Katherina Reiche, the federal minister of economics, has defended her proposals to curb subsidies and the expansion of renewable energy. She told the “Handelsblatt” that renewables “have matured – they now supply the bulk of Germany’s electricity” and that this maturity means they “must take on more system responsibility”.
In discussing her ministry’s considerations to eliminate compensation for renewable plants when power cannot be fed into the grid due to insufficient network capacity, Reiche highlighted that the costs associated with unused electricity “now amount to almost three billion euros a year”. These costs are shifted onto all consumers, driving up electricity prices, and she stated that this cannot be the solution.
The planned changes are part of an “Inverter/Network Package” (Netzpaket) drafted by the ministry, a version of which leaked a few days ago. The package has drawn criticism, with the renewable‑energy sector accusing Reiche of trying to block further expansion of wind and solar power.
Reiche responded to the criticism by saying she has no sympathy for those voices. “It is about the cost of the overall system” she insisted. “My mandate is to reduce the burden on both the economy and consumers from energy costs, or at least to prevent them from rising further”. She added that fair allocation of costs is essential and that those who speak of a “blockade” are moving “toward the abyss”.
The addition of photovoltaic and wind capacity last year fell short of the targets set in Germany’s Renewable Energy Sources Act (EEG). The EEG now requires the installation of 7.8 GW of wind power per year from 2025 and 22 GW of solar power per year from 2026. The reduction of feed‑in tariffs in the EEG after 2012 had previously caused the expansion of renewables to stall.