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Impacts of Energy Production ยป Energy Example: Germany

What you'll learn this session

Study time: 30 minutes

Cambridge spec: 10.6.4

  • Germany's energy mix and how it has changed
  • The impacts of coal, gas, nuclear and renewable energy in Germany
  • The strategies and techniques Germany uses to manage its energy supplies
  • How to evaluate the German approach in a 6-mark answer

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Germany: the place and the story

Germany is a high-income country (HIC) in central Europe, with about 84 million people. It is the biggest economy in Europe and a major manufacturer of cars, machinery and chemicals, so it needs a lot of energy. Germany has some coal but almost no oil and little gas of its own, so it is an energy deficit country that must import much of its fuel.

Key terms:

  • Energiewende: German for "energy transition". It is the long-term plan to move from fossil fuels and nuclear power to renewable energy and greater efficiency.
  • Lignite: a soft, brown, low-quality coal that is mined at the surface and burns with high carbon dioxide emissions.
  • Feed-in tariff: a guaranteed price paid for each unit of renewable electricity put into the grid.
  • Phase-out: a planned, step-by-step end to using a fuel.

Short timeline

  • 2000: the Renewable Energy Sources Act (in German, the EEG) starts feed-in tariffs for wind, solar and biomass.
  • 2011: after the Fukushima accident in Japan, Germany decides to close all its nuclear power stations.
  • 2018: the last German hard coal mine closes.
  • 2020: a law sets the end of coal-fired electricity by 2038 at the latest.
  • 2022: Russia cuts gas supplies. Germany opens its first LNG terminal at Wilhelmshaven on 17 December.
  • April 2023: the last three nuclear power stations close.

1. The energy mix

The energy mix of electricity in Germany has changed fast. In 2024, about 63% of public net electricity generation came from renewable sources, a record (Fraunhofer ISE). Wind was the biggest single source at about a third of the total. Solar was about 14%, with smaller shares from biomass and hydroelectric power.

SourceShare of electricity, 2024 (about)Notes
Wind33%Biggest single source. Onshore in the north, offshore in the North Sea and Baltic Sea.
Solar14%Strong in the sunnier south, such as Bavaria, and on rooftops.
Biomass and hydroabout 14%Biomass from crops and waste, hydro mainly in the Alps and the south.
Ligniteabout one sixthFalling, but still the largest fossil fuel in electricity.
Hard coalabout 6%Falling sharply.
Natural gasabout 11%Used for heating, industry and back-up power.
Nuclear0%Last stations closed 15 April 2023.

Remember that this is electricity only. Germany's total energy, including heating and transport, still has a larger share of oil and gas, so the renewable share of all energy is lower than 63%.

2. Impacts of the different types of energy

⛏️ Lignite and coal

Environmental: huge open-cast mines in the Rhineland (Garzweiler, Hambach) and Lusatia destroy farmland, forest and villages, and lignite power stations produce high carbon dioxide emissions. Economic: thousands of jobs and cheap home-grown fuel. Social: villages are moved, and protests such as those at Hambach Forest divide opinion.

🌬️ Wind and solar

Environmental: low carbon, but turbines change landscapes and affect birds. Economic: new jobs and cheaper wind and solar over time, but a need for new power lines to carry wind power from the north to industry in the south. Social: many households and farmers own solar panels or shares in wind farms.

🔥 Gas and Russian supply

Russia supplied about 55% of Germany's gas imports in 2021. When Russia cut supplies in 2022, gas and electricity prices rose sharply, hitting households and factories. This showed the energy security risk of relying on one supplier.

☢️ Nuclear

Nuclear gave low carbon electricity and no coal smoke. Ending it removed the risk of accidents and the need for waste storage in future, but some people argue that it forced Germany to burn more coal for a while.

Impacts also happen at several scales. Local: mining villages and wind farm neighbours. National: high electricity prices for households, among the highest in Europe, and a falling carbon dioxide total. Global: Germany's emissions affect the climate, and its early support for solar helped make panels cheaper worldwide.

3. Strategies and techniques to manage energy supplies

A strategy is the plan or law. A technique is the method used to carry it out.

StrategyTechniquesStrengthWeakness
The Energiewende and the Renewable Energy Sources ActFeed-in tariffs for 20 years, later auctions for wind and solar projects, subsidies for rooftop solarMade Germany a world leader in solar and wind and cut costsCosts passed on to bills, and wind power is intermittent
Nuclear phase-outClosing stations in stages, finishing April 2023No nuclear accident or waste risk in futureLost a low carbon source, so coal and gas were used for longer
Coal phase-outEnd of coal power by 2038 at the latest, payments to mining companies and regions, retraining workersCuts carbon dioxide, protects mining regions from sudden job lossSlow, and expensive for taxpayers
Replacing Russian gasFloating LNG terminals such as Wilhelmshaven, new suppliers, filling gas stores, saving gasFast, and secured supply in the 2022-23 winterLNG is costly and still a fossil fuel
EfficiencyBuilding insulation grants, efficient appliances, industry efficiency targetsCheap and sustainable, as it needs no extra fuelOlder buildings are expensive to upgrade
Grid upgrades and storageHigh-voltage lines from north to south, battery storage, a smart gridDelivers wind power to where it is neededSlow to build, and local people may object

Evaluation: is Germany's approach sustainable?

Sustainable energy meets today's needs without harming the environment or future generations. Germany's progress on renewables and falling coal use is sustainable. However, bills are high, gas and lignite are still used, and Germany still imports much of its fuel. A balanced judgement: the Energiewende is a successful long-term plan that has cut carbon dioxide emissions, but the speed of change, costs to households, and the 2022 gas crisis show that a fast transition needs strong backup, storage and grid investment.

Common mistakes

Saying that Germany still uses nuclear power (it ended in April 2023). Mixing up the share of electricity (about 63% renewable in 2024) with the share of all energy. Listing facts without a place name or a figure. Describing the Energiewende without saying what it actually did, such as feed-in tariffs. Forgetting to give a judgement.

Exam-style question

Table 1 shows made-up data for Country Q's electricity in two years.

SourceYear 1 (% of electricity)Year 2 (% of electricity)
Coal4025
Wind and solar1535
Other4540

(a) State the change in the share of wind and solar between Year 1 and Year 2. [1]

(b) Describe one impact of coal mining on the environment in a named country you have studied. [2]

(c) Explain why a country may want to end its use of nuclear power. [3]

(d) Using a named country you have studied, evaluate the strategies used to manage its energy supplies. [6]

Model answer

(a) It increased by 20 percentage points (from 15% to 35%). (1)

(b) In Germany, open-cast lignite mining in the Rhineland destroys farmland and forest (1) and leaves very large holes in the landscape, and burning lignite produces high carbon dioxide emissions. (1)

(c) There is a risk of a serious accident, as at Fukushima (1), radioactive waste has to be stored safely for a very long time (1), and decommissioning is expensive, so a country may prefer to use renewables (1).

(d) Level 3 (5-6 marks): In Germany, the Energiewende is the main strategy. The Renewable Energy Sources Act used feed-in tariffs to make wind and solar profitable, and by 2024 about 63% of electricity came from renewables, which is a strength because it cuts carbon dioxide. The nuclear phase-out ended in April 2023, which removes accident risk, but it meant that coal and gas were used for longer. The coal phase-out by 2038 at the latest protects mining regions with payments and retraining, but is slow. After Russian gas was cut in 2022, Germany built LNG terminals at Wilhelmshaven, which secured supply quickly but is expensive and still fossil fuel. Efficiency measures such as insulation are cheap and sustainable. Overall, Germany's approach is largely sustainable because renewables and efficiency are growing, but households face high prices and gas and lignite are still used, so the transition is not yet complete.

Who benefits? Owners of solar panels and wind farms, new energy companies and future generations gain most. Households pay high bills, and mining regions such as the Rhineland and Lusatia lose jobs, which is why the coal phase-out includes payments and retraining.

Exam tip

For a named example, put in at least three place names or figures, such as Garzweiler, Wilhelmshaven or 2023, and end with a judgement that says how sustainable the approach is.

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