Missing Out

Siemens Unplugged

Source: DPA
Has Siemens been resting on its big-turbine laurels?
  • Why it matters

    Why it matters

    Siemens failed to identify the trend in decentralizing power supply from large utilities to smaller local operations in Germany. It needs to catch up or risk falling out of the race completely.

  • Facts

    Facts

    • Experts believe companies that produce engines for small power plants will thrive in the future.
    • Germany decided to exit nuclear power after Japan’s 2011 Fukushima disaster.
    • Germany wants to reach the ambitious target of generating 80 percent of electricity from renewables by 2050.
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  • Audio

    Audio

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The town of Rosenheim in Bavaria is taking a new approach to its power supply. It has built a small gas-power plant to burn the waste from the 60,000-strong town – just enough to balance out possible power shortages from the grid.

“We feed the power into the network, preferably at times when the price for power at the exchange is highest,” said Götz Brühl, the head of Rosenheim’s public utility.

Rosenheim is just one of many towns and communities in Germany that have built themselves small-scale power plants to guarantee power supply in times of shortages or high prices.

Following the country’s decision to exit nuclear power after Japan’s 2011 Fukushima disaster, Germany started to subsidize renewable energies and has seen a trend in decentralizing power supply from large utilities to smaller local operations.

This is a trend, however, that Siemens, Germany’s engineering and electronics giant, seems to have overlooked.

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