Municipal Added Value through Solar Power Systems in the City of Freiburg

The transformation of the conventional energy system towards renewable energies has entailed an increasing decentralization of energy generation in Germany, as the production units are smaller and draw on regional potentials. This can result in positive socio-economic effects in regions where the po...

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Main Author: Simon Funcke
Format: Article
Language:English
Published: MDPI AG 2012-05-01
Series:Sustainability
Subjects:
Online Access:http://www.mdpi.com/2071-1050/4/5/819
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spelling doaj-290542ade21143d3b235423adb865f042020-11-24T22:31:20ZengMDPI AGSustainability2071-10502012-05-014581983910.3390/su4050819Municipal Added Value through Solar Power Systems in the City of FreiburgSimon FunckeThe transformation of the conventional energy system towards renewable energies has entailed an increasing decentralization of energy generation in Germany, as the production units are smaller and draw on regional potentials. This can result in positive socio-economic effects in regions where the potential is exploited. The focus of this paper lies on evaluating existing methods and developing new ones, which can be used to determine local added value through renewable energy systems. The methods were required to cover direct as well as induced municipal added value effects and to include all steps of the examined value chain. A combination of methods was tested in a case study for the solar power system value chain in the city of Freiburg (<em>ca.</em> 220,000 inhabitants). The added value through this sector in the year 2009 was calculated at 30.8 million euros through direct effects and 6.2 million euros through induced effects. This total municipal added value of 37 million euros can be converted into roughly 1,500 jobs within the city boundaries. Based on some conservative assumptions, these numbers should be considered as minimum values.http://www.mdpi.com/2071-1050/4/5/819municipal added valuevalue chain analysisphotovoltaic industry
collection DOAJ
language English
format Article
sources DOAJ
author Simon Funcke
spellingShingle Simon Funcke
Municipal Added Value through Solar Power Systems in the City of Freiburg
Sustainability
municipal added value
value chain analysis
photovoltaic industry
author_facet Simon Funcke
author_sort Simon Funcke
title Municipal Added Value through Solar Power Systems in the City of Freiburg
title_short Municipal Added Value through Solar Power Systems in the City of Freiburg
title_full Municipal Added Value through Solar Power Systems in the City of Freiburg
title_fullStr Municipal Added Value through Solar Power Systems in the City of Freiburg
title_full_unstemmed Municipal Added Value through Solar Power Systems in the City of Freiburg
title_sort municipal added value through solar power systems in the city of freiburg
publisher MDPI AG
series Sustainability
issn 2071-1050
publishDate 2012-05-01
description The transformation of the conventional energy system towards renewable energies has entailed an increasing decentralization of energy generation in Germany, as the production units are smaller and draw on regional potentials. This can result in positive socio-economic effects in regions where the potential is exploited. The focus of this paper lies on evaluating existing methods and developing new ones, which can be used to determine local added value through renewable energy systems. The methods were required to cover direct as well as induced municipal added value effects and to include all steps of the examined value chain. A combination of methods was tested in a case study for the solar power system value chain in the city of Freiburg (<em>ca.</em> 220,000 inhabitants). The added value through this sector in the year 2009 was calculated at 30.8 million euros through direct effects and 6.2 million euros through induced effects. This total municipal added value of 37 million euros can be converted into roughly 1,500 jobs within the city boundaries. Based on some conservative assumptions, these numbers should be considered as minimum values.
topic municipal added value
value chain analysis
photovoltaic industry
url http://www.mdpi.com/2071-1050/4/5/819
work_keys_str_mv AT simonfuncke municipaladdedvaluethroughsolarpowersystemsinthecityoffreiburg
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