German wind sector warns Renewable Energy Act reform could jeopardize new investments
The German Wind Energy Association (BWE) has called on the federal government to amend the proposed reform of the Renewable Energy Sources Act (EEG) and the accompanying grid connection package, warning that the current draft could undermine wind power expansion and weaken investment certainty.
According to BWE President Bärbel Heidebroek, the proposed legislation fails to deliver on key commitments set out in the coalition agreement, including practical measures to support power purchase agreements (PPAs), direct power supply models and grid connection infrastructure. The association also criticized the proposed design of Contracts for Difference (CfDs), arguing that it would restrict competition and jeopardize investments in strategic sectors such as data centers and the chemical industry.
BWE further warned that the proposed cap on land lease payments would increase bureaucracy and make project financing more difficult, while the grid connection package could significantly reduce the economic viability of new wind farms in areas with limited network capacity.
“With electricity demand continuing to grow and fossil fuel imports expected to reach €99 billion in 2026, Germany cannot afford to deliberately slow down the expansion of wind energy,” Heidebroek said.
The reform behind the criticism
The BWE’s comments follow the publication by the Federal Ministry for Economic Affairs and Energy (BMWE) of a draft bill to reform Germany’s Renewable Energy Sources Act (EEG), which entered the consultation process with Germany’s federal states and industry associations on 17 July 2026. The proposal maintains the country’s target of sourcing 80% of gross electricity consumption from renewable energy by 2030, while aiming to make renewable deployment more cost-efficient, grid-compatible, predictable and market-oriented.
The draft would comprehensively restructure the future EEG 2027, aligning renewable energy deployment with grid expansion, strengthening market integration and promoting the deployment of energy storage, particularly alongside new solar projects. It also introduces Contracts for Difference (CfDs) for supported renewable projects and incorporates new resilience auction provisions required under the EU Net-Zero Industry Act.
Among the main measures, the proposal maintains Germany’s renewable deployment trajectory through 2030, provides for 12 GW of additional onshore wind auction volumes between 2027 and 2032, gradually phases out fixed feed-in tariffs for new projects in favor of direct marketing, promotes the co-location of solar PV with battery storage, and introduces a mechanism allowing supported renewable projects to return excess revenues during periods of high electricity prices.
