Wide-ranging debate following energy transition monitoring

16.09.2025

Source: E & M powernews

Federal Minister for Economic Affairs Katherina Reiche (CDU) has presented the monitoring report on the energy transition. Industry associations and companies react partly approvingly, partly critically.

With the presentation of the new monitoring report on the energy transition by the Federal Ministry for Economic Affairs and Energy (BMWE), numerous industry associations and companies have published their assessments. While many players welcome the focus on cost efficiency, security of supply and flexibility, others warn of false incentives or insufficient speed in the expansion of renewable energies.

The German Association of Local Utilities (VKU ) expressly praises the clear continuation of the energy transition. Managing Director Ingbert Liebing explained that the climate targets and the expansion of renewable energies remain firmly anchored. Political will is now needed to implement the report's recommendations swiftly. The VKU also referred to the importance of the Federal Network Agency's NEST process for a new regulatory framework for electricity and gas grids. Without fair investment conditions for grid operators, the energy transition could not succeed.

The German Association of Energy and Water Industries (BDEW) also rates the report positively. Managing Director Kerstin Andreae emphasized that the expansion of renewables must be more closely interlinked with the grids. A capacity market open to all technologies from 2027 and the expansion of hydrogen-capable gas-fired power plants are key points. There also needs to be less bureaucracy and faster approvals.

Industry wants gas-fired power plants and H2

Karlsruhe-based energy supplier EnBW sees the monitoring report as an opportunity to make the transformation of the energy system more demand-oriented and cost-efficient. CEO Georg Stamatelopoulos announced investments of up to 50 billion euros by 2030, primarily in Germany. One focus will be on the construction of H2-ready gas-fired power plants. The tenders for this are urgently awaited.
Theassociation "The Gas and Hydrogen Industry" emphasized the importance of hydrogen for cost efficiency and security of supply. CEO Timm Kehler called for open-technology approaches and the rapid expansion of hydrogen storage facilities and hydrogen-capable power plants.

The energy company Vattenfall spoke of a "solid basis for discussion" and welcomed the adherence to the target of 80 percent renewables by 2030. Clarity for investments is now crucial. The German Chamber of Industry and Commerce (DIHK) called for the energy transition to be more market-based. President Peter Adrian spoke out against a state-financed capacity market for gas-fired power plants and warned against unnecessary costs for companies.

Criticism of brakes on the expansion of renewable energies

The German Solar Industry Association (BSW-Solar), on the other hand, criticized the Minister's comments on possible cuts to solar subsidies. Managing Director Carsten Körnig warned that demand for solar systems would fall significantly without subsidies. In view of the increasing demand for electricity from new consumers such as heat pumps or data centers, the expansion of photovoltaics must be accelerated rather than slowed down.

The bioenergy associations in the Capital City Bioenergy Office (HBB) were also critical. Although the report confirms the role of biomass as a flexible energy source, the assumed potential in the electricity sector is clearly underestimated. Director Sandra Rostek called for existing biogas plants to be made more flexible.

Agora Energiewende criticized the German government for leaving key questions unanswered and sending the wrong signals with a lower electricity consumption forecast. Director Julia Bläsius called for the expansion of wind and solar energy not to be curbed.

The German Federation for the Environment and Nature Conservation (BUND) went even further. Head of department Tina Löffelsend accused Minister Reiche of jeopardizing the climate course with planned gas-fired power plants and CCS technologies. Instead, a flexibility agenda is needed for the energy system.

Author: Susanne Harmsen