The Poverty of the Energiewende
How Low Homeownership Makes Germany's Antinuclear, Pro-Renewables Policies Regressive
I recently had an interesting opportunity to spend a week in Berlin talking to many people about Energiewende, one of the most radical and far-reaching initiatives any affluent economy has undertaken in recent years. The term Die Wende has a gradation of meanings, from a gradual turnaround to a sudden U-turn, and before it became associated with energy, its most common use in German conversations was in reference to the demise of East Germany in 1989. That was, of course, a true U-turn, from dogmatic communism to absorption by liberal Germany. Energiewende cannot be a near instant U-turn — no complex technical infrastructure can be changed that rapidly — but Germany’s new energy goals are bold and truly transformative. Their implementation is also proving to be less than admirable, indeed the process is becoming rather burdensome. Yet most of the people I talked to in Berlin seemed unconcerned, and many were even incredulous or politely hostile when I suggested (always mindful of Andersen’s wise tale) that the king may not be fully clothed.