Energy Newsletter

CEOs of E.ON and 50Hertz warn of grid overload due to record electricity generation from renewables (60.7% in Q3 2026). The four transmission system operators (TenneT, Amprion, 50Hertz, TransnetBW) demand massive investments; grid charges rise 24% in 2027 to 3.54 ct/kWh. Without federal subsidy, they would explode to 6.52 ct/kWh, placing massive strain on consumers and industry.

European gas prices have skyrocketed from 30 €/MWh (Sept 2025) to 81 €/MWh (Sept 2026); German gas storage stands at only ~56% (14.9.2026). Winter electricity prices for January 2027 are 60% higher in Germany than the previous year, heating oil becomes 28% more expensive. This jeopardizes energy supply security and drives industrial electricity prices further upward.

Germany has the highest electricity prices in Europe at 36.2 ct/kWh (households) and 30-31 ct/kWh (new customers), second only to Ireland. In contrast, French large consumers pay 5 ct/kWh, while German ones pay 10+ ct/kWh. Industrial electricity prices and competitive disadvantage for German companies grow; large corporations like RWE and E.ON benefit from market prices, while medium-sized businesses suffer.

Grid operator Westnetz (NRW) had outstanding battery storage connection applications totaling 116 GW at the end of Q2 2026 – four times the total capacity. Grid infrastructure cannot keep pace with energy transition speed; project delays jeopardize grid stability and slow expansion of decentralized renewable structures.

Two major German offshore wind projects (~4 GW) are threatened by missing TenneT grid connections; in parallel, EnBW reported success with 960 MW He Dreiht wind farm (without subsidy). Structural problem: grid expansion lags behind wind expansion; Amprion is raising 1.5 billion € for infrastructure, but this is insufficient for planned capacities.