Germany has been a global leader in the transition to renewable energy, with the country having the most ambitious clean energy goals and targets globally. Germany is meeting these goals, last year carbon emissions fell by 80 million tonnes, 2 percentage points higher than its target (40 per cent of 1990 emission levels). These gains have been heralded by increasing adoption of clean energy; notably wind and solar. However, Germany’s success highlights a challenge that all transitioning energy systems will have to confront; What happens when the sun doesn’t shine, or the wind blows too much?
Energy shortages and surpluses significantly impact grid systems and market dynamics. With Germany looking to shut down its coal and nuclear power plants in favour of cleaner sources, providing stability in the face of intermittent renewable generation is pertinent. Batteries can pair renewables for emergency and short-term energy provision, but a more capable source is needed for extended periods. Many see gas as the solution; they argue that it is cleaner than other fossil generation sources. However, with increased carbon pricing, gas may yet become too expensive as a backup option. According to some, the cheapest option will be the total reinvention of the way we design energy systems. Rather than build plants to meet demand, we would need to configure our demand to meet available supply.