Germany wind energy lease cap faces criticism

The German federal government is facing criticism over plans to cap lease payments for onshore wind turbines. As part of a reform to the Renewable Energy Sources Act (EEG) currently under debate in the Bundestag, Federal Minister for Economic Affairs Katherina Reiche proposes limiting lease revenues to 3.5 percent of annual electricity proceeds.

The government argues that capping these costs could significantly reduce EEG subsidy expenditures and alleviate the federal budget. However, the forest owners' association AGDW has warned that such a cap could jeopardize the expansion of renewable energies. AGDW President Andreas Bitter stated that a cap would diminish the necessary acceptance of wind power in rural areas, particularly regarding the use of forest land which offers excellent conditions for wind energy.

Bitter criticized the move as an unnecessary intervention in a functioning market, arguing that private and municipal landowners should be encouraged to participate in the energy transition rather than facing obstacles.