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ENERGY

German minister accuses gas-supplying countries of ripoff prices

Federal Economics and Climate Minister Robert Habeck says friendly countries are charging Germany too much for gas and should show more solidarity.

German Economy and Climate Minister Robert Habeck speaks in Berlin.
German Economy and Climate Minister Robert Habeck speaks in Berlin. Photo: picture alliance/dpa | Kay Nietfeld

Habeck, from the Greens, singled out the United States in particular, saying it was charging excessive Mondpreise – or ‘moon prices’ – a German expression for an overly high fee or ‘ripoff’.

Before Russia invaded Ukraine in February, Germany sourced 55 percent of its natural gas – which half of German homes use for heat – from Russia.

Now that Russia has shut off deliveries to Germany in retaliation for EU sanctions, Germany has had to turn to suppliers like Norway and temporary liquefied natural gas terminals (LNG) on its north coast to get gas from faraway places like the US and Qatar.

With Europe in general – and Germany in particular – facing an energy crisis this winter and power bills more than doubling, Habeck called on the US to return historical favours.

‘The US approached us when oil prices skyrocketed,’ Habeck told the Neue Osnabrücker Zeitung newspaper. ‘European countries tapped into their national oil reserves as a result. I think such solidarity would also be good for curbing gas prices.’

Habeck also says European countries should band together through the EU to negotiate more favourable gas prices with offshore suppliers, in order to get a better bargain by not bidding against each other.

Other EU countries, however, have blasted Germany for rejecting a Europe-wide gas price gap and planning on moving ahead with its own – a key measure in a new €200 billion spending package announced last week that dwarfs the energy relief supplied by any other European country.

READ ALSO: Germany to thrash out details of €200 billion energy support package

Such a gas price cap would see a maximum amount households would pay for at least a ‘basic level of consumption,’ possibly around 75-80 percent of what the average family uses, with 20-25 percent of consumption allowed to float, in order to incentivise people to save energy.

The government would then be on the hook to pay the difference between the capped level for consumers and the market rate – something that could cost billions in new debt.

The federal government’s expert group says it is working flat out to present ministers with its exact proposal for how a cap should work in practice by the weekend.

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CLIMATE CRISIS

How installing solar panels at home is set to become easier in Germany

As part of its drive to roll out renewable energy, Germany has passed a new law that will make it easier to install solar panels on your balcony. Here's what homeowners and renters need to know.

How installing solar panels at home is set to become easier in Germany

With rising prices affecting almost every area of life, many people are looking for ways to cut costs wherever they can. 

When it comes to electricity, this could include looking at renewable options like installing solar panels on your balcony.

According to data from the Federal Network Agency’s Market Data Register, this is an increasingly popular choice. As of April 2nd this year, there were around 400,000 balcony solar units in operation in Germany, compared to just 230,000 in the summer of last year.

These little photovoltaic systems can be a great way to become more self-sufficient by producing your own energy for the home – but despite the benefits, you may have been put off by fears of mountains of paperwork and an uncertainty around the rules.

READ ALSO: How to install a solar panel on your balcony in Germany (even if you rent)

The government’s new Solar Energy Package, passed on Friday, aims to solve this issue by making it simpler for people in apartments or single-family homes to install solar panels and use their own energy.

It’s part of a major drive to roll out renewable energy in Germany, pushing up photovoltaic capacity from 7.5 gigawatts in 2022 to 22 gigawatts in 2026 and ultimately 215 gigawatts by 2030. 

But what exactly is changing for homeowners and renters? Here’s what we know so far.

Streamlined registration process

Rather than having to register with your local network operator when installing solar panels on your balcony, in future simply registering with the Federal Network Agency’s Market Data Register will suffice. This streamlined process has been in place since April 1st, 2024. 

Increased capacity allowance

Solar devices installed in the home are allowed to be more powerful in future. If your future device has an installed output of up to 2 kilowatts and an inverter output of up to 800 volt-amperes in total, you can register it quickly in a simple and unbureaucratic registration process.

Previously, devices were only allowed an inverter output of up to 600 volt-amperes. 

No barriers on meters

In a transitional measure designed to encourage more people to switch to solar energy, balcony installations can be run through any type of meter on the market.

Solar panels on a German balcony

Solar panels on a balcony in Germany. The government is making it easier for people to produce – and use – their own solar energy. Photo: picture alliance/dpa/iStock.comMaryanaSerdynska | Maryana Serdynska

This includes meters without a backstop, which run backwards when more energy is produced than is used. These, alongside normal one-way meters with a backdrop, will be permitted for a limited time until modern digital meters can be installed. 

Under previous rules, both older types of meter were prohibited. 

Simpler energy storage

In future, balcony solar systems will be able to store energy with a conventional shockproof plug. This will make installation way easier than it was before.

READ ALSO: German government to subsidise up to €30,000 of heating revamp costs

Easier operation of multi-unit buildings

To enable tenants in apartment blocks to use cheaper solar power from roofs, garages or battery storage systems directly, the new instrument of “communal building supply” is being introduced. This eliminates the complicated requirement to feed energy into the general electricity grid and permits residents to use the energy generated themselves.

In future, tenants will also be able to take out an affordable supplementary tariff themselves for electricity that is not covered by their solar installation. Some rules on this still need to be clarified though, so watch this space. 

Tenant subsidies in commercial buildings

In future, tenant electricity will also be subsidised for commercial buildings and ancillary facilities such as garages if the electricity generated there is consumed immediately, i.e. without being fed through the grid.

This allows several energy systems to be combined and should avoid the overwhelming technical barriers that were previously a problem in residential neighbourhoods. 

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