The German federal government has given the green light to the tender for new gas-fired power plants. These plants are designed to compensate for periods of Dunkelflauten, when neither the sun nor the wind generates enough electricity. By operating only during critical moments, they require state subsidies to be economically viable.
Backup technology for the energy transition ⚡
The plants will operate on natural gas, with a future option for green hydrogen. They are expected to be ready by 2030 and generate between 10 and 15 GW of power. The subsidy scheme guarantees fixed income for availability, not for production. This allows the plants to be on standby without losing money, covering up to 300 hours of renewable deficit per year.
The perfect plan, except for the gas and the money 💸
So Germany is going to pay for gas plants that almost never run. It's like having a fire truck that only comes out when it rains, but paying for its insurance and gas all year round. Sure, green hydrogen will arrive any day now, like next month or when pigs fly. Meanwhile, the gas burns and taxpayers pay.