Electricity-Based Fuels

Costs and potential uses of fuels synthesized from renewable electricity

As Germany’s climate change regulations become stricter – and the coalition agreement by the Social Democrats and the Christian conservatives makes sure they will – the country will need to phase out petroleum and natural gas and replace them in part with power-based synthetic fuels. A key step in achieving this is to decrease the costs of such fuels, which today are far more expensive than their fossil-based equivalents. Agora Energiewende and Agora Verkehrswende, two of Germany’s leading think tanks for clean-energy policy, believe that the challenge lies in the construction of new fuel production facilities with an installed capacity totalling 100 gigawatts globally. To this end, a “political consensus on the future of oil and gas” is necessary.

Download Report: Agora Verkehrswende