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All eyes on German renewable energy efforts

World eyes German efforts to become leader in reneable energy resources

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FELDHEIM, Germany (AP) -- This tiny village in a wind-swept corner of eastern Germany seems an unlikely place for a revolution.

Yet environmentalists, experts and politicians from El Salvador to Japan to South Africa have flocked here in the past year to learn how Feldheim, with just 145 people, is already putting into practice Germany's vision of a future powered entirely by renewable energy.

Chancellor Angela Merkel's government passed legislation in June setting the country on course to generate a third of its power through renewable sources — such as wind, solar, geothermal and bioenergy — within a decade, reaching 80 percent by 2050, while creating jobs, increasing energy security and reducing harmful emissions.

The goals are among the world's most ambitious, and expensive, and other industrialized nations from the U.S. to Japan are watching to see whether transforming into a nation powered by renewable energy sources can really work.

"Germany can't afford to fail, because the whole world is looking at the German model and asking, can Germany move us to new business models, new infrastructure?" said Jeremy Rifkin, a U.S. economist who has advised the European Union and Merkel.

In June, the nation passed the 20 percent mark for drawing electric power from a mix of wind, solar and other renewables. That compares with about 9 percent in the United States or Japan — both of which rely heavily on hydroelectric power, a source that has long been used.

Expanding renewables depends on the right mix of resources, as well as government subsidies and investment incentive — and a willingness by taxpayers to shoulder their share of the burden. Germans currently pay a 3.5 euro cent per kilowatt-hour tax, roughly euro157 ($205) per year for a typical family of four, to support research and investment in and subsidize the production and consumption of energy from renewable sources.

That allows for homeowners who install solar panels on their rooftops, or communities like Feldheim that build their own biogas plants, to be paid above-market prices for selling back to the grid, to ensure that their investment at least breaks even.

Critics, like the Institute for Energy Research, based in Washington, D.C., maintain such tariffs put an unfair burden of expanding renewables squarely on the taxpayer. At the same time, to make renewable energy work on the larger scale, Germany will have to pour billions into infrastructure, including updating its grid.

Key to success of the transformation will be getting the nation's powerful industries on board, to drive innovation in technology and create jobs. According to the Environment Ministry, overall investment in renewable energy production equipment more than doubled to euro29.4 billion ($38.44 billion) in 2011. Solid growth in the sector is projected through the next decade.

Some 370,000 people in Germany now have jobs in the renewable sector, more than double the number in 2004, a point used as proof that tax payers' investment is paying off.

Feldheim has zero unemployment compared with roughly 30 percent in other villages in the economically depressed state of Brandenburg, which views investments in renewables as a ticket for a brighter future. Most residents work in the plant that produces biogas — fuel made by the breakdown of organic material such as plants or food waste — or maintain the wind and solar parks that provide the village's electricity.

"The energy revolution is already taking place right here," says Werner Frohwitter, spokesman for the Energiequelle company that helped set up and run Feldheim's energy concept.

But it's not only in the countryside. Earlier this month in Berlin, officials unveiled a prototype of a self-sustaining, energy-efficient home, built from recycled materials and complete with electric vehicles that can be charged in its garage.

The aim of the prototype home is to produce twice as much energy as is used by a family of four — chosen from a willing pool of volunteers who will be selected to live in the home for 15 months — through a combination of solar photovoltaics and energy management technology, in order to show the technology already exists to allow people to be energy self-sufficient.

"We want to show people that already today it is possible to live completely from renewable energy," said German Transport Minister Peter Ramsauer as the project, dubbed "Efficiency House Plus," was unveiled. The house is part of a wider euro1.2 million ($1.57 million) project investing in energy-efficient buildings.

"The Efficiency House Plus will set standards that can be adopted by the majority in the short term," Ramsauer told The Associated Press. "The basic principle is that the house produces more energy than needed to live. The extra energy is then used to charge electric-powered cars and bicycles or sold back to the public grid."

Germany's four leading car makers are also participating in the project with BMW AG, Daimler AG, Volkswagen AG and Opel, which is part of Buick's parent company, General Motors Co., each making an E-car for use by in the home.

Such strong cooperation between Germany's industrial sector, coupled with a political landscape that emphasizes stability and a heightened public ecological sensibility, makes Germany fertile ground to lead the way in the transformation from a post-carbon economy to one run on renewable energy.

"Germany has the most robust industrial economy per capita. When you talk about industrial revolution, that's Germany. It's German technology, it's German IT, it's German commutation," said Rifkin, who outlines what he calls the "The Third Industrial Revolution," in a newly released book of the same title that explains how the economies in the future could swap fossil fuels for renewable energies and still maintain growth.

Robert Pottmann, an asset manager with Munich Re, one of the world's biggest reinsurers, says the company seeks to invest about euro2.5 billion ($3.27 billion) in the next few years in renewable energy assets such as "wind farms, solar projects or maybe new electricity grids."

Alan Simpson, an independent energy and climate adviser from Britain who visited Feldheim as part of a wider tour of Germany last month to see what the renewable revolution looks like up close said it was inspiring to view what is being accomplished on the ground.

"It's great to think about Germany delivering on everything that we are being told in Great Britain is impossible," Simpson said.

Amid the excitement, there is also an awareness of the real need for the German experiment to succeed.

"If Germany can't pull this off," said Rifkin. "We don't have a plan B."

___

Associated Press writer Juergen Baetz contributed to this story from Berlin.

___

On the Internet:

Feldheim: http://www.neue-energien-forum-feldheim.de/

German Renewable Energy Agency: http://www.unendlich-viel-energie.de/en/homepage.html

 
  • Mike in Missouri  •  1 month 29 days ago
    The US has its own way of addressing its energy needs. The government is printing so much money, it will eventually figure out it can burn the money to meet electrical power generation needs.
  • Kev  •  Naples, Florida  •  1 month 29 days ago
    As long as your putting up all these new wind towers why not put cell/wifi on transmitter on top while you are up there, pal.Thanks.

    And lease space to TV, radio,stations, weather radar, ...
  • George N  •  Milan, Italy  •  1 month 29 days ago
    7 KWh Solar plant in Italy costs (now but it will cost 50% less, because of the reserach in 3 years) about 12.000 US$. Before I paid about 800 US$ electricity per year... My solar plant has a 20 years warranty. I can also sell the energy I produce more...When I go holidays I can produce and sell it as well....so now I can save 800 US$ per year that means 16,500 US$ saved in 20 years. 12,000 (cost of the Plant) - 16,500 In 20 years I'll save minimum 4,500 US$. Not too bad....It's like if you invest 12,000 at a 1.85% tax rate (Bank today gives even less in the average!)...and that's NOW:....in 10 year the cost will be less and less!!!
  • Guy  •  Tucson, Arizona  •  1 month 29 days ago
    At this morning's dollar/euro exchange rates German rate of 3.5 cents is 4.5 cents USA. My effective KWH rate in Tucson on my last bill was 10.5 cents (taxes and such)
    So 4.5 + 10.5= 15 cents. This would be a 42% increase! I wonder if everyone would agree to such an increase.
  • James  •  1 month 29 days ago
    What a amazing story. Germany my father land is still the model for anything they build. Audi, BMW, Mercides, VW, Porsche and now the master power grid, ya, ya, ya.
  • Kev  •  Naples, Florida  •  1 month 29 days ago
    Wind power isn't a new idea, it was probably the first idea.
    Whats changed is now we have a bunch of idiots without a clue all cheering for their favorite energy team a big political #@^%$#fest.
  • Mike  •  1 month 29 days ago
    The problem here is whenever an individual wants to generate their own power by any means other than the local utility, they are told it's illegal. Let the little man go and see how much power is saved.
  • illusionist  •  1 month 29 days ago
    What a choice - the German tax payer pays for this or for the Greeks to blow it on booze. They would certainly prefer this - at least there is a possibility of a return.
  • Dave  •  1 month 29 days ago
    Personally I think the "fuel cell" technology will the the one that finally wins. Extracting energy through breaking down water into hydrogen and oxygen through chemical reaction with a metal has already proved to be viable howbeit expensive.
  • Edward D  •  1 month 29 days ago
    Barry already wasted 2 trillion dollars in "green" energy. Solyndra his donors and many others pocketed the money. Green energy needs to be produced by private money and not on taxpayers. Governments are corrupt and have no idea on how to run a business. Maybe the extraterrestrial Germans are different LOL
  • John  •  1 month 29 days ago
    ...as long as we don't give monopolies to the energy companies after the tax payer foots the bill for it. What a joke...oil is critical to our national defense, so who do we put in charge of it? Why, the CEO of Exxon, BP, etc., who would crawl in bed with Satan if they could make a buck off it. The idea that we own something that is under ground is really kind of arrogant and stupid to begin with. Something that is underground is directly below at least to surface land owners on opposite sides of the earth. What happens when we can actully get into the core and recover liquid precious metals. The core is basically underneath everyone.
  • Jamie  •  Pasadena, California  •  1 month 29 days ago
    I love to read these heart warming pieces that give you hope for a better future tomorrow. Too bad that so far for renewable energy they have been all hype. Even if Feldheim is a success story, meaning it is cost effective to go with wind for their town, just think of the thousands of other towns that have considered it but found out it would be a complete failure because the wind patterns are not the same there.

    Same thing for me in California. Despite being very interested in switching to solar for my home every time I do the math I would end up paying as much as 200% more for the same electricity. Even with the huge drop in solar panel prices last year the only way I could break even financially is to install the solar system myself to cut out the installation cost.
  • ME  •  1 month 29 days ago
    Have you ever seen one of these wind generators fail ?
    I have, insurance companies have, work comp has. These things blow up, and throw the blades people, but you go right ahead and build them over your house.
  • vote2012  •  Huntsville, Alabama  •  1 month 29 days ago
    Why do the US need wind power when we have liberal democrats full of hot air.
  • Wolf  •  1 month 29 days ago
    This is a "joke"...the World should be generating all its electric power from Thorium nuclear today ...a completely safe nuclear process that cannot produce Plutonium and produces 4 times the energy compared to the present Uranium plants and the fuel is more abundant then the Uranium fuel and the cost of the plants is only 40% of the present plants and the fuel has a half-life in the hundreds of years not centuries...to see the present actions when the 104 nuclear plants in the US could produce over 100% of the US electric energy today if they were based on Thorium shows the political insanity that is present in this country and the World...
  • A Yahoo! user  •  Newark, New Jersey  •  1 month 29 days ago
    Nuclear power is renewable, too, and it costs a fraction of what these dumb, ugly windmills cost.
  • James  •  Rohnert Park, California  •  1 month 29 days ago
    If tax payers have to subsidize the project it's a failure. And what is the actual cost for this village so one can do the math. It's great when companies are provide the products but if the cost is over the top for the average consumer it's a failure.
  • WilhemenaCooker  •  Intercourse, Pennsylvania  •  1 month 29 days ago
    do the math: trying to put New York City on solar would require 7,000-square miles of panels - i guess New Yorkers could just take over Conn. then? oh wait....
  • middle class  •  1 month 29 days ago
    I agree that nuclear is the way to go. Wind turbines only average 20% capacity factor which makes them about 4-5 times more expensive to install then nuclear. You need thousand of wind turbines to equal a 2200 MW nuclear plant. Wind turbines only exist because of tax payer contributions.
  • Kev  •  Naples, Florida  •  1 month 29 days ago
    As long as your putting up all these new wind towers why not put cell/wifi on transmitter on top while you are up there, pal.Thanks.
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