Monday, 30 May 2011

A major step towards renewable energy

The German government has recently decided to abandon nuclear power which currently provides a quarter of its energy needs completely by 2022 and become fully dependent on renewable energy. Although they might keep one plant on stand-by incase renewable energy might not be sufficient for winter months.

The Financial Times further reports that this move "will come as a blow to Germany’s “big four” nuclear power companies, RWE, Eon, Vattenfall and EnBW." Personally I don't know much about these nuclear companies but I am aware that Eon does invest alot into renewable energy alternatives. As typical in a Capitalist market, innovation and development is only done in great strides when it becomes profitable. Now that nuclear power (at least in Germany) is in its dying days, I'm sure alot of other energy companies will be investing heavily on cleaner and renewable sources.

Germany is the largest economy in Europe and one of the strongest in the world. I would hazard a guess and say that this decision by the German government will be infectious throughout Europe and other EU countries will soon follow suite although reading this article might give a different opinion as it suggests that France has a greater dependence on nuclear energy than Germany.

Still, I do hope in the very least a serious plans to gradually reduce dependence on non-renewable sources will be implemented and a time-line put in place in other countries for the complete adoption of renewable energy is primary sources.  I would also say that the strongest economy in Europe abandoning nuclear energy and forcing the market to invest in renewable energy will push companies towards new innovations that make renewable energy more efficient and alot cheaper to build and run.  If this happens, it could be this scientific breakthrough, triggered by the German market, which will make renewable energy more appealing to different countries of the world.