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Habeck advocates for altering the incentives for biomass utilization

Future power generation instability could potentially be mitigated through energy sourced from rapeseed or wood, as suggested by Minister Habeck. He advocates for revising the support system for biomass.

Plant-derived gas serves as a complement to renewable energy sources when wind and solar power fall...
Plant-derived gas serves as a complement to renewable energy sources when wind and solar power fall short.

- Habeck advocates for altering the incentives for biomass utilization

Germany's Economics Minister Robert Habeck has unveiled a "broad-spectrum biomass plan". "Biogas has the potential to remain significant in the upcoming energy structure," the Green politician shared with the German Press Agency in Berlin. "On one hand, plants serve as part of heating or building infrastructure. On the other, biogas can be employed flexibly - primarily at times of minimal wind and sun." The overhaul aims to reduce subsidy expenses.

Subsidies for numerous entities will expire soon

Energy sourced from biomass is derived from plants, including crops such as corn or rapeseed, and agricultural and forestry waste and remnants. Biogas and vegetable oil can be produced from this organic matter. Approximately 9% of Germany's overall electricity consumption in the first half of this year was sourced from biomass. Overall, biomass accounted for approximately 58% of the nation's reliance on renewable energy sources.

Between 2004 and 2011, there was a significant surge in biomass use in power generation, as noted by a representative from the Ministry of Economics. "Numerous have since introduced innovative, local solutions, for instance by transforming environmentally harmful manure into electricity or by establishing heat networks," they added. However, subsidies for many will cease after 20 years, and demand for subsequent subsidy offers is notably greater than the supply. "Numerous facility operators and their heat consumers are apprehensive about the future. We recognize their concerns."

Compensation for variable energy output

However, biomass is regarded as a "limited and valuable resource that should be utilized wisely," the representative confirmed. Biomass can contribute to balancing the intermittent energy generation of wind turbines and solar panels, for example.

In the future, subsidies will favor plants connected to a heating or building infrastructure, according to the ministry's statements. Plants capable of producing power as needed will receive enhanced subsidies. Funding will only be granted during electricity demand peaks. Those transitioning from the existing subsidy system to the new one will also be permitted to do so during their current subsidy period. The proposals are intended to be part of the proposed reform of the "Energy Industry Act".

Thuringia's Energy Minister Bernhard Stengele (Greens) had earlier urged Habeck to enhance subsidy criteria. Without long-term planning, biogas facilities risk becoming obsolete. He endorsed Habeck's announcement. It is essential for eastern Germany and Thuringia that the federal government supports the facility operators. "Improved subsidy conditions, higher tender values, and the abolition of the southern quota are essential prerequisites for them to have more clarity and planning security," said Stengele. "We require biomass energy for a stable energy transition."

The following is the list of substances that biogas is derived from: plants, crops such as corn or rapeseed, and agricultural and forestry waste and remnants. The subsidies for many biomass facility operators will cease after 20 years.

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