Will there be an Energy Efficiency Fund in Germany?

Panel: Panel 1. Strategies and integrated policies

Authors:
Stefan Thomas, Wuppertal Institute for Climate Environment Energy
Wolfgang Irrek, Wuppertal Institute for Climate Environment Energy

Abstract

As many other countries, Germany misses to exploit most of its large potential for cost-effective energy efficiency improvements. An organisation collecting funds and allocating them to the most (cost-)effective programmes could be a solution.

Therefore, political parties and trade unions as well as environmental NGOs have called for the creation of such an Energy Efficiency Fund. A recent study by the Wuppertal Institute together with a number of partners, commissioned by the Hans Böckler Foundation, analysed the feasibility of such an institution.

It has been the objective of the project, completed in March 2005, to

identify the added value of an Energy Efficiency Fund,
develop concrete proposals for the institutional setting and the financing of an Energy Efficiency Fund in Germany,
prepare and assess the benefits and costs of a portfolio of innovative but realistic energy efficiency programmes and campaigns, which the Energy Efficiency Fund would implement,
identify the effects of the fundraising and the programmes on different industries, particularly on the suppliers of energy-efficient technologies and services, and on their growth and employment perspectives,
estimate the net employment effects of such an Energy Efficiency Fund and its activities.

This paper presents the results and assesses the usefulness of the project and the participatory elements for increasing the acceptance of such a policy instrument.