Germany is one of Europe's pioneers in renewable energies. The vast sums of money invested in recent years to promote and build renewables is now showing its worth: With strong winds over Europe in recent days, wind turbines produced as much electricity that prices in Germany were lower compared to all of its neighbouring countries. And finally fell back into bearable regions. - A commentary by Markus W. Voigt, CEO of the aream Group.

48.89 euros was the price of electricity for Germany on the Leipzig exchange on Monday (19 September 2022). Denmark, which is also heavily supplied with wind power, paid between 52 and 53 euros. In the Netherlands, the price soared to 80 euros, in Belgium 118 euros, and Poland reached up to 141 euros. The most expensive countries were Switzerland with 257 euros, Austria with 218 euros and France, a nuclear power country, with 169 euros. 

Electricity prices in Europe as of 19.09.2022 (Source: Europäische Strombörse EPEX SPOT SE)

These figures show that the expansion of renewable energies, which actually drove up electricity bills for years, is now helping to curb electricity prices. Renewable energies thus show that they are not a luxury and not just something for good times. They are indispensable as a base load and have a dampening effect on the electricity price. Considering that prices found on the stock exchange are always only a snapshot, they do present a good indication for electricity price levels. Electricity purchased at these prices lowers the overall price. 

Germany could be a real land of milk and honey for electricity consumers if the question of storage can be solved. Whether pumped storages, batteries or in the form of hydrogen: once green electricity can be stored and made available at any time and almost indefinitely, it will bring a new boom to the German economy.

Today we can already observe that more and more energy-intensive companies are setting up locations in Schleswig-Holstein, which is rich in wind and largely supplied with renewable energy. This market-pull will increase in the future.If Germany is able to match the growing demand and expand its renewable energy sources also in other regions, especially the south, even companies from abroad will make their choice of location according to energy availability and thus in Germany.

Cheap electricity at any time of day or night, made possible by the expansion of renewable energy generation and storage, will ensure that a truly flourishing landscapes can unfold in Germany.