Renewable Energies in Germany's Electricity Market (eBook)

Elke Bruns works as senior research associate at the Environmental Assessment and Policy Research Group at the Berlin Institute of Technology (www.umweltpruefung.tu-berlin.de). She studied environmental planning and became familiar with renewable energies in the early 1990s, when working on a wind turbine zoning decree at the Ministry of Environment in the state of Brandenburg. Since then she has continuously worked in the field of impact assessment, impact mitigation and spatial aspects of renewable energies at the Berlin Institute of Technology. Since 2003 she had focused on analyzing the constellation and driving factors that influence renewable energy developments, and their environmental implications. Contact: elke.bruns@tu-berlin.de   Dörte Ohlhorst works as research associate at the German Advisory Council on the Environment since March 2009. Since 1999 she has been an academic researcher at the Centre for Technology and Society at the Berlin Institute of Technology. She focused on the development of wind energy in her PhD thesis and gained her PhD in Political Science at the Free University of Berlin in 2008. Her primary fields of interest include German renewable energy policy, environmental and innovation policy, multi-level governance, sustainability strategies and social participation focusing on methods for interdisciplinary studies. Contact: ohlhorst@zedat.fu-berlin.de   Bernd Wenzel is head of Ingenieurbüro für neue Energien (IfnE), a research and consulting institute for renewable energies and climate protection, resident in Teltow, Berlin. He established IfnE in 2005 and has since worked on several research projects, including for the German Federal Ministry for the Environment, and other organizations and municipalities. His focus is on economic and technical analysis of climate protection activities and renewable energies in electricity production. For more information please visit http://www.ifne.de (German). Contact: bwenzel@ifne.de   Johann Köppel is a full professor at the Berlin Institute of Technology and head of the Environmental Assessment and Policy Research Group (www.umweltpruefung.tu-berlin.de). He teaches Environmental Impact Assessment and Environmental Planning, and has for 10 years been involved in research on supporting as well as impeding approaches to the sustainable deployment of renewable energies. Recently he has been pursuing a comparative analysis of the roles that the USA and Germany play in leading the field of renewable energies. Contact: johann.koeppel@tu-berlin.de

Acknowledgments 6
Contents 8
List of Figures 14
List of Tables 16
Abbreviations 18
Chapter 1: Introduction 22
Chapter 2: Introduction to the Methodology 27
2.1 Research Questions and Objectives 27
2.2 Procedure 28
2.2.1 A Note on Style 29
2.3 Methodology Used in the Constellation Analysis 29
2.3.1 Constellation Analysis 29
2.3.2 Constellation Elements 30
2.3.3 Relations 30
2.3.4 Context 31
2.3.5 The Concept of a Biography of Innovation 31
2.3.5.1 Innovation Biography 31
2.3.5.2 Innovation Process 32
2.3.5.3 Innovation 32
2.4 Governing Political and Social Processes 32
References 33
Chapter 3: Cross-sectoral Interventions, Events and Processes 34
3.1 Crises as Triggers for Social Rethinking Processes 34
3.1.1 Environmental and Climate Crises 35
3.1.2 Oil Price Crises 37
3.1.3 Nuclear Energy Crisis 38
3.1.4 Energy Supply Crises and Electricity Gap Debate 39
3.1.5 Food Crisis 41
3.2 International Climate Protection Research and Politics 41
3.2.1 International Climate Protection Process 42
3.2.1.1 World Climate Conference in Geneva 42
3.2.1.2 Climate Conferences in Villach and Switzerland 42
3.2.1.3 The Intergovernmental Panel on Climate Change (IPCC) 43
3.2.1.4 UN Framework Convention on Climate Change 44
3.2.1.5 Rio Conference on Environment and Development 44
3.2.1.6 After the Framework Convention on Climate Change: The Climate Marathon 45
3.2.1.7 Kyoto Protocol 45
3.2.1.8 Third and Fourth IPCC Report 46
3.2.1.9 Renewables Process 46
3.2.1.10 G8 Summit in Heiligendamm 47
3.2.1.11 World Climate Conference in Bali 48
3.2.1.12 Fifteenth Conference of the Parties in Copenhagen 49
3.2.2 Establishment of the International Renewable Energy Agency (IRENA) 50
3.3 Incentives for Energy Policy at EU level 51
3.3.1 Liberalization of the Energy Markets 52
3.3.1.1 Single Market Directive 96/92/EC 52
3.3.1.2 Acceleration Directive 2003/54/EC 53
3.3.2 Renewables and Climate Protection Policy at EU Level 54
3.3.2.1 Support Programs for Non-nuclear Energy 54
3.3.2.2 Green Paper and White Paper of the European Commission51 54
3.3.2.3 European Strategy for Sustainable Development 55
New EU Sustainability Strategy and Lisbon Strategy 55
3.3.2.4 EU Directive 2001/77/EC on the Promotion of Renewable Energy 56
3.3.2.5 EU Biofuels Directive 2003/30/EC 56
3.3.2.6 2007 Meeting of the EU Council – Reduction Targets for Greenhouse Gases 57
3.3.2.7 EU Directive 2009/28/EC on the Promotion of Renewable Energy 58
3.3.3 European Emissions Trading (Cap and Trade) 59
3.4 Emergence of National Problem Awareness and Process of Institutionalization 60
3.4.1 Institutionalization of Environmental Protection 61
3.4.1.1 The Greens in the German Bundestag 61
3.4.1.2 Administrative Institutionalization of Environmental Protection 61
3.4.2 Climate Protection in Politics and Administration 61
3.4.2.1 Renewable Energy in the Former German Democratic Republic (GDR) 62
3.4.2.2 Committee of Inquiry “Protection of the Earth’s Atmosphere” 62
World Congress on “Climate and Development” in Hamburg 63
Final Report of the Committee of Inquiry 63
The Federal Government’s Climate Protection Program 64
3.4.2.3 Establishment of Climate Protection in the Federal Ministry for the Environment 64
3.4.3 Institutionalization of Renewable Energy Policy 65
3.4.3.1 Administrative Establishment of Renewable Energy Policy 65
3.4.3.2 Transfer of Responsibilities/Continued Institutionalization 66
3.4.4 Establishment of Associations 66
3.5 Energy and Climate Policy Strategies and Objectives at National Level 68
3.5.1 Guidelines on Energy Policy Issued by the Federal Government in 1991 68
3.5.2 Change of Government to Red-Green in 1998 68
3.5.3 National Climate Protection Programs 68
3.5.3.1 National Climate Protection Program 2000 68
3.5.3.2 National Climate Protection Program 2005 69
3.5.4 Nuclear Phaseout Resolution of 2001 69
3.5.5 Sustainability Strategy 2002 70
3.6 Government Aid for Renewable Energy 70
3.6.1 Market Incentive Program 71
3.6.2 Federal Research Funding 71
3.6.2.1 Energy Research and Energy Technologies Program (1977–1980) 72
3.6.2.2 Paradigm Shift in Research Policy 73
3.6.2.3 Second Energy Research Program (1980–1990) 74
3.6.2.4 Third Energy Research and Energy Technologies Program (1990–1996) 74
3.6.2.5 Fourth Energy Research and Energy Technologies Framework Program (1996–2005) 75
3.6.2.6 Fifth Energy Research Program “Innovation and New Energy Technologies” (2005–2008) 75
3.6.3 Funding on State Level 76
3.7 StrEG and EEG as Key Policy Measures 76
3.7.1 The Electricity Feed-In Act (StrEG) 77
3.7.1.1 First Revision of the StrEG in 1994 78
3.7.1.2 Second Revision of the StrEG in 1998 79
3.7.1.3 Ruling of the European Court of Justice 79
3.7.2 The Renewable Energy Sources Act (EEG) 80
3.7.2.1 The Renewable Energy Sources Act of 2000 80
3.7.2.2 Revision of the Renewable Energy Sources Act in 2004 81
3.7.2.3 Revision of the Renewable Energy Sources Act in 2009 82
3.7.2.4 Further Development of the EEG Equalization Scheme 83
3.7.3 Integrated Energy and Climate Program of the Federal Government 83
3.7.3.1 Meseberg Resolutions in Preparation for the IEKP 83
3.7.3.2 Integrated Energy and Climate Program (IEKP) 84
3.8 Environmental and Planning Law for Renewable Energy Projects 85
3.8.1 Amendment of Regional Planning Law 85
3.8.2 Zoning Law/Planning Permission Law 86
3.8.2.1 Amendment of the BauGB 1996/1997 86
3.8.2.2 EAG-Bau 2004 87
3.8.3 Legal Basis for Grid Connection and Grid Expansion 88
3.8.3.1 Act for the Acceleration of Infrastructural Planning 2006 88
3.8.3.2 Energy Line Extension Act 2008 88
3.9 Overall Parameters of the Electricity Sector 89
3.9.1 Integration of the Electricity Industry in Europe – Actors and Influencing Factors 89
3.9.1.1 Effects of Liberalization 89
3.9.1.2 Businesses in the Conventional Energy Sector 90
3.9.1.3 Electricity Stock Exchanges in the European Electricity Market 90
3.9.1.4 Structures of the Integrated Grid System 90
3.9.1.5 Expansion of the European Network Association 91
3.9.2 Structure of the German Electricity Supply Sector 91
3.9.3 Liberalization of the Energy Market – The German Energy Industry Act 92
3.9.3.1 The Amended German Energy Industry Act of 1998 92
3.9.3.2 Amendment of the German Energy Industry Act in 2005 93
3.9.3.3 Grid Access Requirements 94
3.9.4 Current Courses Set in the Energy Sector 95
3.9.4.1 Reconstruction of the Power Generation Systems 96
Generation Management 96
Power Station Structure 97
3.9.4.2 Modernization and Expansion of the Transmission Infrastructure 98
References 99
Chapter 4: Innovation Framework for Generating Biogas and Electricity from Biogas 107
4.1 Preliminary Remarks 108
4.2 Phase-Based Analysis of the Innovation Process 108
4.2.1 Historical Retrospective 108
4.2.2 Phase 1: Pioneering Phase, 1970–1990 109
4.2.2.1 Characteristics of the Constellation 109
4.2.2.2 Sector-Specific Context, Influencing Factors and Processes 111
Oil Price Developments 111
Semi-Liquid Manure and its Effects on Groundwater 111
4.2.2.3 Governmental Guidance and Economic Context 111
Federal Research Strategies 112
Support from Agricultural Sector 112
Biogas Research in the Former GDR 113
4.2.2.4 Technology and Market Developments 113
Knowledge Transfer from Sewage Gas Generation 113
Digester Technologies in Former West Germany 114
Fermentation Technology in the Former GDR 114
Availability and Developmental Situation of Conversion Technologies 115
Cost and Market Development 115
4.2.2.5 Actors in the Pioneering Phase 115
Farming Operations 115
Federal Ministry of Agriculture 116
Agricultural Research Institutes 116
Manufacturers and Plant Builders 117
4.2.2.6 Interpretation of the Constellation: Driving Forces and Constraints 118
4.2.3 Phase 2: First Phase of Emergence From 1990 to 1999 118
4.2.3.1 Characteristics of the Constellation 118
4.2.3.2 Sector-Specific Context, Influencing Factors and Processes 120
4.2.3.3 Governmental Guidance and Economic Context 120
The Electricity Feed-In Act 1991 and 1994 120
The 100 Million Program 121
Support for Research into “Environmentally Friendly Processing and Utilization of Semi-Liquid Manure” 121
Research Program “Renewable Resources” 122
4.2.3.4 Technology and Market Developments 122
Increasing the Gas Yield with Co-Fermentation 122
Conversion Technologies and Heat Usage 123
Costs and Market Development from 1990 Onward 123
Development of Plant Numbers 124
4.2.3.5 Actors in the Constellation 125
The Bundestag and Participating Departments 125
The Main Users: Farmers 125
Research Institutions in the Phase of Emergence 125
New Businesses – The Origins of the Biogas Sector 126
The Founding of Associations: The German Biogas Association and Verband Biogas Union e.V. 127
4.2.3.6 Interpretation of the Constellation: Driving Forces and Constraints 128
4.2.4 Phase 3: Intensified Emergence Between 2000 and Mid-2004 128
4.2.4.1 Characteristics of the Constellation 128
4.2.4.2 Sector-Specific Context, Influencing Factors and Processes from 2000 129
The EU Directive for the Support of Renewable Energy 130
The Federal Government’s Sustainability Strategy (2002) 130
European Reform of the Common Agricultural Policy (CAP Reform) 2003 130
National Studies of the Potential of Bioenergy/Biogas 130
Ethical Considerations Regarding the Use of Grain to Produce Energy 131
4.2.4.3 Governmental Guidance and Economic Context 131
Improved Tariffs Specified in the EEG (2000) and Supplementary Support 132
Readjustments: The BiomasseV (2001) in the EEG of 2000 132
Federal Support for Research 133
4.2.4.4 Technology and Market Developments 134
Development in the Number of Plants 2001–2004 134
State of Technical Development: Dry Fermentation 134
Pioneer Projects 135
The Development of Costs 135
4.2.4.5 Actors in the Constellation 136
Agricultural Operations and Investors 136
Businesses in the Biogas Sector 136
Interaction Between the Bundestag and Participating Departments from 2000 136
4.2.4.6 Administrative Constraints and Conflicts of Aims 137
4.2.4.7 Interpretation of the Constellation: Driving Forces and Constraints 138
4.2.5 Phase 4: Take-off from Mid-2004 to the End of 2006 139
4.2.5.1 Characteristics of the Constellation 139
4.2.5.2 Sector-Specific Context, Influencing Factors and Processes 140
Strategic Stimulus: The EU Biomass Action Plan (2005) 140
The Biofuel Quota Act: Legal Codification of Competing Uses 141
Prospects for Agriculture Deriving from Climate Protection 141
Competition Within Agriculture over Utilization and Aims 141
4.2.5.3 Governmental Guidance and Economic Context 143
Biogas in the Renewable Energy Sources Act (EEG) of 2004 143
Bonus System 144
Gas Feed-in Regulation (2005) in the Amended Energy Industry Act 145
Adaptation of the Legal Requirements for Approval 146
Regulation of Biomass Utilization at the Municipal Level 147
4.2.5.4 Technology and Market Developments 148
Studies of the Potential of Biomass 148
Increase in Plant Size 148
The Level of Technological Development 149
The Upgrading and Injection of Gas into the Gas Grid 150
Cost and Market Development 150
4.2.5.5 Actors in the Constellation 151
Federal Environment Ministry – Lead Management Under the Amended EEG of 2004 151
The Biogas Sector: Rapid Growth and Orientation Toward Export 152
Biogas Injection Brings in New Actors 152
4.2.5.6 Undesired Side-Effects and the Need for Readjustments 153
Increasing Competition over Land and Use 153
Rising Conflict with Nature Conservation and Environmental Protection 153
Approaches to Conflict Minimization 155
4.2.5.7 Interpretation of the Constellation: Driving Forces and Constraints 155
4.2.6 Phase 5: Setback in Development 2007/2008 156
4.2.6.1 Characteristics of the Constellation 156
4.2.6.2 Sector-Specific Context, Influencing Factors and Processes 157
The Integrated Energy and Climate Programme (IEKP) and Preparations for the Amendment of the EEG 158
Food Crisis: Critical Media Response and Bioenergy’s Loss of Image 158
Rise in Oil Prices 159
4.2.6.3 Governmental Guidance and Economic Context 159
A Change in Strategy in the Amended EEG? 159
The Gas Network Access Ordinance: Improved Conditionsfor Biogas Injection 160
Rising Digester Substrate Prices 161
4.2.6.4 Technology and Market Developments 161
Collapse in Demand 161
Technology for the Upgrading and Injection of Gas 161
Innovative Technologies for Electricity Generation in Pilot Applications 162
Development in the Costs of Electricity Generation 163
4.2.6.5 Actors in the Constellation 163
Businesses in a Fight for Survival 163
Increasing Involvement of Gas Suppliers 164
4.2.6.6 Undesired Side Effects and the Need for Readjustments 164
Loss of Acceptance 164
Ecologically Sound Energy Crop Cultivation? 164
4.2.6.7 Interpretation of the Constellation: Driving Forces and Constraints 165
4.2.7 Consolidation from Mid-2008 Onward and Future Prospects 166
4.2.7.1 Sector-Specific Context, Influencing Factors and Processes 166
A “Freeze” on the Biofuels Quota 166
Adoption of the National Biomass Action Plan 167
EU Directive 2009/28/EC for the Support of Renewable Energies 167
4.2.7.2 Governmental Guidance 168
The Gas Network Access Ordinance and the Gas Network Tariffs Ordinance 168
Remuneration for Electricity and Gas in the EEG of 2009 168
Fine-tuning Sustainable Bioenergy Generation 170
4.2.7.3 Technology and Market Developments 171
Industrial Generation and Injection of Biogas 171
4.2.7.4 Actors in the Constellation 172
Support from the Bundestag 172
Actors in the Gas Industry 172
4.2.7.5 Interpretation of the Constellation and Future Prospects 172
References 173
Chapter 5: Innovation Conditions in the Case of Solar Power Generation 178
5.1 Preliminary Remarks 178
5.2 Phase-Specific Analysis of the Innovation Process 179
5.2.1 A Historical Overview 179
5.2.2 Phase 1: Pioneering Phase, 1970–1985 180
5.2.2.1 Characteristics of the Constellation 180
5.2.2.2 Sector-Specific Context, Influencing Factors and Processes 180
5.2.2.3 Government Policies: Research and Development Funding 181
5.2.2.4 Actors in the Constellation 182
Industrial Photovoltaic Research 183
Foundation of the Fraunhofer ISE 183
5.2.2.5 Technology and Market Developments 183
5.2.2.6 Interpretation of the Constellation: Driving Forces and Constraints 185
5.2.3 Phase 2: Stagnation of Industry Engagement, R& D, 1986–1991
5.2.3.1 Characteristics of the Constellation 185
5.2.3.2 Sector-Specific Context, Influencing Factors and Processes 187
Chernobyl, Resource Conservation and Climate Protection 187
The European Community: Recognizing Problems and Setting Goals 187
Influences from Abroad 187
5.2.3.3 Governmental Guidance and Economic Context 188
Research Funding from the Mid 1980s 188
Glottertal Talks 189
State Funding in North-Rhine Westphalia (REN) 189
5.2.3.4 Technology and Market Developments 190
Crystalline Silicon 190
Thin-Film Technologies 190
Connection of First Photovoltaic Systems to the Grid 192
5.2.3.5 Photovoltaics in the Field of Development Cooperation 192
5.2.3.6 Actors in the Constellation 193
Foundation of Solar Energy Research Institutes 193
Foundation of Solar Associations and Organizations 193
5.2.3.7 Interpretation of the Constellation: Driving Forces and Constraints 194
5.2.4 Phase 3: Large-scale Testing from 1991 to 1994 195
5.2.4.1 Characteristics of the Constellation 195
5.2.4.2 Sector-Specific Context, Influencing Factors and Processes 196
5.2.4.3 Government Policies and Economic Framework Conditions 196
1,000 Roofs Program 196
State Support Programs 197
Electricity Feed-In Act 198
Research Funding 198
5.2.4.4 Technology and Market Developments 198
Corporate Developments 199
Silicon Solar Cells – Corporate Development in Germany from 1990 to 1994 200
5.2.4.5 Actors in the Constellation 200
Private Pioneering Users 200
Decline in Industry Involvement 200
Merging of Research Institutes 201
5.2.4.6 Interpretation of the Constellation: Driving Forces and Constraints 201
5.2.5 Phase 4: Uncertainty and Slowdown, 1994–1998 201
5.2.5.1 Characteristics of the Constellation 201
5.2.5.2 Sector-Specific Context, Influencing Factors and Processes 202
5.2.5.3 Governmental Guidance and Economic Context 203
Draft 100,000 Roofs Program 203
Federal Government Research and Funding Policy 203
Lack of Funding Concept and Uncertainty After Termination of 1,000 Roofs Program 203
5.2.5.4 Municipal and Regional Initiatives Keep the Flag Flying 204
The Concept of Cost-Covering Compensation 205
Marketing Initiatives and Demonstration Projects 206
5.2.5.5 Technology and Market Developments 207
Silicon Solar Cells – Corporate Developments in Germany from 1990 to 1998 208
5.2.5.6 Actors in the Constellation 209
Private Investors 209
Foundation of New Companies in the Solar Energy Sector 209
5.2.5.7 Interpretation of the Constellation: Driving Forces and Constraints 210
5.2.6 Phase 5: Breakthrough, 1999–2003 210
5.2.6.1 Characteristics of the Constellation 210
5.2.6.2 Sector-Specific Context, Influencing Factors and Processes 211
5.2.6.3 Lobbying for a Market Introduction Program 212
5.2.6.4 Change of Government 212
5.2.6.5 Governmental Guidance and Economic Context 212
100,000 Roofs Program 212
Varying Degrees of Support from German States 213
Adoption of the Renewable Energy Sources Act (EEG) 214
Complications with Funding: Uncertainty Among Applicants to the 100,000 Roofs Program 214
Removal of the 350-MW Cap 216
Lack of Continuity: No Follow-Up to the 100,000 Roofs Program 216
Energy Industry Act and Connection to the Grid 217
5.2.6.6 Research Funding 217
5.2.6.7 Technology and Market Developments 218
5.2.6.8 Actors in the Constellation 220
Foundation of New Associations 220
New Operator Models Act as Multipliers for Photovoltaic Installations 221
5.2.6.9 Acceptance of Photovoltaic Systems 221
5.2.6.10 Interpretation of the Constellation: Driving Forces and Constraints 222
5.2.7 Phase 6: Development Boom from 2004 223
5.2.7.1 Characteristics of the Constellation 223
5.2.7.2 Sector-Specific Context, Influencing Factors and Processes 224
5.2.7.3 Governmental Guidance and Economic Context 224
The Interim Act on Photovoltaic Energy and the EEG amendment 224
Research Funding 226
5.2.7.4 Acceptance of Photovoltaic Systems 227
5.2.7.5 Conflicting Goals in the Area of Ground-Mounted Systems 228
Economic Objectives 228
Plants Predominantly Located in Solar Parks 228
Siting and Acceptance of Ground-Mounted Photovoltaic Systems 229
5.2.7.6 Site-Specific Obstacles to Obtaining Licenses 230
5.2.7.7 Technology and Market Developments 230
Developments in the Price of PV Systems 231
Developments in Production Technology 233
Technological Innovations 234
Corporate Developments 235
Emergence of Regional Hubs 236
Links Between the Photovoltaics Sector and Solar Thermal Power Plant Development 237
Sector Turnover and Employment Statistics 238
5.2.7.8 Actors in the Constellation 238
5.2.7.9 Interpretation of the Constellation: Driving Forces and Constraints 239
5.2.7.10 Outlook 239
References 241
Chapter 6: Conditions for Innovation in Geothermal Power Generation 246
6.1 Preliminary Remarks 246
6.2 Phase-specific Analysis of the Innovation Process 249
6.2.1 Use of Geothermal Heat in the Former GDR 249
6.2.2 Phase 1: 1985–2003, Research and Development, Preliminary Projects to Generate Electricity 250
6.2.2.1 Characteristics of the Constellation 250
6.2.2.2 Sector-specific Context 251
6.2.2.3 Technology and Market Developments 251
6.2.2.4 Government Policies: Research and Development Promotion 252
Research Projects in West Germany and in the Alsace Region 253
6.2.2.5 Lack of Political Support in the 1990s 254
The Electricity Feed-in Act Fails to Include Compensation Regulations for Electricity Generated from Geothermal Sources 254
Developments in East Germany 254
Harnessing Geothermal Energy in Neustadt-Glewe 255
6.2.2.6 Experiences in France, Austria and Italy 256
6.2.2.7 Actors in the Constellation 257
Market Actors 257
Emergence of the First Networks of Geothermal Experts 257
6.2.2.8 Interpretation of the Constellation: Driving Forces and Constraints 258
6.2.3 Phase 2: Formation of Prospective Structures from 2004 258
6.2.3.1 Characteristics of the Constellation 258
6.2.3.2 Sector-specific Context 259
6.2.3.3 Governmental Guidance and Economic Context 259
Research and Development Promotion 260
Inclusion of Geothermal Energy in the EEG 261
6.2.3.4 Technology and Market Developments 262
Commercial Viability and Economic Framework Conditions 262
Geothermal Power Generation Projects 264
Germany’s First Geothermal Power Plant in Neustadt-Glewe 264
Landau Geothermal Plant 265
Unterhaching Geothermal Power Plant 265
Bruchsal Geothermal Power Plant 266
Further Plans for Geothermal Power Generation Projects 266
Influence of the International Market 267
6.2.3.5 Environmental Impact, Risks and Acceptance 268
6.2.3.6 Actors in the Constellation 269
Political Actors 269
The Geothermal Lobby 269
Research Institutes 270
Suppliers of Underground and Surface Technology 271
Public–Private Partnerships 271
6.2.3.7 Approval Requirements for Geothermal Projects 271
6.2.3.8 Interpretation of the Constellation: Driving Forces and Constraints 273
6.2.4 Outlook 274
References 276
Chapter 7: Innovation Framework for Generating Electricity from Wind Power 278
7.1 Preliminary Remarks 278
7.2 Phase-Based Analysis of the Innovation Process 279
7.2.1 Phase 1: Pioneering Phase – Mid-1970s Until 1986 280
7.2.1.1 Characteristics of the Constellation 280
7.2.1.2 Sector-Specific Contextual Events, Influencing Factors and Processes 281
7.2.1.3 Drivers from Abroad 281
7.2.1.4 Governmental Guidance: Support for Public Research and Development 281
7.2.1.5 Technology and Market Developments 282
7.2.1.6 Missing Permit Requirements 283
7.2.1.7 Actors in the Constellation 284
7.2.1.8 Interpretation of the Constellation: Driving Forces and Restraints 284
7.2.2 Phase 2: Inception – Changing Context of Energy Policy Between 1986 and 1990 285
7.2.2.1 Characteristics of the Constellation 285
7.2.2.2 Sector-Specific Contextual Events, Influencing Factors and Processes 285
7.2.2.3 Technology and Market Developments 286
7.2.2.4 Governmental Guidance: Realignment of Support Policy 287
7.2.2.5 The Need for Approval Processes 287
7.2.2.6 Feeding Wind Power into the Grid 288
7.2.2.7 Actors in the Constellation 288
Federal Research Ministry 288
Federal States 288
New Operator Structures 288
Energy Suppliers 289
7.2.2.8 Interpretation of the Constellation: Driving Forces and Restraints 289
7.2.3 Phase 3: Breakthrough 1991–1995 290
7.2.3.1 Characteristics of the Constellation 290
7.2.3.2 Sector-Specific Context, Influencing Factors and Processes 291
7.2.3.3 Governmental Guidance 292
The Electricity Feed-in Act 292
National Support Programs and Depreciation Allowances 292
Support by the States 293
Planning Legislation 294
Regulation Via Wind Power Directives at State Level 294
Technology and Market Developments 295
Rising Employment Figures 296
Turbine Manufacturers 296
Installed Turbines and Total Capacity 296
7.2.3.4 Actors in the Constellation 296
Public Policy Making 296
Actors at the Local and Regional Levels 297
Market and Operator Structures 297
Institutionalization of Interests and Knowledge 297
Escalation of the Conflicts Between Climate Protection and Nature Conservation 298
7.2.3.5 Interpretation of the Constellation: Driving Forces and Restraints 299
7.2.4 Phase 4: Development Dip in the Mid-1990s 300
7.2.4.1 Characteristics of the Constellation 300
7.2.4.2 Sector-Specific Context, Influencing Factors and Processes 301
7.2.4.3 Legal and Socio-Economic Context 301
Sluggish Permission Procedures and Declining Acceptance 301
Resistance to the StrEG 302
Amendments to the StrEG 302
New Legal Conflicts Following the StrEG Amendments 303
7.2.4.4 Technology and Market Development 303
Uncertainty in the Wind Power Market 303
Technical Problems 304
Load Limits of the Grid 304
7.2.4.5 Actors in the Constellation 305
7.2.4.6 Interpretation of the Constellation: Driving Forces and Constraints 305
7.2.5 Phase 5: Wind Power Boom and Reorganization 1997/98 to 2002 306
7.2.5.1 Characteristics of the Constellation 306
7.2.5.2 Sector-Specific Context, Influencing Factors and Processes 307
Initiatives at the European Level 307
The Sustainability Strategy of the Federal Government 308
Kyoto Protocol 308
7.2.5.3 Governmental Guidance 308
Change of Government 308
Building Law Amendment: Privilege and Zoning 308
The Renewable Energy Sources Act (EEG 2000) 310
7.2.5.4 Technology and Market Developments 310
Technological Differentiation 310
Impact on Employment and Market Access 311
Development of Turbine Numbers and Installed Capacity 312
7.2.5.5 Actors in the Constellation 312
State Actors 312
Network Formation 312
Environmental Groups 313
Energy Suppliers 313
7.2.5.6 Interpretation of the Constellation: Driving Forces and Constraints 313
7.2.6 Phase 6: Consolidation and Divergence of the Pathway from 2002 Onward 315
7.2.6.1 Characteristics of the Constellation 315
7.2.6.2 Sector-Specific Context, Influencing Factors and Processes 316
Influences from Abroad 316
7.2.6.3 Governmental Guidance 316
EEG Amendment 2004 316
EEG Amendment 2009 317
The System Service Ordinance 318
From Generation to Feed-in Management 318
Ordinance for the Further Development of the EEG Equalization Scheme 319
7.2.6.4 Development of Onshore Wind Power 319
Techno-economic Development Onshore 319
The Influence of Planning Restrictions 320
Permit Requirements 321
Repowering Wind Turbines 321
Pressure of Competition and Increasing Focus on Export 323
Wind Turbines for Export 324
Employment and Regional Value Creation 324
Insufficient Grid Capacity 324
Actors in the Onshore Subconstellation 325
The Federal Ministry for the Environment, Nature Conservation and Nuclear Safety and the Bundestag 325
Manufacturers, Planners and Operators 325
States 326
7.2.6.5 Development of Offshore Wind Power 326
Offshore Technological and Economic Development 326
Strategy for the Expansion of Offshore Wind Power 327
Modified Conditions for Offshore Wind Power 328
Offshore Research Support by the Future Investment Program 329
Research Platforms FINO I, II and III 329
Marine Spatial Planning 330
Permission for Offshore Wind Farms 331
Reference Project Alpha Ventus and the RAVE Research Initiative 332
The Grid Integration of Offshore Wind Farms 333
Integrated Maritime Policy 2008 335
Expansion of the Extra-High Voltage Network 335
Conflicts Concerning Grid Expansion 336
Actors in the Offshore Subconstellation 337
The Federal Government and the Federal Environment Ministry 337
Turbine Manufacturers 337
Companies Involved in Developing Multi-MW Turbines for Use Offshore 337
Planning Authorities 338
Operators 338
Offshore Foundation 339
Grid Operators 339
Critics of Offshore Wind Power 340
7.2.6.6 Interpretation of the Constellation: Driving Forces and Constraints 340
7.2.6.7 Future Prospects 341
References 343
Chapter 8: Innovation Framework for Generating Electricity from Hydropower 349
8.1 Preliminary Remarks 349
8.2 Hydropower in the Pioneering Phase (Before 1930) 350
8.2.1 Turbine Technology 351
8.2.2 Hydropower Plants 353
8.3 Phase-Based Analysis of the Course of Innovation 353
8.3.1 Phase 1: Hydropower Maturation Phase (1930–1990) 353
8.3.1.1 Characteristics of the Constellation 353
8.3.1.2 Sector-Specific Context, Influencing Factors and Processes 354
Hydropower Expansion Aims 354
Regulatory Framework 355
System Compatibility 356
Hydropower in the Former German Democratic Republic (GDR) 356
8.3.1.3 Governmental Guidance and General Economic Conditions 357
8.3.1.4 Technology and Market Developments 358
Scope of Hydropower Use 358
Technological Developments 359
8.3.1.5 Actors in the Constellation 359
Private Operators: Farmers and Members of the Crafts/Trades 359
Energy Suppliers and Industrial Enterprises 360
Federal and Regional Associations 360
Hydropower Sector Companies 361
8.3.1.6 Interpretation of the Constellation: Driving Forces and Restraints 362
8.3.2 Phase 2: Revitalization of Small Hydropower, 1990–1999 363
8.3.2.1 Characteristics of the Constellation 363
8.3.2.2 Sector-Specific Context, Influencing Factors and Processes 364
Reunification 364
EU Directives on Nature Conservation and Species Protection 364
Programs for River and Stream Protection 364
Preference for Small Hydropower Under Building Law 365
8.3.2.3 Governmental Guidance and General Economic Conditions 365
Electricity Feed-in Act (StrEG) 1991/1994 365
Financial Support 366
Privileges Granted to Small Hydropower Plants 367
8.3.2.4 Technology and Market Developments 367
8.3.2.5 Actors in the Constellation 368
Bundestag and Its Members 368
Private Operators and Companies 368
Environmental Groups 369
Companies 369
Hydropower Lobby Groups 370
8.3.2.6 Interpretation of the Constellation: Driving Forces and Restraints 370
8.3.3 Phase 3: Modernization Under Environmental Constraints, 2000 to the Present 370
8.3.3.1 Characteristics of the Constellation 370
8.3.3.2 Sector-Specific Context, Influencing Factors and Processes 371
Development of Permit Requirements 371
8.3.3.3 Governmental Guidance and General Economic Conditions 372
Extension of EEG Support to Include Large Hydropower 372
Adjustment of Compensation Under the Renewable Energy Sources Act 373
8.3.3.4 Informal Ex-Post Management to Prevent Harmful Environmental Impacts 375
Guideline for Environmental Hydropower 375
8.3.3.5 Technology and Market Developments 376
8.3.3.6 Actors in the Constellation 377
Engineers and Operators in the Former East German States 377
Nature Conservation and Environmental Protection Groups 377
Companies 378
Environmental Authorities of the States 378
8.3.3.7 Interpretation of the Constellation: Driving Forces and Restraints 379
8.3.4 Prospects 379
References 380
Chapter 9: Cross-Sectional Comparison 382
9.1 Key Driving Forces in the Innovation Biographies 383
9.1.1 Civic Activities, Creative Environment and Pioneers 383
9.1.2 Advocacy Coalitions 384
9.1.3 Political Window 386
9.1.4 Political Strategies and Lead Principles 386
9.1.5 Institutionalization and Market Incentives 387
9.1.5.1 Feed-In Compensation as the Trigger of Dynamization 387
9.1.5.2 The EEG as the Key Instrument in Market Launch 388
9.1.5.3 Liberalization of the Electricity Market 388
9.1.5.4 Transferal of the Political and Administrative Responsibility to the Federal Ministry for the Environment 389
9.1.5.5 Founding of Renewable Energy Advocacy Groups 389
9.1.6 Multi-Level Policy as the Driver 390
9.1.7 Technology-Bound Driving Forces 391
9.1.7.1 Technical Integration 391
9.2 Inhibitory Influences in the Innovation Biographies 393
9.2.1 Investment Costs and Limited Resources 393
9.2.2 Inhibitory Advocacy Coalitions 393
9.2.3 Insufficient and Incompatible Infrastructure 394
9.2.4 Loss of Acceptance 395
9.3 Comparison of Innovation Processes: Characteristic Phases and Different Processes 396
9.3.1 Pioneering Phase or Early Phase Including Pilot Applications 397
9.3.2 Inception 398
9.3.3 Breakthrough 398
9.3.4 Expansion and Boom Phases 399
9.3.5 Phases of Instability and Crisis 400
9.3.6 Phases of Stabilization and Consolidation 401
Chapter 10: Insights into the Drivers of Innovation 402
10.1 Phase-Specific Adjustment of Policies 403
10.1.1 Identifying and Strengthening Innovation Processes in the Early Phase 403
10.1.2 On the Path to a Breakthrough – Stimulating the Process in its Inception Phase 405
10.1.3 In the Expansion Phase: Easing Integration into the System and Avoiding Acceptance Problems 405
10.1.4 Sustaining Innovation Processes by Corrective Controls 407
10.1.5 Driving Innovation During Unstable Phases 407
10.1.5.1 Exploiting the Crisis 408
10.1.5.2 Recognizing and Eliminating Barriers 408
10.2 Recognizing and Limiting Unintended Outcomes in a Timely Manner 409
10.3 Integrating Levels of Action and Actors 410
10.3.1 Coordination and Integration of Policy Levels 410
10.3.2 Integrating the Goals of Government Portfolios 411
10.3.3 Integrating Sub-Constellations 411
10.3.4 Planning Policies 411
10.4 Synchronization-Based Policy 412
10.4.1 Temporal Synchronization 412
10.4.2 Accumulation of Policy Action 412
10.4.3 Synchronizing Heterogeneous Innovation Processes 413
10.5 Coherent Policies in Complex Constellations 413
10.6 Future Challenges Facing Governance 414
10.6.1 From Integration to Transformation in the Electricity Sector – a Complex Policy Task 414
10.6.2 Compatibility of Power Generation Systems 414
10.6.3 Optimizing the Power Line Infrastructure 415
10.6.4 Prospects for System Transformation in the Electricity Sector 416
Authors’ Biographies 418
Annex 420
Index of Legal Sources 420
Energy Law 420
Environmental and Building Law 421
EU Directives and Court Rulings 422