GILDEMEISTER: THE CEO INTERVIEW
Driving forward the economics of energy storage Energy Storage Journal spoke to Lars Möllenhoff, general manager for Gildemeister Energy Storage, about the opportunities in Germany and what returns on investment are likely to be.
Lars Möllenhoff has been on the management board of the Austrian company Gildemeister Energy Storage, since 2010 a 100% subsidiary of DMG Mori Seiki. He became general manager in 2012.
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What are the key drivers in 2016 that are helping to accelerate the demand for energy storage in Germany, particularly for utilityled and large-scale grid storage applications? Germany is a high-potential market for us but it is still facing legal restrictions for energy storage systems. So, though the German energy market has experienced a solid boom in recent years due the announcement of the energy transition — Energiewende — demand is only increasing slowly. The energy transition is an ambitious one and we are expecting further changes in the legislation that will open up new application possibilities and boost demand. Increasing demand for electric vehicles in Germany could become a big driver. The German government has recently announced that electric cars should make up 500,000 of total domestic car registrations by the year 2020. However, the current grid will not be able to support this energy demand. The trend will also help make the economic feasibility case for energy storage more straightforward, for energy storage providers like Gildemeister Energy Storage. Instead of extending the grid at very high cost, especially at remote locations like interstate service areas, batteries will be a much more efficient and cost-effective alternative. In general, demand for cars with electric drive is steadily increasing. In Germany while only 1,436 electric cars were recorded up to 2008, registrations skyrocketed to 25,502 by January 1 this year. But still, further development remains an issue of legal incentives. China is a good example of the impact that legal frameworks, designed to facilitate the adoption of electric vehicles, can have. Germany is beginning to understand the impact that legislation can have. In April 2016 Germany’s finance min-
Instead of extending the grid at very high cost, especially at remote locations like interstate service areas, batteries will be a much more efficient and costeffective alternative. Energy Storage Journal • Spring 2016 • 41