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Germany's New Power Plant Strategy to Introduce Capacity Market and Gas-Fired Power Plants by 2026

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Germany's energy policy is challenged by the coal phase-out by 2038, leading to potential supply shortages. A new power plant strategy was established on January 15, 2026, aiming to tender 12 GW of controllable capacities by 2026, including hydrogen-compatible gas-fired plants.

This strategy shifts from an energy-only market to a capacity market, incentivizing investment in new power plants. Companies should focus on securing suitable locations, planning permits, and ensuring compliance with state aid laws to participate in the tenders, scheduled to begin in 2026. The decarbonization goal includes transitioning 4 GW to hydrogen by 2040 and 2043, with further tenders planned through 2030.

Germany's New Power Plant Strategy to Introduce Capacity Market and Gas-Fired Power Plants by 2026
Mar 3, 2026, 11:24 PM

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