Environmental Engineering Reference
In-Depth Information
wind power manufacturing industry was taking root in the 1980s. Synergies
in Denmark between clean energy and industrial development piqued the
interest of German policymakers; subsequently, in June 1989, with fail-
ure of the Growian project still fresh in their minds, the Federal Ministry
of Research returned to the drawing board, emerging with a diversiied
research program called the 100 MW Wind Programme.
he intent of the program was to support the design and evaluation of
promising new wind power systems. All turbines covered under the program
would be monitored for 10 years in order to assess technical performance.
he program provided investment grants of €102 per installed kilowatt of
generating capacity, up to a maximum of €46,000. Moreover, wind power
operators were granted a subsidy of €0.041 per generated kilowatt hour,
which would be added to the negotiated purchase price for power sold
into the public electricity grid. he program attracted strong competition
among wind power plant producers; consequently, in 1991 the program was
expanded to support 250 MW worth of test projects. his R&D program was
instrumental for reducing the cost proile of wind power, allowing the gov-
ernment to reduce the subsidy to €0.031 per kilowatt hour in 1991.
10
he period between 1991 and 1995 has been dubbed the irst break-
through period for wind power.
11
he catalyst behind this breakthrough was
announcement of Germany's irst feed-in tarif (StrEG1991), which required
Germany's grid operators to purchase wind power for 90% of the average
retail price of electricity. In order to allay inancial concerns of the utilities,
it also established a hardship clause which allowed utilities to claim back
extra costs from upstream power generators if total renewable energy con-
tributions exceeded 5% of total system supply. hanks to this new policy,
Germany's installed wind power capacity expanded tenfold over this ive-year
period and utility opposition was negligible (see next page, Figure 5.4).
12
So much wind power coming online in such a short period of time gave
rise to two challenges. he irst challenge was that public opposition began
to escalate. Concerns over the risk of bird collisions, turbine noise, and
shadow licker escalated.
13
In response, local land-use planning authori-
ties tightened wind farm approval standards, resulting in a backlog in sit-
ing permissions and injecting a higher degree of risk into the wind power
development process. he second challenge was that wind power develop-
ment in some regions was so extensive that power utilities began to express
concern over grid instability caused by the stochastic nature of wind power
lows. hese concerns prompted the Association of German Electric Power
Utilities to ile a lawsuit, charging that the feed-in tarif act contravened
European state aid regulations.
14
his legal challenge ampliied the risk asso-
ciated with wind power projects.
