White Paper on the Electricity Market and the New Climate Policy Instrument

The "electricity market" White Paper published by the German Federal Ministry for Economic Affairs and Energy (BMWi) puts forward practical proposals for implementing key projects in the Federal Government's short-term plan for achieving the energy transition. The "electricity market" White Paper contains proposals for

1. Policy decisions for a future-proof electricity market design 
2. Support for combined heat and power generation 
3. The requirement for developing the electricity distribution network
4. The introduction of a CO₂ reduction contribution in the power sector

In general the WWF and Germanwatch view the BMWi's proposed measures as a good basis for the forthcoming debate. If carried through, these measures could form the cornerstone of a credible climate policy. However, the following remarks are limited to the analysis and evaluation of the new climate policy instrument for securing an adequate CO₂ reduction contribution by the power sector. Only a short appraisal is given of the other three proposals.

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