The German federal government has outlined a plan to expand the country’s data‑center capacity significantly. In a first draft of a data‑center strategy, reported by Politico’s “Industry & Trade” newsletter, the government states it aims to at least double overall data‑center capacity in Germany by 2030 and quadruple the capacity dedicated to AI workloads.
The strategy is still under development. According to the draft, Germany’s IT‑grid connection capacity for data centers reached 2,980 megawatts (MW) in 2025-twice what it was in 2010. The push focuses on high‑performance facilities, especially those delivering more than five MW of computing power.
To enable the construction of more data centers, the draft proposes revising the “wind‑mill principle” used for awarding grid‑connection tenders. It suggests giving transmission‑network operators greater flexibility to reserve capacity for data centers. The connection of battery‑storage systems is also being evaluated.
The draft also addresses the economic impact of climate policy. The government pledges to lobby the European Commission, as outlined in the coalition agreement, to include data centers in electricity‑price compensation schemes.
Finally, the waste‑heat issue is addressed through a proposed tax exemption. Operators currently provide waste heat free of charge but still face taxation on it. The government plans to work with the European Commission to seek a legal framework that would allow waste heat to be supplied without tax.
