The Energy Transition Dividend: Innovation at home, success worldwide
The Paris Agreement on climate change was ratified on November 4, 2016. From a political perspective, this will give an additional boost to exports of sustainable energy technologies.
According to Dr. Markus Tacke, CEO of Siemens Wind Power & Renewables, investors all over the world have already started to adopt new ways of thinking. “Energy transition is a ubiquitous topic not only Germany” – energy systems all over the world are undergoing fundamental changes. The industry’s export figures show that our technologies are valued all around the world.
The working group will highlight the development of energy technologies in the target markets of Europe, China and Indonesia. Matthias Zelinger, VDMA Energy Policy Spokesman, explores the central question of whether the export will entail an “energy transition dividend” for Germany’s initial investment.
Europe is a prime example for the diverse opportunities this transition creates. The industry’s progress in the field of efficiency is highly heterogeneous and, given the repercussions of the financial crisis, it is all but a sure-fire success. In terms of production, the market is divided into two parts, as Rainer Kiechl, CEO of Mitsubishi Hitachi Power Systems Europe GmbH, puts it: “In Germany and Western Europe, the main focus is on technologies that store excess power and add flexibility to existing plants. But emerging countries in Central and Eastern Europe mostly put their money on highly efficient gas and coal-fired power plants, as these are the only option to ensure reliable and economic power supply.” Due to its geographic structure and location, the island state of Indonesia especially benefits from local solutions for power supply and efficiency measures. The Chinese market is growing at a rapid pace to bring its energy system up to date. “The example of the photovoltaic supplier industry clearly shows that competitive pressure from Asian manufacturers is on a steep rise,” says Peter Fath, CEO at RCT Solutions. Thorsten Herdan, Department Head at the Federal Ministry for Economic Affairs, stresses the importance of establishing Germany internationally as a forerunner for the global energy transition. “Our international partners are interested in political and technological solutions that have already proven their worth in practical applications. It is important to make sure that Germany continues to lead the way when it comes to the global energy transition. German companies are closely involved in our bilateral and multilateral energy initiatives – because not only do we intend to find the proper policy approach, we also strive to offer the technological energy solutions necessary to ensure its implementation.