Overview
- Berlin secured EU approval to run auctions for 12 GW of capacity, allowing up to 10 GW of pure gas plants.
- Auctions will also be open to storage and biomass providers that can guarantee firm capacity, with coal excluded and rules for the first 10 GW favoring gas.
- The scheme will be funded via a levy on electricity customers, slated to be introduced with a capacity market law in 2027 and collected from 2031, though its size is not yet estimated.
- The government now discusses starting auctions in autumn 2026 after initially targeting 2025, and the timetable remains uncertain.
- Policy design shifts from subsidies-first to procuring new capacity directly through an earlier-starting capacity market, drawing criticism from Green lawmaker Michael Kellner over potential price increases and calls for technology‑open, right‑sized procurement.