Energy Newsletter

European gas prices have risen from €30/MWh (Sept. 2025) to €81/MWh (Sept. 2026) – more than doubling. German gas storage levels are only at 62% in early October, wholesale prices for January power are trading above €180/MWh. Massive price increases jeopardize supply security and heavily burden households and industry.

EnBW brought the 960-MW wind farm He Dreiht online in September 2026 – without subsidies, with €2.4 billion investment. All 64 Vestas turbines are installed; project demonstrates economic viability of offshore wind. Milestone for energy transition, intensifies pressure on gas dependency.

All four transmission system operators (50Hertz, Amprion, TenneT, TransnetBW) announced preliminary grid charges of 3.54 ct/kWh for 2027 – without the €5.5 billion federal subsidy it would be 6.52 ct/kWh. Massive grid expansion costs for the energy transition significantly burden electricity prices; Amprion issues €1.5 billion green bonds.

Germany produces 48–68% of electricity daily from renewables; net electricity import share in 2026 below 0.3% of demand coverage. Wind power remains strongest source, large-scale storage coming online 2027/2028 for 75% renewables by end of 2028. Energy transition shows progress, but negative electricity prices and volatile market signals emerge in parallel.

Apollo Global Management, KKR, and RWE bid for state-owned Uniper – debate over privatization of critical infrastructure. RWE emphasizes that nuclear energy in Germany is economically unfeasible; focus on gas and renewables. M&A signals financing pressure among major energy corporations.