Hamburg, a large German city bordering the North Sea, is taking measures to be its own energy supplier. With the city’s intent to become a regional prototype for climate protection, Hamburg will once again provide its own energy : HamburgEnergie. The transition is projected to take place in 2009. The Epoch Times contacted press spokesperson for the Authority for Urban Development and Environment, Volker Dumann, regarding plans for Hamburg’s future plant.
Epoch Times (ET): Some people will ask: Hamburg already has energy. Why the effort to introduce a local provider? [The Senate had previously approved of the idea to have this under the domain of the private sector.]
Dumann (D): To comply with Hamburg’s goals regarding environmental protection, it is important that people in general, as well as businesses, utilize electricity coming from sources that generate less carbon dioxide, such as electricity from renewable resources like wind energy, or combined gas, heat and power (gas-CHP).
Hamburg’s previous marketing advisors, on the other hand, had concentrated on coal-based electricity. The conversion process required that even the heating system had to be redesigned -- more than half of Hamburg’s carbon dioxide emissions was due to the heating of buildings. We are attempting to use highly efficient energy means for heating, through sources that generate little carbon dioxide, such as gas-cogeneration or other renewable resources, aiming for optimal distribution between local and distant heating networks. The new consortium aims to modernize the infrastructure needed to achieve this goal.
ET: Energy does not just mean electricity. I read that HamburgEnergie would also like to reacquire the gas and district heating systems. How would this be financed?
D: We anticipate that it won’t be a big problem to find the necessary resources for such a purchase, after a promising business prototype has been submitted for consideration. We’re working on this.
ET: Who owns the electricity grids in Hamburg? Is there a plan to repurchase them as well?
D: At the moment it is Vattenfall Europe. The contract ends in 2014; after that, acquisition will become possible. Hamburg will carefully examine if the acquisition would be in the city’s best interest. A conclusive answer to your question has to wait.
ET: Are the current owners duty-bound to sell the grids?
D: The question sounds simple. Indeed, you’re touching on a number of complicated legal issues that we currently are not prepared to comment upon.
ET: Is there a way to monitor cost, or could the current owner demand unjustifiably inflated, unreasonable prices?
D: Astronomical prices are certainly possible, though not expedient. In past cases, during the process of change of ownership, the price structure had usually been resolvable in court. Notwithstanding, dozens of new plants were successfully established in recent years, including in our neighboring town of Ahrensburg.
ET: As an energy supplier, you do not need to own networks. From 2010 on, HamburgEnergie will be able to offer electricity that is both nuclear and carbon-free. So, HamburgEnergie will start up initially with electricity only?
D: Indeed, the new company will offer low carbon dioxide, nuclear and coal-free electricity to start with, and we'll continue to evolve from there.
ET: When will providing gas and district heating follow?
D: That’s to be seen. For district heating, the system administrator has no obligation to sell, so the heating system will remain in Vattenfall’s hands, probably until 2014, at any rate.
ET: Will the district heating also be carbon-free?
D: As soon as possible, yes.
ET: Back to electricity: How much of the Hamburg market would HamburgEnergie target?
D: It’s not easy at present to determine something like that. But we are optimistic.
ET: So far, the reaction from the people of Hamburg in their willingness to switch to a greener electricity provider was quite conservative - in spite of the valid arguments for it. And many older customers in particular, of Hamburg Vattenfall, still assume they will continue to obtain their electricity from the Hamburg Power Station—although this is no longer possible because Vatenfall assumed ownership of the city electricity corproation and no longer exists. What advantages are you expecting to provide these people over the competitors to win them over?
D: Many of Hamburg’s residents have endorsed the idea of establishing an energy project that is once again in public hands, clear of all party lines. Whether this sentiment actually signifies a readiness for actual change, we do not know, of course. But if we take the examples of other cities that have followed suit, we can be rather positive.
ET: Does HamburgEnergie have to advertise and submit bids in the supplying of energy for public buildings and plants? Would it therefore be possible that after the existing contract expires, a third agent like Vattenfall itself could be awarded rights to supply electricity to schools, town hall and so on?
D: It is not obligated to submit bids, but as a public company it is entitled to do so.
ET: Will Hamburg’s venue generate its own electricity, or is it considering the purchase of the electricity supplier currently in use?
D: Electricity is a European market consideration, because there are no local solutions. Thus, power is always “bought.” Independently though, Hamburg has decided to opt for development of renewable energy and cogeneration.
ET: Is the construction of new power plants in the planning? What kind will they be?
D: Our plans are not yet sufficiently developed to answer your question.
ET: What financing considerations have you given thought to?
D: Energy infrastructure investments are very safe. We will therefore find financing solutions that are in the interest of the city as well as the energy users.
ET: Thank you, Mr. Dumann.
NOTE:
1. District heating (teleheating) is a system for distributing heat generated in a centralized location for residential and commercial heating requirements. The heat is often obtained from a cogeneration plant that burns fossil fuels. District heating plants can provide higher efficiency and better pollution control.
2. Cogeneration (combined heat and power, CHP) is the use of a heat engine or a power station, to simultaneously generate both electricity and heat.
Full information on the Hamburg Climate Protection Concept can be found at www.klima.hamburg.de
Read the Original German Article
Epoch Times (ET): Some people will ask: Hamburg already has energy. Why the effort to introduce a local provider? [The Senate had previously approved of the idea to have this under the domain of the private sector.]
Dumann (D): To comply with Hamburg’s goals regarding environmental protection, it is important that people in general, as well as businesses, utilize electricity coming from sources that generate less carbon dioxide, such as electricity from renewable resources like wind energy, or combined gas, heat and power (gas-CHP).
Hamburg’s previous marketing advisors, on the other hand, had concentrated on coal-based electricity. The conversion process required that even the heating system had to be redesigned -- more than half of Hamburg’s carbon dioxide emissions was due to the heating of buildings. We are attempting to use highly efficient energy means for heating, through sources that generate little carbon dioxide, such as gas-cogeneration or other renewable resources, aiming for optimal distribution between local and distant heating networks. The new consortium aims to modernize the infrastructure needed to achieve this goal.
ET: Energy does not just mean electricity. I read that HamburgEnergie would also like to reacquire the gas and district heating systems. How would this be financed?
D: We anticipate that it won’t be a big problem to find the necessary resources for such a purchase, after a promising business prototype has been submitted for consideration. We’re working on this.
ET: Who owns the electricity grids in Hamburg? Is there a plan to repurchase them as well?
D: At the moment it is Vattenfall Europe. The contract ends in 2014; after that, acquisition will become possible. Hamburg will carefully examine if the acquisition would be in the city’s best interest. A conclusive answer to your question has to wait.
ET: Are the current owners duty-bound to sell the grids?
D: The question sounds simple. Indeed, you’re touching on a number of complicated legal issues that we currently are not prepared to comment upon.
ET: Is there a way to monitor cost, or could the current owner demand unjustifiably inflated, unreasonable prices?
D: Astronomical prices are certainly possible, though not expedient. In past cases, during the process of change of ownership, the price structure had usually been resolvable in court. Notwithstanding, dozens of new plants were successfully established in recent years, including in our neighboring town of Ahrensburg.
ET: As an energy supplier, you do not need to own networks. From 2010 on, HamburgEnergie will be able to offer electricity that is both nuclear and carbon-free. So, HamburgEnergie will start up initially with electricity only?
D: Indeed, the new company will offer low carbon dioxide, nuclear and coal-free electricity to start with, and we'll continue to evolve from there.
ET: When will providing gas and district heating follow?
D: That’s to be seen. For district heating, the system administrator has no obligation to sell, so the heating system will remain in Vattenfall’s hands, probably until 2014, at any rate.
ET: Will the district heating also be carbon-free?
D: As soon as possible, yes.
ET: Back to electricity: How much of the Hamburg market would HamburgEnergie target?
D: It’s not easy at present to determine something like that. But we are optimistic.
ET: So far, the reaction from the people of Hamburg in their willingness to switch to a greener electricity provider was quite conservative - in spite of the valid arguments for it. And many older customers in particular, of Hamburg Vattenfall, still assume they will continue to obtain their electricity from the Hamburg Power Station—although this is no longer possible because Vatenfall assumed ownership of the city electricity corproation and no longer exists. What advantages are you expecting to provide these people over the competitors to win them over?
D: Many of Hamburg’s residents have endorsed the idea of establishing an energy project that is once again in public hands, clear of all party lines. Whether this sentiment actually signifies a readiness for actual change, we do not know, of course. But if we take the examples of other cities that have followed suit, we can be rather positive.
ET: Does HamburgEnergie have to advertise and submit bids in the supplying of energy for public buildings and plants? Would it therefore be possible that after the existing contract expires, a third agent like Vattenfall itself could be awarded rights to supply electricity to schools, town hall and so on?
D: It is not obligated to submit bids, but as a public company it is entitled to do so.
ET: Will Hamburg’s venue generate its own electricity, or is it considering the purchase of the electricity supplier currently in use?
D: Electricity is a European market consideration, because there are no local solutions. Thus, power is always “bought.” Independently though, Hamburg has decided to opt for development of renewable energy and cogeneration.
ET: Is the construction of new power plants in the planning? What kind will they be?
D: Our plans are not yet sufficiently developed to answer your question.
ET: What financing considerations have you given thought to?
D: Energy infrastructure investments are very safe. We will therefore find financing solutions that are in the interest of the city as well as the energy users.
ET: Thank you, Mr. Dumann.
NOTE:
1. District heating (teleheating) is a system for distributing heat generated in a centralized location for residential and commercial heating requirements. The heat is often obtained from a cogeneration plant that burns fossil fuels. District heating plants can provide higher efficiency and better pollution control.
2. Cogeneration (combined heat and power, CHP) is the use of a heat engine or a power station, to simultaneously generate both electricity and heat.
Full information on the Hamburg Climate Protection Concept can be found at www.klima.hamburg.de
Read the Original German Article
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