Exploring heterogeneous growth of wind energy across Germany

• Published in: Utilities policy 2016-08, Vol.41, p.193-205
• Main Authors: Goetzke, Frank, Rave, Tilmann
• Format: Article
• Language: English
• Subjects: Green party; Renewable energies; Unemployment
• ISSN: 0957-1787; 1878-4356
• DOI: 10.1016/j.jup.2016.02.010

Expansion of renewable energies in Germany is strongly associated with decentralization of energy provision. In the case of wind energy there are especially strong regional-level spatial, technical, economic, and social ramifications of this energy source. In addition to differing natural conditions and the strong push from the federal feed-in tariffs, policies and initiatives at the state, county, and municipal level need to be considered when explaining the pattern of wind energy expansion across time and space and to improve the coordination of multi-level energy policies. This paper uses panel regressions at the level of German counties from 2001 to 2012 to explore the growth of wind power capacity. Based on the estimates obtained, we then analyze counterfactual scenarios in which factors influenced by the regional (county) level are varied individually. Our focus is on party policy preferences and coalitions on the one hand, and the unemployment rate on the other. While strict causality is difficult to establish, our results reveal heterogeneous incentives between states, within states, and between different county types. •We apply panel regressions at the level of German counties to explore the growth of wind power capacity.•Subsequent counterfactual analyses allow highlighting selected policy influences at the regional level.•Differences in regional unemployment rates are most pronounced. They make coordination of energy policies difficult.