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Ampel agrees on power plant strategy: 20 new gas power plants are to be built

2024-02-06T11:20:57.738Z

Highlights: Ampel agrees on power plant strategy: 20 new gas power plants are to be built. From a switchover date to be set in 2032, they should then switch completely to hydrogen “between 2035 and 2040” According to coalition circles, the costs are around 16 billion euros for the next 20 years. The energy industry has been waiting for a long time for a strategy to build hydrogen-capable gasPower plants by 2030. Renewable plants should be massively expanded by then. Currently it is just over half.



As of: February 6, 2024, 12:05 p.m

By: Amy Walker, Lisa Mayerhofer

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After a long struggle, the federal government has agreed on a strategy for building new hydrogen-capable gas power plants in Germany.

The Ministry of Economic Affairs announced this on Monday.

Berlin – The federal government has reached an agreement on the power plant strategy for future energy supply.

Federal Chancellor Olaf Scholz (SPD), Economics Minister Robert Habeck (Greens) and Finance Minister Christian Lindner (FDP) had “agreed on the essential elements of a power plant strategy as well as specifications for further projects,” the federal government announced on Monday (February 5).

The strategy is intended to create a framework for investments “in modern, highly flexible and climate-friendly power plants” that can be converted to hydrogen in the future.

Power plant strategy: Climate-friendly electricity thanks to hydrogen

In addition to the “consistent expansion of renewable energies and electricity networks, the decarbonization and security of supply of our electricity system requires modern, highly flexible and climate-friendly power plants,” explained the federal government.

In particular, the power plants are intended to ensure the supply of climate-friendly electricity even in times with little sun and wind.

The power plants are to be financed with funds from the Climate and Transformation Fund (KTF).

Thermal power plant on the Elbe: The transition to renewable energies requires reserve power plants.

© Daniel Bockwoldt/dpa

According to coalition circles, the costs are around 16 billion euros for the next 20 years.

According to the communication, it was agreed that concepts for a so-called capacity mechanism should be developed.

A political agreement on this should be reached within the federal government by summer 2024 at the latest.

In a few years, operators could be rewarded for maintaining power plant capacity using such a mechanism.

Specifically, the “traffic light” leaders agreed that new gas power plant capacities of up to four times 2.5 gigawatts would be put out to tender at short notice as part of the power plant strategy.

So 20 new gas power plants are to be built.

From a switchover date to be set in 2032, they should then switch completely to hydrogen “between 2035 and 2040”.

It was also said that the planning and approval procedures for the power plants included in the power plant strategy should be substantially accelerated.

The agreement reached on the power plant strategy will be discussed with the EU Commission in Brussels.

Bring forward the coal phase-out to 2030: Coal-fired power plants must be replaced

The energy industry has been waiting for a long time for a strategy to build hydrogen-capable gas power plants by 2030. Renewable plants should be massively expanded by then.

The federal government's goal is: 80 percent of electricity should come from renewable energy sources by 2030.

Currently it is just over half. 

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The new gas power plants are intended to step in during “dark lulls” - when there is no wind and no sun shining - to cover electricity demand.

However, energy companies have so far been reluctant to invest because the new power plants are not profitable.

Habeck had spoken out in favor of state funding that could amount to billions.

FDP politicians had pointed out the high costs of funding and called for “technological openness”.

The traffic light coalition had agreed to “ideally” bring forward the coal phase-out to 2030 in order to prevent the emission of climate-damaging carbon dioxide.

So far, an eight-year phase-out has only been decided in the Rhenish district.

It is controversial in the areas of East Germany.

New gas power plants could primarily replace coal-fired power plants.

They will initially be operated with natural gas, but then increasingly with climate-friendly hydrogen.

(lma/AFP/dpa)

Source: merkur

All news articles on 2024-02-06

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