The rich are mugging the poor – now in foreign countries, too.
According to online Spiegel here, a general counsel to the European High Court has ruled that consumers in one country also have to pay green energy feed-in subsidies to producers in foreign countries as well.
That means that heavily industrialized Germany may soon have to pay energy feed-in subsidies to foreign renewable energy producers as well. Spiegel writes that as a result:
The renewable energy subsidy on electric builds may soon increase further.”
The ruling arises from a recent case where a Finnish wind park had supplied energy to Sweden but was never paid the feed-in subsidy. The Finnish wind park took the case to the EU, who then ruled in favor of the Finns – claiming that the Swede’s refusal to pay represented “a discriminatory limitation of the free flow of goods“. A country must not only pay the green-energy subsidy to domestic producers, but also to those delivering from another country.
Spiegel writes, should the ruling be upheld by the EU High Court:
…it would have considerable consequences also for Germany because neighboring states like Austria, France or the Netherlands would be able to feed-in their low cost hydro-electric, solar or wind energy into the local power grid. For this they would receive the German feed-in rate. The German consumer – once again – would have to pay.”
Already 600,000 German families are having their power cut off annually because they are no longer able to keep up with sky-rocketing electricity bills. Not only is the energy feed-in act turning out to be a huge wealth-redistribution scheme from the poor to rich property owners domestically, but one that redistributes to the rich in foreign countries as well.
I did not know that Austria, France, and the Netherlands had a low-cost solar or wind energy.
Perhaps the Spiegel writer meant to say the excess power not needed in the country could, assuming its green origin, be fed into the grid for a premium.
When there’s too much on the market (solar and wind aren’t regulable) then it is very cheap, sometimes even the spot price goes negative. Sometimes the power company will even ask a wind park to shut down, which is no problem for the wind park operator because he gets paid for the energy he doesn’t produce.
I think it should have said “low market value” instead of “low cost”. Wind and solar are expensive but worthless when not needed.
They don’t, its heavily subsidized. Take that away (which will happen) and the whole ‘renewable industry’ will collapse with a big bang.
These sorts of fees/taxes/feed-ins/cap&trade are guilt driven distortions mis-directing capital and human resources toward “feel good” goals with a net loss of societal well being. The rich don’t notice. The less well off find it harder to cope.
These are like Rube Goldberg or Heath Robinson contrivances in the public policy sector. Like those complicated things, these too may seem to work for awhile and then they fall apart. The real difference is that these green energy scams are not funny.
[…] finsk protest mot att ett av deras vindkraftsbolag inte fått del av de svenska subventionerna har godkänts av Eurepeiska Högsta Domstolen. Detta betyder att tyskarna, som ofta importerar s.k. […]
Curious George 9. März 2014 at 16:54 | Permalink | Reply I did not know that Austria, France, and the Netherlands had a low-cost solar or wind energy. –
That’s point the point george. We do have some in france and the numbers are increasing as german green energy companies search greener pastures they are moving into neighbouring countries.
What this ruling means that even if they are stopped in their own country their foul deeds elsewhere will come back to the fartherland to haunt them and their consummers.
I have come to the conclusion that the EU is one big Mel Brooks movie.
This lunatic court decision opens the floodgates for a whole saga of hilarity.
As far as I remember, EU has declared that nuclear can qualify as ‘green’.
Will it be the end of the ongoing Green Circus?
Try to imagine:
The politicians shall try to use what they learned in school: Supply and Demand.
This could have implications for the UK in the future. Later this year the people of Scotland have a referendum on whether to become independent of the UK. Scotland is increasingly reliant on exporting renewable energy (wind, and hydro) to England.
Does this ruling mean that if Scotland has higher FIT rates in the future, the remainder of the UK would have to pay up?