Energy efficiency creates new markets
According to Robert Compton, manager for energy efficiency and smart cities at Germany Trade & Invest, measures to reduce Germany’s CO2 emissions can also benefit companies from abroad. “Environmental policy has created a market for energy-efficient solutions. Here international cleantech companies can find world-leading R&D partners and a thriving domestic market supported by progressive policy and a wide range of incentives. Once a foreign firm sets up a company here, it is on an equal legal footing with German companies,” says Compton.
Even when distributed across economic sectors, the benefits of implementing the program exceed the costs, found PwC. The industrial sector would have to invest to earn, but then the pay-offs are big, with estimated net savings of €74bn. This figure even included sectors where the direct costs were slightly higher than the gains, such as the energy sector.
Here PwC determined that energy providers as a group would come up about €10bn short, yet transfer payments, including network charges and cogeneration levies, could be used to offset this. The picture for the domestic sector was similar: households would have to find €56bn to comply, but would reap €82bn in savings and come out €26bn ahead.