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Germany Sends Major EEG Reform and Netzpaket to Parliament

Shifting support from fixed feed‑in payments to market sales, the package raises costs and grid risk for small solar owners and prompts urgent parliamentary and EU review.

Overview

  • The federal cabinet approved the EEG revision and a new Netzpaket on Wednesday, July 29, and the bills were formally sent to the Bundestag for debate with a planned early‑2027 entry into force subject to EU state‑aid approval.
  • Immediate regulatory effects are already unfolding: the Bundesnetzagentur’s routine half‑year cut to feed‑in rates takes effect on August 1, and the draft sets a 36‑month transitional payment (illustrated at about 5.2 ct/kWh) for new small rooftop PV before mandatory direct marketing.
  • The Netzpaket lets grid operators label chronically congested areas as 'kapazitätslimitiert' and introduces a Redispatch‑Vorbehalt that can limit compensation for curtailed generation, reallocating some network risk onto generators.
  • Industry groups, environmental NGOs and opposition politicians say the changes could slow rooftop PV deployment, raise investment risk and cost jobs, while cleantech firms and some experts argue the shift rewards storage, smart meters and direct‑marketing services.
  • The draft keeps Germany’s renewables targets and adds measures to steer build‑out—stronger support for ground‑mounted PV, 12 GW of new onshore wind auctions and the end of some niche subsidies—while parliament, the Bundesrat and the European Commission must still approve final details.