The Growing Impact of Decentralised Actors in Power Generation: A Comparative Analysis of the Energy Transition in Germany and Japan

Oliver Wagner,Maike Venjakob,Judith Schröder

doi:10.13044/j.sdewes.d8.0334

Oliver Wagner, Maike Venjakob + Show 1 more

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https://doi.org/10.13044/j.sdewes.d8.0334

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Abstract

This paper argues that, although Japan's and Germany's energy transition paths differ in detail, a trend towards decentralisation is clearly evident in both countries. Based on comprehensive screening, own stocktaking and the results of a stakeholder dialogue, this paper highlights the motivation for different local actors to enter the energy market in both countries. Although there are challenges to success in a market dominated by large energy companies, this paper argues that the benefits to local communities outweigh the efforts. Overall, it is shown that democratisation and the decentralisation of the energy system are suitable to facilitate a successful transformation process in both countries.

Highlights

It can be inferred from the Paris Agreement that the reduction of greenhouse gas emissions required to limit climate change necessitates a transformation of the energy sector [1]
This paper argues that, Japan’s and Germany’s energy transition paths differ in detail, a trend towards decentralisation is clearly evident in both countries
All stakeholders regard decentralisation as an important precondition for the energy transition and for mitigating climate change: a decentralised energy supply system increases the possibilities of using local renewable energy sources

Summary

Introduction

It can be inferred from the Paris Agreement that the reduction of greenhouse gas emissions required to limit climate change necessitates a transformation of the energy sector [1] Renewables and their decentralised dissemination play an important role in this context. Emphasis is placed on the energy transition being adopted and implemented by new actors that pursue innovative and different organisational forms to challenge the incumbents and the inflexible market structures [1,2,3,4] In this context, Becker et al state that new actors are usually incorporated in the process following their involvement in renewable energy projects [1].

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