Articles by

Dr. Karl-friedrich Lenz

Germany’s Renewable Energy Auction Model Is Not An Absolute Disaster

By

Dr. Karl-friedrich Lenz

The problem with auctions is that contrary to what they are sold as (more market-based model) they are removing the decision on how much new solar is built from the market to the state. There is no way in an auction system to build even one MW more than is auctioned in the first place.