TU professor calls for electricity prices by region

22.08.2025

Source: E & M powernews

According to the Ariadne report, the energy transition is causing additional costs of up to 26 billion euros a year. Nevertheless, a professor at TU Berlin sees no reason to slow down implementation.

The debate about the costs of the energy transition has been given new impetus by the current "Ariadne Report 2025". The report examines ways in which Germany can become climate-neutral by 2045 - economically viable and technically feasible.

The 27 scientific institutions that compiled the study calculate additional costs compared to continuing with fossil fuels if Germany wants to become climate-neutral by 2045. They amount to between 16 and 26 billion euros. According to the Technical University (TU) of Berlin, which helped compile the study, this corresponds to 0.4 to 0.7 percent of current economic output.

Federal Economics Minister Katherina Reiche (CDU) recently announced a "reality check" (we reported). In doing so, she wants to focus more closely on costs, grid expansion and security of supply and better coordinate expansion, storage and infrastructure.

However, such review processes can delay progress, warns Prof. Dr. Tom Brown, Head of the "Digital Change in Energy Systems" department at TU Berlin and co-editor of the Ariadne Report. On the university's website, he emphasized: "We shouldn't let the scrutiny stop us from acting." It is crucial to act now. Priority should be given to the expansion of wind and solar energy and the electrification of consumption. Additional tests should only serve to remove obstacles - not to slow down projects.

With regard to the debate about additional costs, Brown emphasized that the energy transition would be more beneficial for Germany in the long term. It reduces dependency on fossil fuel imports, reduces climate risks and secures the competitiveness of the economy.

Brown calls for barriers to making energy demand more flexible to be removed. Companies and households should be able to use more electricity when renewable energies are available. This would reduce costs and stabilize the supply.

Another focus for him is better coordination of electricity and hydrogen grids. Only integrated planning can prevent bottlenecks from occurring in one place while capacities remain unused elsewhere. He also advocates the increased use of overhead lines, which are faster and cheaper to build than underground cables.

Regional versus uniform electricity prices

Brown makes a particularly strong case for different regional electricity prices. The current uniform price system does not reflect reality. Where a lot of wind and solar power is fed into the grid, prices could be lower. In regions with low generation, higher prices would encourage investment. This would increase local acceptance and promote the expansion of the grids.

Brown reminded the audience that the energy transition is not just a technical task, but also a social one. Political measures must therefore take social issues into account. Involving the population is crucial in order to avoid resistance to new grids or plants

The Ariadne consortium, which includes the TU Berlin and the Potsdam Institute for Climate Impact Research, has been developing scenarios for a cost-efficient energy transition for years. The project is funded by the German Federal Ministry of Research, Technology and Space.

All of Prof. Dr. Tom Brown'sstatements can be found on the university's website. The Ariadne Report "Shaping the energy transition cost-effectively - scenarios for climate neutrality in 2045 " is also available on the TU Berlin website.

Author: Davina Spohn