The German coalition government has reached an agreement on a power plant strategy aimed at ensuring energy security, a move lauded by Economics Minister Katarina Reiche (CDU) as a “vital step”. The plan involves a short-term tender for a total of twelve gigawatts of controllable capacity, intended to safeguard Germany’s electricity supply and bolster industrial competitiveness. Reiche positioned the agreement as a preliminary measure paving the way for a comprehensive, technology-agnostic capacity market designed to incentivize investment in new power plants and flexible energy solutions.
However, the strategy is facing sharp criticism from environmental groups who argue it lacks genuine technological neutrality. Constantin Zerger, head of energy and climate protection at Germanwatch (DUH), specifically pointed out that a significant portion of the planned capacity for 2026 will be allocated without considering alternative technologies, effectively excluding battery storage solutions from a substantial portion of the tenders. He accused the government of a “centralized planning fixation” favoring gas-fired power plants, deeming it unsustainable and requiring urgent revision.
Further fueling the controversy is the strategy’s continued support for Carbon Capture and Storage (CCS) technology alongside the transition to hydrogen production. Zerger warned that this combination risks hindering the development of a green hydrogen economy, advocating for a reassessment to avoid unnecessary fossil fuel overcapacity and entrenched dependence.
Environmental advocates are characterizing the coalition’s final agreement as a significant setback for Minister Reiche and exposing what they claim is a pro-fossil agenda. Critics allege that Reiche’s initial proposals, which called for at least 20 gigawatts of gas-fired power plants, demonstrated a prioritization of industry lobbying over adherence to EU law and climate targets. The incident has prompted calls for accountability regarding Reiche’s earlier, more ambitious plans and questions about their alignment with the realities of Germany’s energy transition. Concerns remain that the current strategy, while addressing immediate security concerns, may compromise long-term climate goals and innovation in the renewable energy sector.


