Potentials of Financial Participation of Local Governments in the Expansion of Renewable Energy

The nationwide research project “Potential for municipal financial participation in the expansion of renewable energies (KomFi)” is the first to examine how financial participation models of local authorities influence the expansion of wind and solar energy. The team is analyzing the revenues currently generated by municipalities, how these are used locally, and what measurable influence they have on the acceptance and implementation speed of new plants. KomFI thus directly follows on from the investigations of the project “Quo vadis, Beteiligung? Bewertung von Partizipation in Energieprojekten BePart” (Quo vadis, participation? Evaluation of participation in energy projects) and will deepen these investigations, particularly with a focus on financial participation.

The research project, funded by the Federal Ministry for Economic Affairs and Energy, will initially examine the revenues generated by municipalities from wind and solar projects to date and how these funds are used. At the same time, it will analyze the influence of financial participation on local acceptance and the pace of construction of new plants. The additional potential for municipal finances, public approval, and the accelerated expansion of renewable energies will be observed, especially in the case of widespread application of such models. Finally, the necessary political and practical steps required for the effective and sustainable design of these models will be examined.

The results will be used to develop guidelines and an online tool to support municipalities and project developers in planning and implementing suitable participation models.