the Power Plant Strategy, the EEG amendment, and the Grid Package.. These three areas will now enter the departmental coordination phase. The Power Plant Strategy, which has been renamed the “Electricity Supply Security and Capacity Act” (StromVKG), reportedly includes plans for two new tenders this year aimed at building new power facilities.
These agreements follow a period of internal governmental friction, during which Finance Minister Lars Klingbeil (SPD) previously blocked legislation proposed by Economy Minister Katherina Reiche (CDU). Opposition leader Friedrich Merz (CDU) had recently intervened in the dispute between the two ministers, urging the Social Democrats to resolve the blockages that had occurred over the past months.
Despite this progress, the plans remain highly contentious. Energy economists and environmental organizations criticize the Power Plant Strategy for its perceived overemphasis on gas-fired power plants, arguing that it disadvantages alternatives such as energy storage and thus solidifies new dependencies on fossil fuels. Concerns related to the proposed EEG amendment point to potential cuts in feed-in tariffs, which could diminish the expansion of private solar power. Furthermore, industry associations warn that the planned Grid Package introduces new risks for energy generators, potentially jeopardizing the necessary financing for expanding renewable energy sources. Overall, critics note that the government continues to fall behind the statutory goals for expanding renewable energy.
