Clean Energy Wire
Summary
As Germany fundamentally changes how it generates electricity by expanding wind and solar power capacity, which are intermittent by nature, it needs to ensure consumption and backups develop alongside. The government currently plans to install up to 20 GW of new gas plant capacity, with at least 5 GW put up for auction around the start of 2026.
“We already have strained grid situations on certain days and in certain weather conditions,” said economy minister Katherina Reiche presenting the report. “We need to take action and build new controllable capacities, in particular new gas-fired power plants.”
The new plants are intended to provide backup capacity for renewable power amid the country’s coal phase-out. Coal power plants, which can relatively easily be ramped up or down to meet demand, will steadily leave Germany’s electricity market over the next decade. This means that new controllable capacity – in the form of (hydrogen-ready) gas power plants, pumped hydropower storage plants and large-scale battery storage – will be needed to cover electricity demand for limited periods.
“As important as the further ramp-up of renewables and storage facilities is, there is an equally urgent need for action in the construction of gas-fired power stations and Combined Heat and Power plants that can flexibly step in during so-called dark doldrums,” said local utilities association VKU.
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