German Energy Transition

The transition towards a climate-neutral energy system that is supplied from renewable energy sources is a great challenge. Although Germany has identified the necessity of an energy transition early, the ongoing expansion of renewable energies such as onshore and offshore wind energy, photovoltaics or biomass is required to overcome this challenge. Furthermore, mobility, thermal energy and industry sector in general need to be decarbonised with help of sector coupling and energy from renewable sources. Finally, we need more energy efficiency in order to achieve climate-neutrality by 2045 and minus 65 per cent of the 1990 CO2 emissions by 2030 as stipulated by the Federal Government`s Climate Change Act.

At around 6 per cent in the year 2000, the proportion of renewable energy used in gross electricity consumption in Germany was around 48 per cent in 2022. In the Renewable Energy Sources Act of 2023 (EEG 2023), the German Federal Government set the following revised targets until the end of this decade:

• A share of 80 per cent of gross electricity consumption coming from renewable sources
• The capacities of onshore wind energy shall increase from 56 GW in 2021 to 115 GW in 2030.
• The new 2030 target for offshore wind energy capacities is set at 30 GW according to the „OffshoreWind Energy Act“ (“Windenergie-auf-See-Gesetz“) after reaching 7.8 GW in mid-2020.
• Aiming at 215 GW in 2030, the installed photovoltaic capacities almost need to double from around 60 GW at the end of 2021.
• Biomass capacities are targeted to grow from 5 GW in mid-2020 to 8.4 GW by 2030.