Fast Market Research recommends "Germany Infrastructure Report Q1 2013" from Business Monitor International, now available
Boston, MA -- (SBWIRE) -- 03/06/2013 -- BMI View: Infrastructure development in Germany continues to face structural problems stemming from eurozone realignment. Over the 10-year forecast period low growth is expected to prevail, with annual average growth of 0.84% year-on-year (y-o-y) anticipated between 2012 and 2021. The value of the construction industry will reach US$160.2bn by the end of this period, compared to a forecast of US$132.4bn for 2012, with y-o-y growth of just 1.35%.
Key developments include:
? Germany-based renewable energy developer Juwi concluded the installation of a 20MW photovoltaic plant. The project, based at a former uranium mining site in the state of Thuringia, would provide clean power to approximately 5,600 households. The nuclear age is now a thing of the past and the future belongs to renewable energy, Thuringia's Minister for Trade and Industry Matthias Machnig said. The decentralised expansion of renewable energy provides great economic potential and enhances the local value chain. ? The opening of the new Berlin-Brandenburg Airport was delayed until October 27 2013. This represents a two-year delay from the originally scheduled date. The EUR4.2bn (US$5.38bn) project will also cost EUR1.2bn (US$1.55bn) more than initially estimated. German airline Air Berlin intends to use the new airport as an international hub. It will have an initial annual handling capacity of 27mn passengers. ? Dutch grid operator TenneT was expected to conclude the sale of its two German projects to link offshore wind farms with the onshore network by end-2012. The operator is holding talks with potential investors regarding future projects. TenneT is required to raise funds to construct new power links as the country now relies more on renewable energy for generating power. The grid operator expects to sign a deal for the sale of minority stakes in the SylWyn1 and DolWyn1 cables in Q412.
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The political challenges facing Germany over the coming decade are not so much centred around public policy as trying to foster economic growth in east Germany, managing population decline and dealing with the potential implications of further EU integration. Overall, the political risk profile in Germany remains among the best in the world.
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