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Symposium 2013

Solution for Towards a Sustainable Energy Mix - Renewable Energies and Fracking

The Challenge

The use of renewable energies is supported by many countries, while the highest growth is observed in the power sector. By 2017 more than 70 countries are expected to deploy renewable energy technolog ...

The use of renewable energies is supported by many countries, while the highest growth is observed in the power sector. By 2017 more than 70 countries are expected to deploy renewable energy technologies (IEA 2012a). Germany is a pioneer in using and developing renewable energy technologies. In 2011, renewable energies contributed to 20% of electricity and 10% of heat use (BMU 2012). Several policies measures have been put in place to realize a transition of the energy sector towards renewable energies (so-called “Energiewende”). While major energy producers as well as small scale producers have invested into renewable energy sources, the “Energiewende” also causes some challenges. Energy prices have increased considerably in recent years, partly caused by higher costs, mainly subsidies of renewable energies. New infrastructure is needed to cope with different spatial and temporal availabilities of energy. While the public generally favors the support of renewable energies in the context of climate change mitigation, social acceptance to implement projects (constructing new power grids, or plants) at local levels is critical.

Establish consistency of energy systems.

Currently, emissions of fossil fuels are captured in a market-based system, while renewable energies are supported by different regulating policies. This causes inconsistencies and high overall economic costs. This could be solved with a market-based system that considers the true costs (private and social and environmental) of different energy sources. This would result in a level playing field for all technologies.

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    Diversify the use of different energy sources.

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    Change the risk perceptions of long-term investors.

    Change the risk perceptions of long-term investors.

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