E-mobility and wind power auctions suffer from flawed competition – Germany

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The German Monopolies Commission has warned that the breakthrough of electric cars and the expansion of onshore wind power in the country both suffer from a lack of competition that brings about inefficiencies and delays.

“We see competition flaws in the auctions for onshore wind turbines and in the build-up of charging infrastructure for electric vehicles that could jeopardise the energy transition’s success,” said Achim Wambach, head of the government advisory committee that acts as a watchdog for competition law and regulation. It its 2019 sector report on energy markets, the commission said that municipalities seeking to install charging infrastructure ought to make sure to foster competition between different operators. The biggest supplier in each region on average operated more than half of all charging columns, meaning that a lack of choice could result in higher prices and impede the spread of e-cars, according to CleanEnergyWire.

Regarding onshore wind power auctions, which repeatedly failed to attract enough bidders to match the auctioned volumes, the commission said more land area and quicker licensing are needed to ensure that competition in this key energy transition technology is stimulated again.

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