Germany plans auctions for the construction of new gas power plants in March 2026, following a recent government agreement.

The German Minister of Economy, Katherina Reiche, announced that the country will organize auctions for the construction of new gas power plants in March 2026, with details that could be announced before Christmas. This follows a recent agreement in the government coalition, which reduced the initial plan from 20 Gigawatts to a smaller capacity, due to concerns from the European Union regarding the expansion of fossil fuel power plants. Additionally, final approval for state aid from the European Commission is pending, but Reiche mentioned progress in discussions.

Germany, which closed its last nuclear power plants two years ago and aims to gradually phase out coal, needs flexible energy sources, such as gas power plants, to compensate for periods without wind and sun. At the same conference, an increase in investor yields in networks was announced, due to rising costs and investments in infrastructure. Reiche emphasized the need for a review of the strict requirements for the digitalization of energy networks, mentioning that the installation rate of smart meters in Germany is only 3%, compared to 98% in Italy. The Ministry of Economy will present criteria for prioritizing connection requests to the grid in the first quarter of 2026, in the context of current delays.