Policy Brief: Spatial Heterogeneity - Challenge and Opportunity for Net-Zero Germany

Kurzfassung

The energy system transformation in Germany is a challenge for society, economy and politics and has several impacts on multiple scales. This paper investigates the effects of the trajectories towards net zero emissions by 2050 through focusing on the spatial dimension of impacts, benefits, and losses for different stakeholders and technologies. Spatial heterogeneity in the energy transition means that regions enjoying benefits from decarbonization might diverge from regions experiencing losses, and that there are different geographical potentials and challenges. The question arising is one of the need for redistribution between benefits and losses, whilst ensuring that all stakeholders remain willing to act as frontrunners in the transformation of the energy system. Inclusion and participation in the process, together with a carefully targeted mixed set of regional energy policy, combining tax solutions and incentives for acceptance of required measures could facilitate a successful, efficient policy-supported energy transition.