Germany's Energy Firms Hit by Earnings Decline and Record Low Water Levels

EnBW reported a sharp drop in earnings for the first half of 2026, with net profit falling more than 50% year‑on‑year to €223.1 million and adjusted EBITDA down 6% to €594.7 million. The decline was driven by the planned coal phase‑out and reduced output from run‑of‑river hydro plants affected by drought, although generation from wind and solar increased. Investment in the network and renewable projects was cut, but the company still plans €4.4 billion of spending in the second half of the year.

A concurrent heat wave in southwestern Germany caused historic low water levels in the Rhine, Bodensee and other rivers. Shipping on the Rhine was severely restricted, and authorities imposed a bathing ban on the Dreisam in Freiburg to protect fish that seek refuge in cold‑water pools. Federal Transport Minister Volker Bilger warned of bottlenecks, and regional officials held a high‑level meeting with business and political representatives to address the water shortage.