Comments on: German Feed-in Tariff Costs Invisible Without Magnifying Glass

By: Karl-Friedrich Lenz

Karl-Friedrich Lenz — Sun, 20 Oct 2013 01:34:00 +0000

Craig Morris at Renewables International reports on an article at Manager Magazin, which says that most utilities won’t pass on the increase:

http://www.renewablesinternational.net/german-retail-prices-may-remain-unchanged/150/537/73949/

By: Karl-Friedrich Lenz

Karl-Friedrich Lenz — Sun, 20 Oct 2013 01:19:00 +0000

This would be a decision for each individual utility to make. Since Germany (as well as the whole EU) has completely liberalized the electricity sector, there is competition. And it is pointed out frequently that many customers can save more than the additional cost from the surcharge hike by switching to a cheaper provider.

I did not see any such report this time around, but last year RWE announced that they would not pass on the surcharge increase:

http://k.lenz.name/LB/?p=7851

By: Bob_Wallace

Bob_Wallace — Thu, 17 Oct 2013 20:59:00 +0000

Karl, I saw some news yesterday about some of the savings at the wholesale level being passed on to retail customers so that residential rates will stay basically flat when renewable subsidies increase.

Seems only fair since the renewables that retail customers are supporting have caused wholesale electricity costs to fall. Makes no sense for all the savings to go to industry profits and industrial user prices when retail customers are paying the bill.

You seeing anything in the German press?