COMMISSION STAFF WORKING DOCUMENT Country Factsheet Germany Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE, THE COMMITTEE OF THE REGIONS AND THE EUROPEAN INVESTMENT BANK State of the Energy Union
Date: 2015-11-18
Institutions: European Commission, Secretariat-General
Subjects: Germany, competitiveness, economic and social cohesion, electrical energy, energy policy, gas, innovation, reduction of gas emissions, regional cooperation, single market

EN 

   EN 

   EUROPEAN COMMISSION  Brussels, 18.11.2015  SWD(2015) 225 final   COMMISSION STAFF WORKING DOCUMENT Country Factsheet Germany Accompanying the document COMMUNICATION FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT, THE COUNCIL, THE EUROPEAN ECONOMIC AND SOCIAL COMMITTEE, THE COMMITTEE OF THE REGIONS AND THE EUROPEAN INVESTMENT BANK State of the Energy Union {COM(2015) 572} {SWD(2015) 208 à 209} {SWD(2015) 217 à 224} {SWD(2015) 226 à 243}  
 
 
Towards an Energy Union  
           Germany  

Macroeconomic relevance of energy 

IMPORTANCE OF THE ENERGY SECTOR 

The value added of the energy sector in Germany represented about 2.1% of the total gross added 
value  in  2012  in  line  with  the  EU  average.  It  was  1.9%  in  2005.  In  parallel,  the  share  of  direct 
employment  in  the  energy  sector  in  Germany  is  on  a  slight  declining  trend  compared  to  2005.  At 
about 0.60% of the total employment, this share is still higher than the EU average. 

Source: EUROSTAT – National Accounts 

indirect 

renewable  energy 

According to EurObserv'ER the share of direct 
related 
and 
employment 
in  total  employment  of  the 
economy  in  Germany  was  at  about  0.92%, 
above the EU average of 0.53% in 2013 

Source:  European  Commission,  based  on  EurObserv'ER  and 
EUROSTAT 

TRADE BALANCE OF ENERGY PRODUCTS 

The energy trade balance of  Germany  has deteriorated from 2006 to 2014 from  -2.8% of  GDP to  -
2.9% of GDP. The deficit is bigger than the EU average in GDP terms. Germany is a net exporter of 
electricity  with  a  stable  level  at  about  0.07  %  of  GDP  in  2006  and  2014.  For  the  other  energy 
commodities,  the  trade  balance of  Germany  is  negative,  with  the  largest  deficit for  oil  followed  by 
gas and coal. Nonetheless, the trade deficit has started to shrink for oil and gas and to a lesser extent 

0.00.40.81.21.62.02.420052012DEEU27Value added of energy sector% of grossvalue added (total economy)0.00.20.40.60.820052012DEEU27Employment in energy sector% of total employment 
 
 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

for coal since 2013. This contributes to a German current account that consistently shows a very high 
surplus (7.4% in 2014).   

Source: EUROSTAT 
Note: Current account balance for EU28 from European Commission (AMECO) 

1. Energy Security, solidarity and trust 

ENERGY MIX 

The energy mix of Germany is broadly similar with the one of the EU-28, with the notable difference 
of  a  higher  share  of  "coal  and  other  solid  fuels"  and  a  lower  share  of  nuclear  energy.  Germany’s 
energy  mix  is  undergoing  a  significant  transition  due  to  the  political  decision  to  phase-out  nuclear 
energy by 2022 and to achieve decarbonisation of the energy mix on the basis of renewable energies 
and  energy  savings.  Pursuant  to  Germany’s  national  targets  as  set  out  in  its  Energy  Concept, 
renewable energies are to account for 18% of gross final energy consumption by 2020.  

Gross inland energy consumption in 2013  

Source: European Commission, based on EUROSTAT  

2 

-4-202468DEEU28% of GDPCoalOilElectricityGasC. A. BalanceTrade balance of energy product and currentaccount balance, 2006 -4-202468DEEU28% of GDPCoalOilElectricityGasC. A. BalanceTrade balance of energy product and currentaccount balance, 2014  
 
 
 
 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

IMPORT DEPENDENCY 

Germany has an import dependency for all fossil fuels above the EU average. Russia is the main non-
EU  gas  supplier  for  Germany1.  However,  the  overall  supplier  concentration  index  for  Germany  is 
relatively  low  and  below  EU  average.  This  indicator  does  not  include  imports  of  nuclear  fuels,  as 
these are considered domestic energy according to international statistical conventions. The energy 
trade deficit (expressed in % of GDP) is slightly above the EU average, to be put in context with the 
otherwise high trade surplus in Germany.   

Source: European Commission, based on EUROSTAT (based on preliminary data provided by Germany to EUROSTAT)  

2. A fully-integrated internal energy market 

INTERCONNECTIONS 

The interconnection level for electricity was of 10% in 2014 for 
Germany.2 Nevertheless,  for  a  fully  integrated  internal  energy 
market,  there  is  a  need  to  further  increase  interconnections 
with neighbouring countries. Moreover, internal connections to 
transport electricity generated from renewable energy sources 
in  the  North  to  the  consumption  centres  in  the  South  are 
insufficient, causing loop flows through neighbouring countries 
like  Poland  and  the  Czech  Republic.  In  close  cooperation  with 
the  affected  neighbouring  countries  interim  solutions  and 
remedies  have  been  developed.  It  also  impacts  the  German 
economy  due  to  the  costly  adjustments  of  bottlenecks  (re-
dispatch).  To  solve  these  issues,  the  Federal  Government's 
coalition  parties  reached  an  agreement  with  regard  to  further 

Source:  European  Commission  based  on 
ENTSO-E  scenario  outlook  and  adequacy 
forecast 2014  
Note:  Reference  to  2030  target  is  based  on 
October  2014  European  Council  conclusions 
stating  that  "the  Commission  will  also  report 
regularly  to  the  European  Council  with  the 

1  

2  

Top non-EU suppliers table is based on EUROSTAT data. The share of imports from non-EU countries is calculated as 
the  ratio  between  volumes  of  imports  from  that  specific  non-EU  supplier  and  total  imports  (from  EU  and  non-EU 
countries). 
The  table  showing  a  2030  15%  target  should  be  interpreted  in  line  with  the  European  Energy  Security  Strategy 
(COM(2014)330), when it states that "the European Commission proposes to extend the 10% interconnection target to 
15%  by  2030  while  taking  into  account  the  cost  aspects  and  the  potential  of  commercial  exchanges  in  the  relevant 
regions". The table is without prejudice to how a 15% target would be measured and achieved. 

3 

Top non-EU gas suppliers in 2013 (% in total imports)GermanyEuropean Union country[%]country[%]Russia40.9Russia39.0Norway20.7Norway29.5Not specified6.7Algeria9.7Qatar6.760%63%97%96%80%87%52%53%82%87%57%65%200520132005201320052013All fuelsPetroleum andproductsNatural gasDEEU28Import dependency 2013 
 
 
 
 
 
 
 
 
                                                                 
Towards an Energy Union - Germany 

objective of arriving at a 15% target by 2030".   measures to enhance the necessary grid expansion. More than 
50  grid  expansion  projects  are  currently  to  be  implemented. 
Many  of  these  projects  are  significantly  delayed  due  to  local 
and regional resistance. Some progress has been made, e.g. as 
regards  the  South-West 
interconnector  between  Saxony-
Anhalt,  Thuringia  and  Bavaria.  However,  more  needs  to  be 
done, in particular as regards internal connections if the share 
of renewable electricity increases as planned. 

Regarding gas, Germany is very well interconnected and has a high degree of diversification of supply 
routes and sources. Most of the EU efforts in the context of Projects of Common Interests (PCIs) are 
made  with  the  aim  to  enable  gas  reverse  flows.  In  total,  Germany  has  32  PCIs  including  21  PCI  in 
electricity, 9 in gas and 2 in oil. Investment in gas infrastructure should increase by a total of EUR 1.9 
billion between 2014 and 2019 in order to meet the targets of 260 megawatts additional compressor 
capacity  and  423  km  grid  expansion  until  2019,  according  to  the  Network  Development  Plan  Gas 
2014. 

ELECTRICITY AND GAS MARKETS 

Market concentration index for power generation 
(left) and gas supply (right) (2013) (Herfindahl index – 
10000 means monopoly) 

Sources:ESTAT and European Commission Calculations 

Sources: European Commission based on ESTAT, CEER and Platts 
Power Vision 

Market  concentration  on  electricity  and  gas  generation  markets  is  significantly  below  EU  average. 
Wholesale  prices  are  also  slightly  below  EU  average.  On  the  retail  side  the  gas  market  can  be 
considered  to  be  very  competitive  while  the  electricity  market  is  reasonable  competitive  with  the 
four  largest  companies  having  a  market  share  of  45.5%.  Electricity  retail  prices  for  households  are 
among the highest in Europe due to high taxes and levies. The reform of the 2014 Renewable Energy 
Sources  Act  (EEG)  is  expected  to  stabilize  costs  for  the  renewable  surcharge.  Although  all  required 
legal  provisions  are  in  place,  switching  rates  in  2013  were  lower  than  on  average  in  the  EU  while 
according to a European survey consumer satisfaction is well above average3.  

High volumes of renewables have changed the way the electricity market in Germany operates.  All 
new beneficiaries of the renewables support scheme (above certain thresholds) will have to sell their 
electricity directly in the market and will be subject to balancing deviations between production and 
prognosis.  Nevertheless,  further  efforts  are  needed  to  ensure  optimal  market  functioning  with 
further  increasing  shares  of  renewable  energies.  In  a  White  Paper  of  July  2015,  the  Federal 
Government  advocates  a  further  development  of  the  electricity  market,  on  which  the  necessary 
capacities can be remunerated via existing market mechanisms, and argues against the introduction 
of a market-wide capacity market. The White Paper proposes the introduction of a capacity reserve. 

Germany's current legislative approach encourages smart metering roll-out for the following cases: 
(i)  consumers  with  annual  electricity  consumption  over  6.000  kWh,  (ii)  major  generation  facilities 

10th Consumer Markets Scoreboard (June 2014),   

3  
http://ec.europa.eu/consumers/consumer_evidence/consumer_scoreboards/10_edition/index_en.htm 

4 

 
 
 
 
 
 
                                                                 
Towards an Energy Union - Germany 

pursuant to the national Renewable Energy Sources Act and the Combined Heat and Power Act, and 
(iii) final consumers in new and renovated buildings. No separate rollout in the gas sector is foreseen. 
Further legal acts and technical specifications are expected to be adopted in 2015. 

CONTRIBUTION OF ENERGY TO CONSUMER PRICE EVOLUTION 

Similarly to the rest of the Euro area, consumer price inflation has decreased in Germany since 2011 
(from  2.5%  to  0.8%),  although  at  a  slower  pace  than  the  Euro  area  average  (from  2.7%  to  0.4%). 
Energy products have contributed to the decline in inflation in 2014 due to falling oil prices. 

Source: DG ECFIN based on Eurostat 

VULNERABLE CONSUMERS 

Based  on  the  EUROSTAT  Survey  on  Income 
and  Living  Conditions,  three  proxy  indicators 
have  been  used  to  assess  fuel  poverty.  They 
indicate that energy poverty is less of an issue 
in  Germany  than  on  average  in  the  EU. 
Germany's 
the 
concept of vulnerable consumers; however, a 
specific  definition  of 
concept  of 
vulnerable  consumers  in  the  energy  field  has 
not been introduced in the energy legislation. 

legislation  covers 

social 

the 

Source: European Commission, based on EUROSTAT Survey on Income 
and Living Conditions (SILC) 

5 

-10123420052007200920112013% increase on a year earlierNon EnergyEnergyAll itemsGermany : Price evolution & the contribution of energy prices-10123420052007200920112013% increase on a year earlierNon EnergyEnergyAll itemsEA : Price evolution & the contribution of energy prices 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

3. Energy Efficiency and moderation of energy demand 

ENERGY EFFICIENCY TARGET 2020  
(276.6 Mtoe primary energy and 194.3 Mtoe final energy) 

In  2013,  Germany  notified  a  national  target  of  improving  its 
final energy intensity by 2.1% per year on average until 2020. 
In  2010,  Germany  had,  in  the  frame  of  the  Energiewende-
Concept,  set  itself  the  target  of  reducing  primary  energy 
consumption  by  20%  by  2020  (compared  to  2008  levels).  If 
the trend in primary and  final energy consumption observed 
in  the  period  2005-2013  will  continue  up  to  2020,  Germany 
would not meet its national target. Germany has adopted an 
Energy and Climate Package in December 2014 (with focus on 
measures  for  buildings,  in  industry  and  in  transport)  which 
will  help  in  closing  the  energy  efficiency  and  CO2-reduction 
gaps.  

It is however not yet evident that the identified measures will 
be sufficient to close the gaps; on the contrary, recent expert 
analysis  suggests  that  additional  investment  is  needed  and 
the  efforts  in  particular  with  regard  to  the  retrofitting  of 
buildings would need to be considerably stepped up. 

ENERGY INTENSITY 

 Source:  European  Commission,  based  on 
EUROSTAT  and  on  national  energy  efficiency 
targets  as  declared  by  the  MS  under  the  Energy 

Efficiency Directive 

Primary energy intensity in Germany is slightly below EU average and has decreased in line with EU 
average over the last 13 years. Energy intensity in industry had for some time decreased more slowly 
than on average in the EU but remains below the EU average. 

Primary energy intensity of the economy 

Final energy intensity in industry 

Source: European Commission based on  EUROSTAT and European 

Commission/AMECO 

Source: European Commission based on  EUROSTAT and European 
Commission/AMECO 

Energy consumption by households is slightly above EU average and in 2013 the energy consumption 
per m2 has even increased, in total as well as in relative terms compared to the EU average and the 
years before. The specific energy intensity of passenger transport has improved, but remains above 
EU average. The specific energy intensity for freight transport improved significantly and is now well 
below EU average.  

6 

 
 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

Final  energy  consumption  per  m2 
residential sector, climate corrected 

in 

Specific energy intensity for passenger cars and freight 
transport4 

Source: European Commission based on  Odyssee 
database 

Source: PRIMES model background data and estimations based on EU 
Commission and EU MS inputs 

The  graph  below  shows  the  fleet  average  CO2  emissions  of  new  passenger  cars  and  vans, 
respectively, sold and registered in Germany compared to the European Union fleet average.   

Source: European Environmental Agency. 2014 values are provisional. 2013 EU average refers to EU-27. 
Note: The graph does not take into account differences in Member States' vehicle fleet compositions. 

EU legislation sets mandatory CO2 emission reduction targets for new cars and vans registered in the 
EU. By 2021, the fleet average to be achieved by all new cars is 95 grams of CO2 per kilometre. For 
new vans, the fleet average is set at 147 g/km by 2020. These targets need to be achieved on fleet 
average per manufacturer. 

Regarding transport performance, in EU-28 the inland freight modal shares are 71% by road, 17% by 
rail, 7% by inland waterways and 5% by pipelines. The respective inland passenger modal shares are 
82% by private car, 9% by buses and coaches, 7% by railways and 2% by tram and metro. 

Modal shares Germany 

Source: Eurostat and EU transport in figures 2015. Data refers to 2013. Modal shares based on tonne-kilometres for freight sector and 
passenger-kilometres for passenger sector, freight data based on activity within country territory. Estimates are made when data is missing. 

4  

Statistics  on  energy  demand  for  passengers  and  freight  transport  are  not  available  and  model  estimates  have  been 
used instead. These issues should be borne in mind when comparing energy intensity in freight or passenger transport 
between Member States, which should be regarded as merely indicative. 

7 

 
 
 
 
 
 
 
 
 
                                                                 
Towards an Energy Union - Germany 

4. Decarbonisation of the economy 

NON-ETS GHG EMISSION REDUCTION TARGET 2020  
(-14% by 2020 as compared to 2005 in the non-ETS sector) 

Germany  has  decreased 
its  non-ETS  GHG 
emissions by 10% between 2005 and 2014 (based 
on 2014 approximated data). 
According  to  its  latest  projections,  Germany  is  on 
track  to  reach  its  2020  target,  with  about  1 
percentage point margin as compared to 2005.  

Non-ETS 
Emissions 
2005) 

(vs. 

Projections/proxy 

target 

Projections  with 
existing 
measures 2020 

-15% 

-14% 

Proxy 2014 

-10% 

-6% 

Source:  European  Commission    based  on  EEA.  Based  on 
preliminary inventory data. 

ESD  (Effort  Sharing  Decision)  emissions  are  the  emissions  not 

covered by the EU ETS 

8 

 
 
 
 
 
     
 
 
Towards an Energy Union - Germany 

RENEWABLE ENERGY SHARE TARGET 2020 (18%) 

Germany is on track to reach its 18% target in 2020, 
with  a  renewable  energy  share  of  12.4%  in  2013. 
Germany has the long term objectives of a share of 
renewables  in  gross  final  energy  consumption  of 
30% by 2030 and 60% by 2050 (with a share of 80% 
in gross electricity consumption).  The reform of the 
2014 Renewable Energy Sources Act (EEG) allows for 
better  control  of  expansion  of  renewables. 
It 
renewables 
promotes  market 
consistent  with  EU  State  aid  rules.  The  pilot 
auctioning  scheme  will  allow  gathering  experience 
with more market-based setting of support levels. 
However, additional efforts might still be needed to 
achieve long term goals in renewable heat capacity, 
and  to  improve  regulatory  certainty  for  wind,  PV 
and bioenergy. 

integration  of 

Source: European Commission based on  EUROSTAT 

GREENHOUSE GAS EMISSION INDICATORS 

  In  Germany  the  share  of  emissions  from  the  power  sector  is  higher  than  the  EU  average, 
partially  due  to  the  importance  of  coal  in  its  energy  mix.  On  1  July  2015  the  Federal 
Government's  coalition  parties  reached  an  agreement  with  regard  to  the  closure  of  lignite 
fired power stations, which will result in additional emission reductions. 
  Carbon intensity of the economy is only slightly higher than EU average. 
  GHG emissions per capita are among the highest in the EU, and about 27% higher than the 
EU  average,  but  have  decreased  from  15.7  t  CO2  equivalents  in  1990  to  11.6  t  CO2 
equivalents in 2013. 

  The proceeds from the auctioning of  ETS allowances (EUR 750  million  in 2014) are used  or 
planned to be used fully for energy and climate related purposes, through their redirection to 
the Climate and Energy fund. 

Largest 
Emissions in 2012(*) 

Sectors 

of  GHG 

Germany 

Energy/power industry  
Transport 
Industry  
Agriculture (incl. forestry & 
fishery) 
Residential & Commercial 
Waste & others 

40% 
17% 
20% 
8% 

14% 
1% 

Source: European Commission  based on EEA 
(*) Sectoral breakdown for 2013 data not available. 

GHG Emissions 

Germany 

EU 
Average 

EU Average 
EU  ETS 
  auctioning 
revenues  in  2014  (EUR 
33% 
millions) 
20% 
Share  of  ETS  emissions 
19% 
in 2013 
12% 

13% 
3% 

GHG  emissions/capita 
in 
2013 
(tCO2equivalent) 
Carbon intensity of the 
2013 
economy 
(tCO2equivalent/EUR 
millions) 

in 

750 

3205 

51% 

42% 

11.6 

8.5 

355 

328 

Source: European Commission  based on EEA 

9 

 
 
 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

ENERGY & TRANSPORT TAXATION 

Energy and transport related taxes as a share of GDP in Germany amounted to 2.1% in 2012, which is 
lower  than  the  EU-average  (2.3%).  Germany  was  at  the  EU  average  in  2005  (2.5%  of  GDP).  This 
evolution came from a stronger decrease in taxation of transport fuel in relation to GDP than the EU 
average from 2005 to 2012. 

Source: Eurostat 

5. Research, innovation and competitiveness 

RESEARCH AND INNOVATION 

Germany performs above EU average in terms of research and innovation. This is particularly striking 
in  terms  of  innovation,  where  it  stands  at  much  higher  levels  than  any  of  the  major  competitors. 
Areas  of  highest  priority  are  research  and  development  in  renewable  technologies  (photovoltaic, 
wind  energy),  energy  efficiency  measures  in  the  building  sector  and  in  industry,  crafts,  trade  and 
services and measures in energy storage and smart grids respectively.  Germany is open to increase 
cooperation  in  Research  and  Development  with  other  EU  Member  States  in  different  energy 
technology areas. Germany is also open to support Carbon Capture and Storage (CCS) development 
in cooperation with other EU Member States.  

Source: European Commission based on  EUROSTAT   

10 

0.01.02.03.0DEEU-28Energy & Transport related taxes % of GDP, 2005TransportvehiclesTransport fuelHeat &Electricity0.01.02.03.0DEEU-28Energy & Transport related taxes % of GDP, 2012TransportvehiclesTransport fuelHeat &Electricity 
 
 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

COMPETITIVENESS  

Energy  prices  have  remained  quite  stable, 
although on an increasing trend in Germany over 
the  past  ten  years.  The  energy  intensity 5  of 
Germany's  manufacturing  sector  is  significantly 
lower than in the EU, and the US. Therefore, the 
real  unit  energy  costs,  that  is  the  amount  of 
money  spent  on  energy  sources  needed  to 
obtain  one  unit  of  value  added,  have  remained 
much  lower  in  Germany  than  in  the  EU27. 
However, it is higher than in the US due to higher 
real energy prices in Germany. 
When  looking  in  particular  at  Eurostat  data  for 
industrial consumers of gas and electricity, it can 
be  noted  that  prices  in  Germany  are  above  EU 
average  and  above  OECD  average  for  electricity 
as well. 

Real unit energy costs (% of value added) 

Source: European Commission 

Source: European Commission based on EUROSTAT and IEA 

6. Post-2020 Energy and Climate policy Strategy  

COMPREHENSIVE MEDIUM TO LONG-TERM STRATEGY (post-2020) 
FOR CLIMATE AND ENERGY  

  Germany  has  adopted  in  2010  the  Energy  Concept  (Government  Decision),  a  comprehensive 
strategy  covering  both  medium  (2030)  and  long  (2050)  term  strategies.  The  Energy  Concept 
contains  specific  targets  and  pathways  until  2050  for  greenhouse  gas  reductions,  renewable 
energy and energy efficiency/savings. Germany intends to reduce GHG emissions by 40% by 2020 
and by 80-95% by 2050 on 1990 levels. 

 

5  

In  2014,  Germany  adopted  the  “Climate  Action  Programme  2020”.  The  Programme  contains 
around  100  measures  in  all  relevant  sectors  and  includes  a  mandate  to  develop  a  “Climate 
Protection  Plan  2050”  by  2016,  which  will  address  all  sectors  and  greenhouse  gas  emissions.  It 
will describe the next specific reduction steps in view of the European targets and the outcome 

The  energy  intensity  presented  here  is  derived  from  Use  Tables  of  WIOD,  see  "Energy  Economic  Developments  in 
Europe SWD(2014)19". 

11 

8.59.58.210.213.28.89.313.78.00246810121416DEEU27US200020092011 
 
 
 
  
 
 
 
 
 
 
                                                                 
Towards an Energy Union - Germany 

of the Paris Climate Change Conference in 2015 and will support them with measures developed 
in a broad-based dialogue process. 

  A number of legislative measures were adopted in the past years to implement the Energiewende 
including amendments to the Renewable Energy Act (EEG), the promotion of energy efficiency in 
buildings,  accelerated  electricity  grid  expansion,  support  for  heat-power  cogeneration,  and  the 
gradual phase-out of nuclear power until the year 2022. 

  Germany  has  put  in  place  a  systematic,  annual  process  of  monitoring  the  development  of  its 
energy  system.  The  monitoring  also  includes  evaluation  of  the  draft  government  report  by  an 
independent  panel  of  energy  policy  experts.  It  also  addresses  all  three  dimensions  of  energy 
policy, including prices/ costs/ competitiveness. 

  The  government  also  announced  to  publish  an  "Energy  Efficiency  Strategy  for  Buildings"  which 
will – together with the "Strategy for climate-friendly building and living" – give further details on 
how to achieve the long-term goal of having an almost carbon-neutral building stock by 2050. 

 

In  2013  the  Federal  German  Government  launched  the  “Mobility  and  Fuels  Strategy”,  which  is 
the key platform of discussion for sustainable mobility. The strategy is an important instrument 
for  the  implementation  of  the  “Energiewende”  in  the  transport  sector  as  it  identifies  the  fuel 
options, the corresponding drivetrain technologies as well as the necessary infrastructure which 
are most likely to contribute to an increase in efficiency and a reduction of CO2 emissions. As a 
next step, Germany will release an update of the strategy to present options of how to organize 
the deployment of alternative fuels infrastructure. 

NATIONAL TARGETS, especially for 2030 

Objective, 2030-2050 

GHG reduction  
Renewable energy share 
Energy Efficiency / savings 

Targets 
Yes 
Yes 
Yes 

Comments 

-55% by 2030, -80 to -95 % by 2050 (vs 1990 levels)  
30% by 2030, 60% by 2050; sub-targets 
No  specific  headline  target  for  energy  efficiency  in 
2030;  2050  target  on  the  reduction  of  primary  energy 
consumption by 50% vs. 2008 levels 

7. Regional cooperation 

Regional  cooperation  on  infrastructure  development  is  necessary  to  optimise  the  identification  of 
regional infrastructure priorities and to coordinate cross-border investments.  As a centrally located 
country in Europe, Germany is a member of all electricity, gas and oil Regional Groups which  have 
been established under the trans-European energy networks (TEN-E) Regulation. 

Germany will be also part of the regional initiative on the promotion of the North Sea Offshore Grid, 
which  aims  at  delivering  cost-reduction  to  the  offshore  energy  system.  It  is  also  part  of  the  Baltic 
Energy Market Interconnection Plan (BEMIP), which aims at further reinforcing the regional energy 
cooperation in the Baltic Sea region both in gas and electricity. 

Germany is a member of the Pentalateral Energy Forum. It was created in 2005 by Energy Ministers 
from Benelux, Germany and France in order to promote collaboration on cross-border exchange of 
electricity.  It  is  an  inter-governmental  initiative,  assisted  by  an  independent  secretariat,  whose 
mission  consists  of  improving  control  of  the  cross-border  network  and  harmonising  allocation 
methods  using  information  exchange  between  regulators  and  network  managers  in  participating 
countries. In July 2014, Germany set up a regular round-table discussion with neighbouring Member 
States and the Commission on regional cooperation for promoting security of electricity supply and 
renewable  energy.  As  an  outcome  of  these  discussions,  a  declaration  on  no-regrets  to  fully  exploit 

12 

 
 
 
 
 
 
 
 
 
Towards an Energy Union - Germany 

the benefits of the internal market for security of electricity supply was signed by the participants on 
8 June 2015. 

8. Cohesion policy contribution 

The EU Cohesion policy provides for investment possibilities to implement energy policy objectives in 
Germany which will be complemented by national public and private co-financing, aiming at optimal 
leverage. It also ensures integrated territorial solutions to challenges by supporting capacity building, 
technical assistance and territorial cooperation, including the Baltic Sea Region, Danube Region and 
Alpine Region macro-regional strategies in which some of the German Länder take part. 

Internal  Energy  Market:  Over  2014-2020,  EU  Cohesion  Policy  will  invest  some  EUR  60  million  in 
research  and  development  /  innovative  pilot  projects  on  smart  electricity  distribution  grids  in 
Germany. These investments are expected to contribute to around 1 000 additional users connected 
to smart grids.  

Energy efficiency: Over 2014-2020, EU Cohesion Policy will invest some EUR 1 505 million in energy 
efficiency  improvements  in  public  buildings  and  in  enterprises,  as  well  as  in  high-efficiency 
cogeneration and district heating in Germany. A further estimated EUR 555 million will be invested in 
supporting the move towards an energy-efficient, decarbonised transport sector. These investments 
are expected to contribute to a decrease of around 232 634 000 kWh per year of decreased primary 
energy consumption of public buildings.  

Decarbonisation:  Overall,  the  EU  Cohesion  Policy  investments  in  Germany  over  2014-2020  are 
expected to contribute to an estimated annual decrease of GHG of around 412 000 tonnes of CO2eq. 
Over  2014-2020,  EU  Cohesion  Policy  will  invest  some  EUR  102  million  in  renewable  energy  in 
Germany. These investments are expected to contribute to around 100 MW of additional capacity of 
renewable energy production.  

Research,  Innovation  and  Competitiveness:  Over  2014-2020,  EU  Cohesion  Policy  will  invest 
significantly in R&I and in competitiveness of small and medium sized enterprises in Germany. This 
will  be  based  on  the  regional  strategies  for  smart  specialisation.  For  Germany,  many  strategies 
include  a  focus  on  low-carbon  technologies.  At  this  stage,  at  least  EUR  247  million  is  foreseen  for 
investments  in  R&I  and  adoption  of  low-carbon  technologies  in  Germany,  but  this  might  increase 
further in line with the evolving content of the smart specialisation strategy. 

13