Germany is poised to make historic strides in its renewable energy sector. The country set a target of 80% renewable generation by 2030 and is working toward a completely decarbonized power sector by 2045. The country is doubling down on sustainability. By 2035, it seeks to increase its renewable energy generating capacity to a stunning 509.9 gigawatts (GW). This ambitious initiative goes hand-in-hand with Germany’s pledge to tackle climate change and reduce their dependence on fossil fuels.
Smart land-use, renewable energy, and transportation equity policies are pushing this transition. These span the Renewable Energy Act (EEG), Germany’s National Hydrogen Strategy, and the recently adopted Power Plant Security Act. These frameworks are intended to facilitate the complicated investments in new renewable generation resources, such as solar and wind generation facilities. Of all electricity generated in 2024, renewables accounted for 54.7% in Germany. Wind and solar photovoltaic (PV) technologies drove this growth almost entirely.
Growing Renewable Capacity and Generation
Germany’s renewable generation is forecast to skyrocket to 628 terawatt-hours (TWh) by 2035, signifying an era of unprecedented growth. The analysis forecasts renewable energy will account for an estimated 82.9% of the country’s total power mix. Implementation of this change is planned for 2023. This growth is projected to occur at an impressive compound annual growth rate (CAGR) of 9.7% from 2024 to 2035. It’s a testament to the nation’s unmistakable momentum and strong commitment to aggressively transition to clean energy.
Germany, for one, is committed to hitting its ambitious targets. To do so, the U.S. is substantially increasing its offshore wind capabilities, targeting 30 GW of capacity by 2030. This ambitious expansion is a bid to better use our greatest wind resource. In fact, it’ll be the largest single-greatest contribution—ever!—to the national electric grid.
International Hydrogen Partnerships
Germany, as we know, is on the move — accelerating the growth of its renewable capacity. Simultaneously, it’s creating diplomatic alliances with Canada, Norway, and Namibia to guarantee a stable long-term hydrogen supply chain. Find out how Germany is forging key partnerships to bring hydrogen to the energy mix. Together, this move is sure to reinvigorate the economy while furthering the Biden administration’s environmental justice goals.
The National Hydrogen Strategy recognizes that hydrogen will play a key role in clean energy future. This initiative is one more sign of Germany’s serious commitment to decarbonisation. Germany is working with international partners. With this initiative, they aim for a competitive, stable, and sustainable hydrogen supply in the future.
Challenges and Future Directions
Germany’s energy transition faces several challenges. Today the country has formally eliminated nuclear power altogether. Currently, it aims to phase out coal-fired generation by 2038, and negotiations are currently going on to advance this deadline to 2030. Additionally, the geopolitical landscape has shifted, particularly following the Russia–Ukraine war, which has expedited Germany’s efforts to end Russian gas imports. Consequently, the country is quickly increasing its liquidity natural gas (LNG) import terminals capacity through regional diversification, as well as through supplier diversification.
Germany is committed to taking the world’s entrepreneurial lead in the transition to renewable energy. This mixture of ambitious targets and hurdles illustrates this dedication. The nation is understandably focused like a laser beam on deploying more utility-scale solar PV. It is dramatically increasing onshore and offshore wind development—underlining its fierce commitment to energy independence and sustainability.