It is not just the opposition that is criticizing the economics minister's reform plans. Skeptical voices also come from the coalition partner – and from the CDU.
Katherina Reiche (CDU): Criticism from her own party. Photo: Sebastian Christoph Gollnow/dpa
Berlin. For months, both the opposition and parts of the SPD parliamentary group have been criticizing Economics Minister Katherina Reiche (CDU) for the reform of the Renewable Energy Act (EEG) and the “grid connection package”. Schleswig-Holstein's Prime Minister Daniel Günther, a prominent CDU politician, is now also criticizing the plans.
In a letter to Chancellor Friedrich Merz (CDU), dated October 5th, Günther writes: Reiche's plans have the potential to "harm the Federal Republic of Germany and my federal state." Against this background, he must express his “greatest possible concern”.
Günther thus represents the same position as Nina Scheer, energy policy spokeswoman for the SPD parliamentary group. In a letter to party and parliamentary group members, which is also dated October 5th, Scheer writes: From the SPD's perspective, there is a "significant need for changes to the EEG amendment and the "grid connection package" in order to avert obstacles to the energy transition and to meet the goals of the coalition agreement."
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The federal cabinet passed both proposed laws at the end of July. The first reading in the Bundestag took place at the end of September. There are currently no dates for the second and third reading.
One thing is certain: The amended EEG must come into force on January 1, 2027, because the funding regime of the currently valid EEG is only approved under state aid law until the end of 2026.
Reiche would like to complete both projects synchronously. SPD politician Scheer does not believe that the temporal connection is absolutely necessary: With regard to the “grid connection package”, there is “no actual obligation to adopt it”.
The right to compensation should no longer apply
Günther and Scheer independently focus on two aspects in their criticism: the redispatch reservation from the “grid connection package” and Reiche’s plan to cancel subsidies for small photovoltaic roof systems.
The redispatch reservation is the core element of the so-called “grid connection package”. In overloaded grid areas in which more than five percent of the electricity from wind farms or photovoltaic systems have to be curtailed due to limited grid capacities, there should no longer be any compensation for new systems in the event of curtailment.
According to the draft “grid connection package” approved by the Federal Cabinet, this should apply for six years - with one restriction: the right to compensation should only be waived for up to 20 percent of the amount of electricity produced annually. In the original draft from Reich's ministry, the redispatch reservation was supposed to apply for another ten years; the limit to 20 percent of the amount of electricity was not planned.
The redispatch reservation is a devastating signal for planning companies, financing institutes and our municipalities. Daniel Günther, Prime Minister of Schleswig-Holstein
The Prime Minister of Schleswig-Holstein is clear about this proposal. “The introduction of a redispatch reservation is wrong,” he writes. A redispatch reservation would be “a devastating signal for project-projecting companies, financing institutes and our municipalities.” He will not reduce the costs in the energy system, but rather increase them because earnings risks will be shifted to financing.
Daniel Günther (CDU): “Highly irritated.” Photo: REUTERS
Scheer shares this argument. She writes that the SPD rejects the redispatch reservation “as this instrument would slow down the expansion of renewables, create uncertainty and a lack of planning and thus increase electricity prices.”
Warning of a loss of speed and acceptance
When removing funding for smaller photovoltaic systems on house roofs, Reiche envisages a system change: operators should market the electricity generated themselves in the future. However, there should be transition periods.
Günther writes that he is “extremely irritated” about the planned system change. Roof photovoltaics is a “participatory project”. Anyone who makes access to funding more difficult risks losing acceptance and the pace of the energy transition.
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Daniel GüntherKatherina ReicheCDUSPDGermany
Scheer argues similarly. She refers to the coalition agreement, which states: “In the energy transition, we are making the economy and consumers more co-creators.” Private households, commercial businesses and tenant electricity projects must therefore “continue to have a reliable framework in order to participate in a broadly anchored energy transition,” writes Scheer.
Minister Reiche is also causing criticism of her course internally by dissolving the “Wind, Solar and Transformation Industries” department from the Industry Department of the Ministry of Economics and integrating the tasks from there into other areas. “Katherina Reiche really doesn’t miss any opportunity to weaken renewable energies,” says Green energy politician Michael Kellner.
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