen, fossilen Energieträger. Mit dem EEG hat man also nur den Teufel mit dem Beelzebub auszutreiben versucht.
    Ordnungspolitisch jetzt nur den Beelzebub anzugreifen, wie es die vermeintlich marktbeflissene FDP tut, greift zu kurz.
    Richtig wäre es, zunächst einen fairen Markt mit Einpreisung der Footprints *aller* Energieträger zu etablieren, z. B. durch die Einführung von Cap-and-Trade auf weitere Parameter als nur CO2. Denkbar wären hier Strahlungsrechte, Biodiversitätszerstörungsrechte etc.
    Als Folge würden sich wahre Preise am Markt einstellen, mit einer echten “Meritokratie”, in der sich erneuerbarer und effizient produzierter Strom aufgrund seiner Kostenführerschaft von alleine durchsetzt. Subventionen könnten dann entfallen – hüben wir drüben.

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