Business models of energy cooperatives active in the PV sector—A statistical analysis for Germany

August Wierling, Jan Pedro Zeiss, Constantin von Beck and Valeria Jana Schwanitz

PLOS Sustainability and Transformation, 2022, vol. 1, issue 9, 1-27

Abstract: Energy markets have opened up to new actors and business models. We perform an empirical investigation of energy cooperatives (EC) investing in the photo-voltaic (PV) market. Deploying a unique database for Germany with 584 EC covering two decades of activities, we provide statistical evidence on their businesses, members and customer segments, production units, and financial status. The analysis yields that German EC active in the PV sector have invested about one billion EUR, managing more than 4400 PV installations with an aggregate capacity of roughly 700 MWp. Nine different business models currently prevail. The latest developments show that EC are adapting to changing market conditions, expanding their activities, and searching for new investment and business opportunities.Author summary: Electricity markets see an ongoing liberalization since 1990’ and new actors engage in electricity production. As of today, German energy cooperatives have invested about one billion Euro to install about 4400 PV units with a capacity of about 700 MWp. Cooperatives are legal vehicles, where the members decide on projects and finances, following the one-member-one-vote principle. This democratic decision-making structure alters the conventional type of business models. We investigate in this paper, what business models energy cooperatives have been developing over the last years. Building on a database with activities of 584 energy cooperatives in Germany, we provide statistical evidence on their businesses, members and customer segments, production units, and financial status. We also lay open how the activities of energy cooperatives are influenced by governmental support schemes.

Date: 2022
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Persistent link: https://EconPapers.repec.org/RePEc:plo:pstr00:0000029

DOI: 10.1371/journal.pstr.0000029

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