Solar – Germany’s €100 Billion Money Pit
The solar industry is in global decline and nowhere more so than Germany where in the closing days of 2011 Solon, who were Germany’s first photovoltaic producer have filed for insolvency with debts of 275 million euros.
BP has pulled out of solar, in the US Solyndra went bankrupt and there are 11 further renewables companies in the US, all going the same was as Solyndra, down the tubes.
As governments across the world cut the Green taxes that allowed these uneconomic industries like wind and solar to survive, so renewables have died.
The only thing that’s missing at the moment is sunshine. For weeks now, the 1.1 million solar power systems in Germany have generated almost no electricity. The days are short, the weather is bad and the sky is overcast.
As is so often the case in winter, all solar panels more or less stopped generating electricity at the same time. To avert power shortages, Germany currently has to import large amounts of electricity generated at nuclear power plants in France and the Czech Republic. To offset the temporary loss of solar power, grid operator Tennet resorted to an emergency backup plan, powering up an old oil-fired plant in the Austrian city of Graz.
No wonder the German Government is struggling to find a new way to sell renewables to the German people.
Solar energy has gone from being the great white hope, to an impediment, to a reliable energy supply. Solar farm operators and homeowners with solar panels on their roofs collected more than €8 billion ($10.2 billion) in subsidies in 2011, but the electricity they generated made up only about 3 percent of the total power supply, and that at unpredictable times.
The distribution networks are not designed to allow tens of thousands of solar panel owners to switch at will between drawing electricity from the grid and feeding power into it. Because there are almost no storage options, the excess energy has to be destroyed at substantial cost. German consumers already complain about having to pay the second-highest electricity prices in Europe.
In the scramble for renewables and the Greenest credentials ever, the normally meticulous Germans have problems with their National power grid and connecting wind and solar to it, they built a huge wind farm off the coast of Heligoland and have no way of connecting the wind farm to the power grid.
Until now, Merkel had consistently touted the environmental sector’s “opportunities for exports, development, technology and jobs.” But now even members of her own staff are calling it a massive money pit.
The politicians have long known the truths about solar and wind, both systems are unreliable, uneconomic and a net drain on any country’s resources, still the scam continues as politicians are frightened of being politically incorrect and God forbid, upsetting Greenpeace, WWF, FoE et al.
Under Germany’s Renewable Energy Law, each new system qualifies for 20 years of subsidies. A mountain of future payment obligations is beginning to take shape in front of consumers’ eyes.
According to the RWI, the solar energy systems connected to the grid in 2011 alone will cost electricity customers about €18 billion in subsidy costs over the next 20 years. “The demand for subsidies is growing and growing,” says RWI expert Manuel Frondel. If all commitments to pay subsidies so far are added together, Frondel adds, “we have already exceeded the €100 billion level.”
The RWI also expects the green energy surcharge on electricity bills to go up again soon. It is currently 3.59 cents per kilowatt hour of electricity, a number the German government had actually pledged to cap at 3.5 cents. But because of the most recent developments, RWI expert Frondel predicts that the surcharge will soon increase to 4.7 cents per kilowatt hour. For the average family, this would amount to an additional charge of about €200 a year, in addition to the actual cost of electricity. Solar energy has the potential to become the most expensive mistake in German environmental policy.
The same story across the world with wind and solar the Green taxes are cut, the renewables die.
It really is time to stop the whole Green renewables scam and a concentrate on a future of reliable affordable energy provided by coal, shale oil and gas, and in the future nuclear power.
The bid choppers and solar panels will be left to rust away slowly because there does not seem to be any plans for dismantling wind turbines as the US currently has 14,000 abandoned bird choppers.
Posted on January 19, 2012, in Anthropogenic Global Warming, Church Of Climatology, Climate Change, Global Warming, Green Jobs Lie, Green Lies, Green Taxation, Renewables and tagged Green Subsidy, Solar Power. Bookmark the permalink. 10 Comments.