Germany’s transition to renewable energy is making measurable headway according to the latest Energy Transition Monitor published by the German Institute for Economic Research (DIW). The monitor, which examines the progress of key technologies during the second half of 2025, is being reported by the Funke Media Group newspapers (Wednesday editions).
Wolf‑Peter Schill, author of the study and head of DIW’s “Energy Transformation” research unit, urged policymakers to seize the favorable regulatory environment rather than slow progress. “Even though electricity demand is currently rising at a slower pace than expected, the shortfall will become more acute if renewable generation is not expanded aggressively” he said.
Positive developments were highlighted in several areas. The growth of large‑scale battery storage was especially noteworthy, with capacity rising by 0.8 gigawatt‑hours-a gain of more than 25 percent-in the second half of 2025. These batteries capture excess solar and wind power during low‑production periods. According to the DIW, the increased storage capacity helped cut the number of hours with negative wholesale electricity prices in the same period.
In heating, nearly half of all new installations in 2025 were electric heat pumps, bringing the total to 2.2 million units. The transportation sector saw 4.5 percent of new registrations in the second half of 2025 for electric tractor units, almost twice the share in the first half, although the overall proportion of new electric vehicles remains modest: 10.9 percent for trucks and 20.4 percent for passenger cars. Still, the trend is clearly upward.
The monitor also recorded a substantial relative gain in photovoltaics. Installed solar capacity now stands at 117 gigawatt, just over half of the 2030 target. Onshore wind energy grew as well, but the gap to the goal set by the Renewable Energy Sources Act is still wide. “We see progress in many areas of the energy transition, but not the pace that would be desirable for climate protection and energy sovereignty” Schill concluded.