In Germany, the government has used smart regulation to encourage a certain behavioural change. It is acting as “novel firm” by using new innovative renewable-energy solutions in the public sector, while also rewarding those who apply innovative technological solutions themselves.

On 6 June 2008, the parliamentary groups of the German government coalition agreed on a new instrument to raise the share of renewable energies in heat supply to 14% by 2020. The act entered into force the 1st January 2009. The goal should be achieved through regulations with the government as a front-runner in the usage of renewable energies. The regulations stipulate that owners of newly-erected buildings must use renewable energies, whether private individuals, the state or businesses. They are free to decide which source of energy they wish to use. Depending on local conditions, it may be more appropriate to use solar thermal or geothermal energy, biomass or ambient heat.

Since its launch, the programme has provided financial support amounting to €827 million. The government will continue to support the use of renewable energies financially, increasing funding for this to as much as €500 million.

However, in the future there will be a restriction on support: people who are required to use renewable energies under the regulations will not receive support. Only those who do more will be eligible for support. And building owners who use innovative technologies that are particularly efficient, or that have particularly low emissions figures will continue to receive money from the state.

Source: http://www.erneuerbare-energien.de/en