Press release -

Tap More Energy Sources for Power Generation

A group of authors led by ifo President Clemens Fuest proposes using as many energy sources as possible for Germany’s electricity supply. “We need to massively accelerate the expansion of renewables as well as the construction of gas-fired power plants that can later run on hydrogen. Nuclear power plants should not be shut down until other power plants that emit no CO2 are ready,” write Fuest, his predecessor Hans-Werner Sinn, entrepreneurs Christoph Theis and Roland Berger, and ifo Administrative Council Chairperson Peter-Alexander Wacker in an essay published in ifo Schnelldienst. 

Germany should also deepen its collaboration with partner countries, the authors add. The electricity market should be thoroughly opened up and made more flexible. Currently, rigid regulations prevent the use of distributed generation. Changing these would make it possible to, say, use electric cars to store electricity; as a way to compensate for very short-term fluctuations in renewables, this approach would make the construction of ten gas-fired power plants superfluous.

The authors also argue for an expansion of German gas production. Pipelines should also be expanded both within the EU and from key suppliers such as Norway, the UK, and Southern Mediterranean countries. 

Further, the authors call for an acceleration of planning procedures to allow the expansion of renewables. The same applies to German gas production issuing permits more quickly is the only way it could ease the supply situation with any speed.   

Finally, government research funding is needed in areas such as renewables, energy efficiency, smart electricity grids and storage, and the hydrogen economy. However, this funding should not neglect fusion research or research on new reactors.   

Article in Journal
Roland Berger, Clemens Fuest, Hans-Werner Sinn, Christoph Theis, Peter-Alexander Wacker, Justus Haucap, Mario Liebensteiner, Jonathan Meinhof, Andreas C. Goldthau, Nick Sitter, Sandra Parthie, Anke Weidlich, Mirko Schäfer, Gert Brunekreeft, Marius Buchmann
ifo Institut, München, 2022
ifo Schnelldienst, 2022, 75, Nr. 12, 03-24
Monograph (Authorship)
Roland Berger, Clemens Fuest, Hans-Werner Sinn, Christoph Theis, Peter-Alexander Wacker
ifo Institut, München, 2022

 

 

 

Published under the title "Wohlstand in Gefahr: Für eine neue Strategie in der Energiepolitik", ifo Schnelldienst 75(12), 2022.

Contact
Prof. Dr. Dr. h.c. Clemens Fuest

Prof. Dr. Dr. h.c. Clemens Fuest

President
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+49(0)89/9224-1430
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Harald Schultz

Harald Schultz

Press Officer
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+49(0)89/907795-1218
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