At some point the German voters are going to figure out they have been scammed:
RWE AG (RWE) is delaying investments. SIAG Nordseewerke GmbH filed for insolvency. REpower Systems SE is cutting temporary staff. All show how German Chancellor Angela Merkel’s 550 billion-euro ($734 billion) plan to replace nuclear reactors with renewable sources is stalling.
About 700 workers demonstrated in Hanover last week calling for more support from Merkel to the offshore wind industry. Her 2011 plan to shutter atomic plants and add sea-based wind farms that could cover an area six times the size of New York City remains bogged down amid wrangling over financial risk-sharing and upgrading the transmission grid.
“It’s a chaotic standstill,” Claudia Kemfert, who heads the energy unit at the Berlin-based DIW economic institute and advises the government, said in an interview. “Actions have failed to live up to promises.”
Merkel wants to more than triple the share of renewables in Germany’s power mix by 2050 in the biggest energy overhaul in the country’s post-World War II history. The costs and scope of the project have moved energy to the center of the political agenda as the chancellor seeks re-election this year.