Energy Newsletter

The share of renewable energy in gross electricity consumption rose to 53–54.5 percent in the first quarter of 2026, with wind power and solar as growth drivers. Renewable energy production grew by over 9.6 GWh compared to Q1 2025. This milestone documents the acceleration of Germany's energy transition, but also increases volatility in the electricity market and raises requirements for grid infrastructure and storage.

German electricity prices fall into negative territory with high renewable supply; simultaneously, daily prices exceed €120–150/MWh under gas scarcity and are thus 50–100 percent higher than French prices. This extreme volatility demonstrates market destabilization due to missing storage capacities and the persistent price coupling to gas prices despite rising renewables.

Amprion, 50Hertz, TenneT and TransnetBW introduced a new maturity assessment process as of April 1, 2026, processing grid connections by project maturity rather than submission date. This reform aims to reduce bottlenecks from massive battery storage and renewable connections, but also signals years of delays in critical grid infrastructure.

Amprion accelerates high-voltage projects: Ultranet is to be completed by end of 2026, A-Nord to commence operation in 2027, both on existing pylon routes. This major infrastructure is central to load distribution between north (wind power) and south/southwest and reduces expensive redispatch interventions, which are already measurably burdening the market in 2026.

The EU court rejected 9 complaints from German municipal utilities against major acquisitions (EVH/enercity to E.ON/RWE) and confirmed the Commission's approval. RWE, E.ON, EnBW and Vattenfall thereby further concentrate generation, retail and grid operations, while financial burdens from nuclear phase-out and LNG contracts remain concentrated on a few large players.