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[POLITICS] · Germany · 7 sources

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German Cabinet Approves EEG Reform and Network Package, Critics Say It Slows Renewable Expansion

The German cabinet approved a reform of the Renewable Energy Act (EEG) together with a new network package after months of negotiations. The EEG changes remove the guaranteed feed‑in tariff for new rooftop solar installations from 2030 and introduce a 36‑month transition period starting in 2027 with a reduced tariff of 5.2 cents per kilowatt‑hour. A state bonus of 1.5 cents per kilowatt‑hour will be paid for direct marketing of solar electricity.

The network package allows designating “capacity‑limited” network areas and reduces compensation for redispatch, limiting the feed‑in capacity of new installations. Critics from renewable‑energy associations argue the measures will hinder the expansion of wind and solar power, warning of a possible 70 % drop in small rooftop solar projects and a slowdown of investment. The reforms are budgeted at roughly €16.5 billion for 2027 subsidies and still require approval from the EU Commission by the end of 2026.

Entities

EU Commission · Felssner · German Cabinet · German Federal Cabinet · German renewable‑energy associations · Horst Seide · Katherina Reiche · Renewable Energy Act (EEG)

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