Cabinet decision on EEG amendment and grid connection package: Alterric warns of serious setback for Germany as an industrial location

Additional market and cost risks arise from the tight schedule for the "system-serving connected load". While the approach of an interpretation that serves the system makes sense in principle, the planned entry into force on 1 January 2027 seems impractical. The date underestimates the enormous technical conversion effort and ignores existing lead times for plant manufacturers. Projects that are already well advanced are in danger of getting into difficulties as a result.

Alterric, on the other hand, is clearly positive about the planned simplifications for co-location projects. In the future, grid operators will no longer be allowed to reject such projects across the board due to a lack of grid capacity. However, in order for these projects to actually go online faster, digitization must also progress among grid operators. Until now, analogue, non-transparent processes have hindered the connection of new systems.

Alterric welcomes the fact that the German government is taking up the industry's demand and increasing the tender volume for onshore wind energy by 12 gigawatts. Nevertheless, the EEG amendment in the current cabinet draft falls short of expectations and even creates new hurdles for expansion.

For example, the reform misses the opportunity for a modern market design with the introduction of bilateral contracts for difference (CfDs). Without a so-called market value corridor, plant operators lack a reliable investment framework. A corridor would receive market incentives and at the same time gradually introduce the industry to financing without state subsidies. For a sustainable market design, there is also a lack of reliable legal support for private-sector electricity supply contracts (PPAs).

The planned intervention in private lease agreements is to be viewed particularly critically. The planned cap on lease payments at 3.5 percent of plant revenues is out of touch with the market and misguided in terms of regulatory policy. Competition has recently already effectively regulated lease prices. Instead, state price intervention threatens to make it more difficult for property owners to make land available and further slow down construction.

The planned further development of the reference yield model is positive. The planned regional differentiation and the adjustment of the correction factor for southern Germany can make expansion in lower-yielding regions more economical. However, for the regulation to be effective, the legislator must also consider the interactions with other EEG and grid expansion regulations.

Before the start of the parliamentary deliberations, Alterric therefore urgently appeals to the parliamentary groups and members of the Bundestag to fundamentally improve the draft law. This is the only way to drive forward the system-friendly expansion of renewables, to ensure security of supply for German industry and to ensure the profitability of investments in all regions of Germany.