50Hertz, in collaboration with BTU Cottbus-Senftenberg and Fraunhofer IEG, has released a comprehensive study outlining the requirements for renewable baseload power for industrial energy consumers. The objective of this report was to devise a strategy that enables energy-intensive industrial companies to have access to 24/7 real-time renewable electricity well before the year 2030.
The study indicates that a renewable capacity of 7.6 megawatts (MW) is necessary to generate 1 MW of green baseload power. In Germany, this demand can be predominantly met through the utilization of renewable energy sources, combined with a blend of short- and long-term energy storage solutions.
Moreover, the analysis highlights that the cost of baseload power supply should not exceed 10 cents per kilowatt-hour (KWh), in order to maintain both a climate-neutral and cost-effective energy supply. Stefan Kapferer, the Chief Executive of 50Hertz, emphasized the importance of a sustainable power supply for industrial operations, stating, “A climate-neutral and cost-effective power supply is already a decisive location factor for industry.”
Kapferer further expressed his optimism regarding the potential for the region, stating, “The good news for northeastern Germany is that the further increase in the share of renewable energies can become a real growth engine for the region. At 50Hertz, we are aware of our responsibility when it comes to integrating renewables into the grid infrastructure and rapidly connecting new industrial consumers.”
Mario Ragwitz from Fraunhofer IEG and BTU Cottbus-Senftenberg underlined the growing need for long-term storage as the proportion of climate-neutral energy in the baseload supply of industrial companies increases. Ragwitz stated, “With an increasing proportion of climate-neutral energy in the portfolio under consideration for the baseload supply of an industrial company, the demand for long-term storage increases considerably.”
He also noted that the cost of storage systems currently accounts for 45% of total expenses, with the last 2% of achieving CO2 neutrality leading to significant cost escalations. However, Ragwitz provided an optimistic outlook, suggesting that achieving electricity costs of 10 cents per kilowatt-hour is feasible with a fully climate-neutral 24/7 power supply, provided that the costs for long-term storage continue to decline, the flexibility potential for electricity demand is augmented, and additional systemic flexibility options are taken into account.
The subsequent phase involves planning the implementation of this concept in collaboration with industrial companies. To this end, 50Hertz is currently engaged in discussions with potential partners. The aim is to foster sustainable concepts that will expedite the energy transition and promote economic growth within their operational jurisdiction.
