DecarbLau- Mobilising Endogenous Potentials for Structural Change -­ Decarbonisation in a Lignite Mining Region

Start of Project 02/2019
End of Project 01/2022

Lusatia is a so-called structurally weak region: its growth rate, employment level and per capita productivity are below average in comparison with other German regions. The termination of lignite-fired power generation would thus affect a region that already had to cope with a massive structural break after the german reunification. A proactive structural policy is therefore necessary to prevent the loss of economic potential and to increase the acceptance of the phasing out of lignite-fired power generation.

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Update on the project´s process

  • SP Scenarios: Investigation of the cost structure of offshore wind energy in Europe (see paper).
  • SP Development potentials: Economic key sectors in Lusatia: energy industry, food industry, plastics and chemical industry, metal industry, logistics. Future potentials: technical textiles, rail transport sector, glass industry 
  • SP Development potentials of the energy industry: creation of the regional database "energy transition industry". 
  • SP Governance: Innovation policy is a central factor in managing structural change. Institutions such as cluster, transformation and research managers play a key role.
  • SP Strategies, instruments: main request for innovation funding programmes in the Lusatia: Industrial companies, companies from non-knowledge-intensive sectors, small and medium-sized companies 
  • SP Demography & Finances: Complete simulation of the municipal financial equalisation of the state of Brandenburg. There is a negative demographic effect on the revenue development of the Lusatian municipalities, which will change the revenue distribution between them. The Inequality will increase.

Preliminary results of the project

The map shows the employment centres in Lusatia with at least 3,000 employees with a location quotient of over 2.0. The location quotient indicates the regional concentration of economic sectors or industries. It relates the number of employees in a sector and regional unit to the number of employees in this sector in a higher-level regional unit. A location quotient of greater than 1 indicates above-average concentration. The map therefore shows the main areas of economic activity at municipality level in Lusatia.


Scholz, D., Zundel, S., Müsgens, F. (2019): ‘Price and Employment Effects triggered by a German Coal Phase-Out – A Discourse Analysis’,IEEE Conference Proceedings EEM 2019.

Jansen M., Staffell I., Kitzing L., Quoilin S., Wiggelinkhuizen E., Bulder B., Riepin I., Müsgens F. (2020): 'Offshore wind competitiveness in mature markets without subsidy', Nature Energy.