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Energy transition: well on course

The transition to green energy is well on course, and a recent BMWK progress paper shows that it is gaining traction. Here’s a look at the report – and at what can be read between the lines:

“Steady as she goes!” is something you’ll hear when a sailboat changes course. It is also an apt summary for the conclusion reached in the progress paper on the energy transition, which was published at the end of April. The report contains figures, images and summaries regarding the current state of the energy transition. And these all show: We’re right on course! Thanks to the efforts of the German federal government, and despite the challenges brought about by the energy crisis of the past few years, the transition of the energy landscape is gaining momentum at a remarkable rate. Germany is also continuing to pick up speed on its course towards climate neutrality.

In 2023, more than half of all electricity consumed in Germany came from renewable sources

The conditions under which the transition of our energy supply can succeed are time and again at the centre of controversial debates. The same rule for sailing applies for the energy transition: course correction is not only possible, but also often necessary. The deciding factor is that the speed and direction must be correctly calibrated, and the goals of the energy transition must be met. These goals - security of supply, climate action, affordability - are not an end in and of themselves, but rather the necessary prerequisite for the climate-neutral renewal of our prosperity and for reaching climate neutrality by 2045. What is important now is staying on course, thus creating planning and investment security for the future.

By the year 2030, 80 percent of electricity should come from renewable sources. A climate-neutral energy supply is a central factor, because the climate goals in almost all other sectors can be reached directly (electric vehicles, heating pumps) or indirectly (green hydrogen, e-fuels) via comprehensive electrification, which will in turn require renewable electricity.

Significant acceleration in almost all sectors is having an effect

The progress paper shows that the comprehensive acceleration measures across the past two and a half years are having an effect. The approval and construction of solar and wind energy facilities have gained significant speed. The grid expansion is also taking place at a more rapid pace. In 2023, four times as many route kilometres were approved compared with 2021 (see the “direkt finds” section for more on this). The emissions generated by electricity production have fallen significantly, and a recent forecast by the Federal Environment Agency indicates that the climate goals for 2030 are, for the first time, within reach.

Amended energy regulations and strategies for renewables are speeding things up

This new momentum is in large part due to the ambitious revisions made to German energy laws over the past two years. One example is the comprehensive RES Act, which came into force at the start of 2023 and was followed by additional measures. These measures include the implementation of the EU Emergency Regulation for the accelerated deployment of renewable energy and grids, the Onshore Wind Strategy (German), the PV Strategy (German) and the very recent Solar Package I (see our report). The measures taken to reduce electricity costs for industrial consumers, the new law to relaunch the digitalisation of the energy transition and the amendments to the Energy Industry Act have all further contributed to the acceleration.

In order to ensure that the momentum is permanently maintained and continues to gather, simplification of the approval process is of particular importance. For this reason, in 2023 the German federal government added the basic provision to make renewable energy sources and electricity grids a matter of “overriding public interest” and to define them as “part of public security”. National standards for species conservation will also help ensure shorter inspections and more legal certainty.

Close and efficient cooperation between key players in the energy transition

The goal of climate neutrality by 2045 set by the large coalition is now underpinned by corresponding measures for the electricity sector. At the federation, Länder, municipal and city levels, public administrations, the private sector and private individuals are working together effectively to bring about the climate-neutral transition of our energy supply.

The consequences of the energy crisis have now been largely overcome in the electricity market. Germany’s energy supply is more resilient than before, once again enabling a clearer view of the progress of the energy transition. Read more about it! All the figures, facts and images on the progress in photovoltaics, wind, electricity, security of supply and emissions can be found in our press paper (in German).