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[BUSINESS] · Germany · 3 sources

Germany’s renewable curtailment spikes 20% in first half of 2026

In the first six months of 2026, Germany saw commercial curtailment of solar and wind power rise by 20%, increasing from 1,216 GWh to 1,463 GWh, according to analysis by energy‑market data firm Montel. The rise occurred even as the number of negative‑price hours fell 23%, from 389 to 299, indicating that operators are shutting down generation mainly for economic reasons.

The surge is linked to Germany’s Solar Peak Act (Solarspitzengesetz), introduced in February 2025, which removes guaranteed subsidy top‑ups for newly commissioned renewable assets whenever wholesale electricity prices drop below zero. This creates a strong commercial incentive for producers to switch off rather than sell power at a loss. Across the EU, renewables accounted for 45.5 % of total electricity in Q1 2026, with wind supplying 44.9 % of the renewable mix, but Germany stands out as the only major market where curtailment grew.

Experts warn that without additional investment in storage and flexible technologies, such price‑sensitive curtailment could undermine the green transition, especially as the region grapples with volatile energy prices driven by external geopolitical tensions.

Entities: Germany · Montel · Solar Peak Act