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Regional Updates
SMA Solar unit breaks ground on 130-MW German battery for MEAG
SMA Altenso GmbH, a subsidiary of SMA Solar Technology AG, has begun construction on a 130-MW/354-MWh battery energy storage system in Hoexter, Germany. The grid-connected battery park will use 76 BYD battery stations and SMA's Sunny Central Storage UP-S battery inverters, with grid connection planned for 2027. MEAG, the asset manager of Munich Re, recently acquired the ready-to-build battery system, with Altenso implementing the project and serving as its long-term maintenance partner.
re.venture Announces Development and Construction of Large-Scale Battery Storage Park in Brandenburg, Germany
re.venture plans to develop a 60 MW battery storage park in Brandenburg, covering 1.5 hectares with 240 MWh storage capacity. Located in a grid-constrained area, the project aims to absorb locally generated renewable energy and enhance grid stability. Construction begins in 2026, with commissioning planned for 2027. The modular design allows future expansion up to 480 MWh and provides advanced grid services like fast frequency response and system stabilization.
Return, N2OFF embark on Germany BESS projects
Dutch BESS operator Return acquired four ready-to-build projects totaling 310MW/670MWh in Eastern Germany from BESSMART, with commercial operation scheduled for 2027. Meanwhile, agrifood tech investor N2OFF added a 107MW/214MWh battery energy storage system (BESS) to a solar PV project in Melz, expanding its renewable energy investments. The moves come amid Germany's extensive 500GW grid interconnection queue for energy storage projects, signaling continued growth in the country's battery storage market.
Fresh funding boost for German battery storage players
Terra One secured €150 million from Aviva Investors to expand its battery storage portfolio in Germany, with plans to build approximately 500 MW of capacity by 2028. Simultaneously, Hamburg-based suena energy closed an €8 million Series A funding round led by Eneco Ventures, focusing on international expansion and optimization of colocated renewable energy and storage assets. Both companies aim to leverage AI and advanced technologies to maximize revenue and operational efficiency in the growing energy storage market.
Verbund stops 60-MW green hydrogen project in Austria
Austrian utility Verbund AG and LAT Nitrogen have terminated their 60-MW green hydrogen and ammonia project due to unfavorable economic conditions. Despite advanced progress, insufficient public funding commitments led to project cancellation. The Green Ammonia Linz project, which aimed to produce 7,000 tonnes of green hydrogen annually, is now on hold, with companies leaving open the possibility of resuming under different economic and regulatory conditions.
Steag abandons 53-MW green hydrogen project in Germany
Power group Steag Iqony will not advance its 53-MW HydroHub Fenne electrolyser project in Saarland, Germany, due to unfavorable economic conditions. The project, which was expected to generate up to 8,700 tonnes of renewable hydrogen annually, was halted because of high electricity prices, lack of reliable offtake routes, and insufficient competitive conditions. This decision reflects broader challenges in the German hydrogen market, with several other hydrogen initiatives recently being suspended or abandoned.
Austria seeks to boost H2 production, infrastructure
Austria's government is advancing plans to accelerate renewable hydrogen production and infrastructure through new regulatory bills. The proposed legislation includes a €20mn programme for electrolysis plant subsidies and a certification framework for renewable hydrogen. The country aims to establish 1GW of electrolysis capacity by 2030, with the SoutH2 corridor project potentially operating by 2035. Despite setbacks like a cancelled 60MW project, Austria continues to pursue hydrogen development with potential operating subsidies of up to €400mn through European hydrogen bank auctions.
Germany must ease grid access for solar and storage, survey shows
The German Solar Association (BSW-Solar) reports that grid access for solar parks and large-scale storage systems must be urgently simplified, standardized, and digitalized. An industry survey among project developers highlights the need for streamlined grid connection processes to accelerate renewable energy deployment in Germany.
Draft of Location Promotion Act Makes Photovoltaics More Attractive for Investment Funds
The German government's draft Location Promotion Act aims to remove legal and tax barriers preventing investment funds from investing in photovoltaic roof systems. The legislation clarifies that selling solar power on-site or feeding into the grid will not jeopardize a fund's tax status. Node Energy expects this will enable new business models for real estate funds, including on-site and off-site power purchase agreements for solar installations across different locations.
Germany aligns renewable rollout with slower grid expansion to cut costs
Germany will adapt its renewable energy expansion to match slower grid development and lower hydrogen ambitions to reduce energy transition costs. Economy minister Katherina Reiche emphasized a new focus on affordability and supply security, proposing more targeted public investments and grid-friendly renewable additions. The government plans to introduce a technology-neutral capacity market by 2027, modify renewable support mechanisms, and potentially scrap the 10 gigawatt electrolyser capacity target. While industry groups welcomed the report, environmental organizations criticized the approach as potentially increasing fossil fuel dependency.
Merz and Wind Sector at Odds Over Cuts to German Renewables Targets
German Chancellor Friedrich Merz and the country's wind energy sector are in disagreement over potential cuts to renewable energy targets. Following the presentation of a planned revamp of Germany's renewable support system, statements from Merz, a state premier, and the wind energy federation appear to contradict each other, highlighting tensions in the country's renewable energy policy.
Survey: Photovoltaic and Storage Project Developers Frustrated with Grid Operators
A survey by the German Solar Industry Association (BSW-Solar) reveals significant frustration among photovoltaic and storage project developers with grid operators. 72% of surveyed planners rated communication during grid connection requests as poor. For most planned large battery storage projects (63%), developers receive no response, rejection, or are told no grid connection is possible until end of 2028. The association calls for simplified, standardized, and digitized grid access processes in the upcoming Energy Industry Act (EnWG) to prevent grid access from becoming an 'obstacle to the energy transition'.
EU-backed solar and storage project moves forward in Slovenia
Holding Slovenske elektrarne (HSE) will build two additional solar plants with battery storage at Prapretno, on a former coal plant site. Prapretno 2 and 3 will have a combined 6.75 MW capacity with over 12,000 solar panels, capable of supplying more than 1,500 households. The 10.85 million euro project is co-financed by the EU Cohesion Fund with over 4 million euros, and is scheduled to begin operations in spring 2026. The engineering company RIKO will design and implement the project, which aligns with national and European renewable energy strategic goals.
Germany adds 1.95 GW of new solar in August
Germany installed 1.95 GW of solar capacity in August 2025, bringing total additions to 10.8 GW in the first eight months of the year. The country's cumulative solar capacity reached approximately 111 GW, with most capacity located in Bavaria, Baden-Württemberg, and North Rhine-Westphalia. Open-space sites accounted for 72.6% of new installations, exceeding the government's 50% target. The current expansion rate is below the 2030 target of 215 GW, which requires approximately 1.62 GW of monthly installations.
BSW-Solar Warns: Cuts in Solar Funding Could Slow Down Solar Energy Expansion
The German Solar Industry Association (BSW-Solar) cautions against reducing photovoltaic subsidies, arguing that such cuts could significantly hinder solar energy development. According to a survey, only 4 in 10 homeowners would invest in solar installations without EEG funding, due to longer amortization periods. BSW-Solar's CEO Carsten Körnig emphasizes the need for a reliable investment framework to support renewable energy growth and meet climate goals, especially with increasing electricity demand from new sectors like electric vehicles and AI data centers.
Vattenfall nimmt PPA-finanzierte Agri-Photovoltaik-Anlage mit 76 Megawatt in Betrieb
Vattenfall has launched Germany's largest agri-photovoltaic plant in Tützpatz, Mecklenburg-Vorpommern, with 76 megawatts of capacity spread across three areas. The project, financed through a Power Purchase Agreement (PPA) with a Telekom subsidiary, will generate solar power without EEG subsidies and combines solar energy production with agriculture and livestock farming. A 50.4 MW battery storage system is planned for 2027, and the project demonstrates innovative land use that supports climate-neutral production.
Germany's largest agrivoltaic project goes online
Vattenfall has commissioned a 76 MW agrivoltaic plant in Tützpatz, Mecklenburg-Western Pomerania, using 146,000 bifacial solar modules. The project spans 93 hectares, combining solar power generation with arable and livestock farming, and is supported by a 10-year power purchase agreement with Deutsche Telekom subsidiary PASM. The facility, developed without public subsidies, includes plans for a 50.4 MW battery storage system by 2027 and will feature six mobile chicken coops and a four-crop rotation system.
Germany considering offshore wind CfDs in new 'pragmatic' outlook
Germany's Economy Minister Katherina Reiche announced a shift from fixed-price subsidies to market-based support for renewable energy projects, potentially adopting contracts for difference (CfDs) for offshore wind. The government aims to reach 80% renewable electricity by 2030 and climate neutrality by 2045, despite current challenges including grid constraints and costly infrastructure. Grid transmission expansion is projected to cost 440 billion euros by 2045, with the ministry proposing coordinated expansion of power grid, renewable capacity, and storage, including incentives like regional bonuses.
Germany to 'adjust' offshore wind target and introduce CfDs in support revamp
Germany plans to modify its offshore wind target and introduce contracts for difference (CfDs) as part of a comprehensive renewable energy support system overhaul. Energy minister Katharina Reiche is demanding profound changes to the current renewables support mechanism following an 'Energiewende monitoring' review, signaling a strategic shift in the country's approach to renewable energy development.
Longer Lifespan for Offshore Wind Farms Could Improve Returns and Reduce Costs, German Study Finds
A Fraunhofer IWES study commissioned by BDEW suggests extending offshore wind farm operational life to 35 years could boost electricity output and lower total costs. Currently, German regulations mandate decommissioning after 25 years, even when technically viable. The research examined coordinated continued operation scenarios, finding that extending operational life can ease supply chain pressures and minimize environmental impacts. In 2024, Germany added 0.7 GW of offshore wind capacity, more than doubling the previous year's addition.
Wind Energy Developer Gaia Warns of Potential Shutdown in Southern Germany
Gaia mbH warns that proposed changes to reference yield calculations could jeopardize around 2,300 planned wind energy projects in southern German states, potentially causing numerous wind energy companies to face insolvency and hundreds of job losses. The company argues that raising the reference yield from 50% would make project financing impossible, with approximately €575 million already spent on assessments and approval fees. Gaia is calling for maintaining current reference yield models and increasing land allocation for wind energy projects to support the sector's growth.
Global Roundup
(Stories relevant to multiple regions)Renewables investments shifting from US to EU, says BloombergNEF
Global renewable energy investment reached a record $386 billion in the first half of 2025, with a 10% increase driven by offshore wind and small-scale PV. Utility-scale solar investment declined 19%, particularly in China, Spain, Greece, and Brazil, while EU investment rose 63%. The United States saw the largest investment drop of 36%, with developers slowing activity due to political uncertainty and tariff risks. Small-scale solar partially offset larger project declines, with China installing 256 GW from January to June 2025. Emerging markets maintained investment levels, signaling continued global interest in renewable energy.
Reform deal needed to save ETS 2, key to EU climate goals – think tank
The EU must address resistance to its new emissions trading system (ETS 2) and find a strategic compromise to ensure its introduction, as the union lacks alternative methods to reduce emissions in transport and heating. Think tank EPICO recommends reforms like extending the Market Stability Reserve and using new debt to fund clean technology investments. The system aims to push CO2 reduction in transport and building sectors, with full implementation planned for 2027, despite political pressure to weaken or postpone it.
FF Ventures, E Energy to co-develop 2.4 GW of BESS in Europe
FF Ventures, backed by Octopus Energy, will collaborate with E Energy Invest (EEI) to co-develop a 2.4-GW battery energy storage system (BESS) portfolio across Spain, Portugal, and Romania. The partnership aims to expand energy storage infrastructure in these European markets, signaling growing investment in grid flexibility and renewable energy integration technologies.
Terra One secures €150 million financing from Aviva Investors to expand energy storage portfolio
Terra One, a leading European grid-scale battery storage developer, secured €150 million in mezzanine financing from Aviva Investors. The funding will enable the company to invest up to €750 million in new storage assets, building a total capacity of around 3 GWh - sufficient to power approximately 20% of German households for one hour. CEO Tony Schumacher highlighted the milestone's importance for Europe's energy transition, while Aviva Investors sees energy storage as crucial for a carbon-neutral future. The investment aims to strengthen European energy independence and grid stability by integrating renewable energies.
Global H2 investment tops $110 billion, says Hydrogen Council
The global hydrogen industry has seen significant growth, with investments reaching $110 billion, a $35 billion increase from last year. The Hydrogen Council's report reveals 510 operational or under-construction projects, with China leading at $33 billion in investments. Total committed hydrogen capacity now exceeds 6 million metric tons per year, with potential to support 9-14 mtpa of clean hydrogen by 2030. The industry faces challenges in securing offtake agreements and requires stronger collaboration between businesses and governments to ensure project success.
'Not just nice - essential': WindEurope backs tripartite contracts
WindEurope supports the European Commission's proposed tripartite contract model for offshore wind, which would involve governments actively participating in power purchase agreements. By providing regulatory certainties and financial incentives, these contracts aim to share investment risks, establish trust between industry partners, and unlock investments in industrial electrification. WindEurope CEO Giles Dickson emphasizes that such contracts are essential for creating a stable electricity demand and helping European industry remain competitive.
EU Launches 'Energy Highways' Initiative to Address Critical Infrastructure Bottlenecks
EU President Ursula von der Leyen announced an 'energy highways' initiative targeting eight critical infrastructure bottlenecks across Europe, including improved interconnectors, hydrogen corridors, and power system strengthening. The initiative aims to remove system constraints, advance hydrogen use, and enhance energy affordability. Additionally, von der Leyen unveiled a €1.8 billion battery booster package to support clean tech production, particularly electric vehicle manufacturing, emphasizing a 'made in Europe' approach to energy transition.
Hamburg Commercial Bank Finances Solar Energy Fund Nextenergy III
Hamburg Commercial Bank has provided a $50 million revolving credit line to Nextenergy III, a private solar infrastructure fund investing in selected OECD countries. The fund, managed by Nextenergy Capital, has invested in 167 photovoltaic plants totaling 1.8 GW, with potential to reduce 2 million tons of CO₂ emissions annually and power approximately 1.3 million households. This financing enables flexible investment responses and supports value-enhancing investments in the solar sector.
Ørsted initiates £5.8bn rights issue to fund sunk-cost project
Danish energy company Ørsted is launching a £5.8 billion rights issue to recoup losses in its North American offshore wind sector, specifically to fund the 924MW Sunrise Wind project and cover financial impacts from Revolution Wind's stop-work order. CFO Trond Westlie noted they are constructing 8.1GW of offshore wind, expected to generate £1.2-£1.3bn in annual earnings by 2028, with a strategic focus on core European markets. Equinor, holding a 10% stake, will participate in the rights issue, though merger discussions remain open-ended.
Europe's Cross-Border Renewables Projects to Strengthen Energy Security
Five new cross-border renewable energy projects have been added to the EU's initiative, aiming to enhance energy security and meet 2030 climate targets. These projects include offshore wind farms in the Baltic Sea, wind parks across Latvia and Lithuania, renewable studies in Portugal, solar and wind capacity in North Africa, and a cross-border district heating project. The Bornholm Energy Island project, awarded €645 million in EU funding, exemplifies these efforts by establishing a power hub to centralize electricity from offshore wind farms and supply 3GW across Denmark, Germany, and broader Europe.
How will Mitsui's Port Purchase Boost North Sea Renewables?
Mitsui & Co. and MOL have acquired Scotland's Port of Nigg to create Global Energy Service Holding (GESH), strategically positioning themselves to accelerate offshore wind development. The acquisition aims to strengthen UK energy security, support net zero goals, and provide a dedicated platform for scaling renewable infrastructure, with plans to modernize port services, integrate supply chains, and reduce carbon emissions through localized fabrication and assembly.