Germany’s energy feed-in act is skidding out of control – and risks causing a social uprising. The power grid is becoming ever more precarious and electricity prices for consumers are at record levels. The German government, on the other hand, is reacting like a petrified deer caught in the headlights. It doesn’t know what to do.
Yesterday, Germany’s number 1 daily by circulation, BILD here, launched a campaign to get the government to take real action – to do something, and quickly!
Hat/tip: Benny Peiser
Germany’s feed-in act forces power companies to buy all energy produced by green sources (wind, solar, bio, etc), whether it’s needed or not, and to force-feed it into the power grid. Power companies are also forced to pay exorbitant prices to the green energy producers. This gross market interference is wreaking havoc on the European power markets. On windy and sunny days, huge amounts of excess energy end up getting dumped on the market and power producers incur huge losses, which of course just get passed on to the consumers.
Sometimes prices on electricity exchanges even go negative. Despite these negative or ultra low prices on the electricity exchanges, consumers are paying record prices. So distorted has the market become.
So Bild newspaper is taking action and is openly demanding the government take action. Bild presents the facts:
What’s absurd: Even when prices on the power exchanges fall (last year it fell from 4.2 to 3.6 ct/kWh), the green energy producers get their money. Effect: The cheaper electricity becomes, the more the consumers have to pay.”
This is what happens when mastermind green bureaucrats, obsessed with the fantasy of rescuing the climate, start interfering with markets with completely nutjob ideas. Bild adds:
The feed-in surcharge is the main driver behind electricity costs. Currently it represents 14 percent of the price. At the beginning of this year the surcharge jumped again by 1 cent to 6.2 cents per kilowatt-hour. A sad record!
To blame for this is a design fault in the EEG Feed-In Act. Here prices are guaranteed for the wind and solar park operators.”
No risk! Bild writes:
This guaranteed price is financed by the feed-in surcharges – paid by the consumers!
Never before have rich, large property owners seen such a risk-free bonanza. Who pays? The poor consumers who cannot afford property on which to install a windpark or solar system! Indeed every year 600,000 Germans get their power cut off because they no longer can afford the exorbitant electricity prices. This is how Germany is reducing its CO2 emissions: The poor are having to go without!