Power generation disruption

Energiewende (or “energy transition”) is one of Germany’s largest ongoing projects: a paradigm for the rapid and disruptive changes that many electricity markets are now facing or soon will face, as regulatory and consumer pressures to reduce fossil fuel usage grow and the costs of renewables-based generation continue to fall.

Due to its early adoption of renewable energy, Germany is now a good example of the kind of turbulence that can be expected as electricity markets transition. More than three-quarters of German private households, energy utilities and industrial companies that we recently surveyed (in collaboration with the Technical University of Munich) see the realignment of the energy sector and Germany’s pioneering role in a positive light.

Nevertheless there are clear hurdles to making renewables-based generation a reality. Read our story on the Oliver Wyman Ideas app or downoad the PDF.

More than 72 percent of private households, industries and utilities support Germany's Energy Transition; however, the recent changes to the German Renewable Energy Act are regarded as insufficient by all groups...