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Feed-in electricity tariffs (FiT) were introduced in Germany to encourage the use of new energy technologies such as wind power, biomass, hydropower, geothermal power and solar photovoltaics. Feed-in tariffs are a policy mechanism designed to accelerate investment in renewable energy technologies by providing them remuneration (a "tariff ...
The legislation introduced a dramatic reduction in photovoltaic tariffs, cutting these between 8 and 13% depending on the installation type, followed by a second cut of 3%. The deployment corridor was doubled to between 2500 and 3500 MW p, along with tighter growth-dependent degression rates of 1–12%, in addition to the ordinary degression of 9%.
Under the plan, the German government offers an average increase of 2.1%/year in macroeconomic energy productivity from 2008 to 2020. [a] [1]: 7 The exact reduction in primary energy use is therefore dependent on the rate of economic growth. The NAPE is part of the Climate Action Programme 2020, also approved on 3 December 2014. [4]
Solar power accounted for an estimated 12.2% of electricity production in Germany in 2023, up from 1.9% in 2010 and less than 0.1% in 2000. [3] [4] [5] [6]Germany has been among the world's top PV installer for several years, with total installed capacity amounting to 81.8 gigawatts (GW) at the end of 2023. [7]
Germany has been called "the world's first major renewable energy economy". [3] [4] The share of renewable energy in electricity production has increased from 3.5% in 1990 to 52.4% in 2023. [5] [6] As with most countries, the transition to renewable energy in the transport and heating and cooling sectors has been considerably slower. [7] [8]
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Solar power only produced 9.9% electricity, while nuclear power produced 13% as it was going through the process of decommissioning. [ 97 ] In 2022, Agora Energiewende warned that Germany has missed its 2020 emission targets and is likely going to miss the 2030 targets, and increase of total emissions after 2022 is likely.