Germany’s Economy Ministry Plans to Cut Renewable Energy Priority in Power Grid

Germany's Economy Ministry Plans to Cut Renewable Energy Priority in Power Grid

The Federal Ministry of Economic Affairs is planning to rethink key elements of Germany’s renewable energy expansion. According to several insiders from the renewable sector quoted by “Tagesspiegel Background”, the ministry intends to introduce a “grid package” that would change the so‑called feed‑in and connection priority rules that currently favour renewable electricity in the grid. The package is slated to run in parallel with a forthcoming amendment to the Renewable Energy Act (EEG).

Under the proposed regulations, new wind and solar installations would no longer be entitled to connect “immediately” to the grid as the EEG currently allows. Instead, if more than 3 % of electricity in a given network area was curtailed from renewables last year, the owners of new plants would have to forego the statutory compensation for curtailment for up to ten years. A 3 % curtailment quota is already in force in many regions; curtailment is a grid‑operator measure to keep the network stable, meaning that surplus renewable power would not be fed into the system.

Another planned restriction is that distribution network operators would be permitted to establish their own connection procedures for wind and solar plants with a capacity of at least 135 kW. Germany has more than 800 distribution operators, and industry insiders warn that this would significantly slow the connection of new renewable projects. Until now, renewable plants benefit from a uniform connection priority over fossil‑energy plants such as natural gas. The ministry has not yet commented on whether it will alter feed‑in or connection priorities.

Criticism of the plans comes from representatives of more than 1,000 energy cooperatives that invest in solar, wind, and bioenergy. Jan Holthaus, board chair of the German Cooperative and Raiffeisen Association (DGRV), told reporters that citizen investments require reliable conditions: clear rules for refinancing and secure access to the grid. He warned that without such guarantees participation, necessary investment, and public acceptance of the energy transition could be stalled.