First rules of new 2023 RES Act enter into force: "renewable energy first" and higher remuneration for solar power

From today, the principle applies that the use of renewable energy is in the overriding public interest and serves public security. The aim is to speed up the expansion of renewable energy. This means that renewable energy will be given priority when decisions are made. In addition, the remuneration for all new rooftop PV installations will increase from tomorrow. These are the first acceleration measures in accordance with the revised Renewable Energy Sources (RES) Act. This Act is the most comprehensive revision of the RES Act since it was first adopted. It aims to further speed up the expansion of renewable energy. The majority of the provisions of the new 2023 RES Act will enter into force on 1 January 2023. For this purpose, the revised Act was published in the Federal Gazette yesterday.

Federal Minister Robert Habeck said: "In view of the worsening climate crisis and Russia’s war of aggression against Ukraine, the expansion of renewable energy has become a matter of national and European security, We need to transform our energy systems as fast as possible, away from fossil fuels towards renewable energy. This is why we have been doing all we can to substantially improve the policy environment for renewable energy. From today, the principle applies that the use of renewable energy is in the public interest and serves public security. This is crucial to speed up the transformation. In addition, higher remuneration rates for rooftop photovoltaic installations will apply from Saturday. We are thus sending out a clear signal to the market and giving solar power a fresh boost. We all need to press ahead with renewable energy with courage and resolve."
From Saturday, the remuneration for solar power will amount to up to 13.4 ct/kWh. The higher rates apply to installations put into operation at the earliest on the day after the Act enters into force (30 July). At the same time, grid connection procedures will be simplified also for small-scale PV installations. Further measures will enter into force on 1 January 2023.

In accordance with the 2023 RES Act, the focus of the aim to expand the use of renewable energy in the electricity sector is for the first time on the goal of the Paris Climate Agreement to limit global warming to 1.5 degrees. For this purpose, the deployment corridors will be raised and the volumes up for auction will be increased substantially, especially for onshore wind and for solar energy. This will be specified in a comprehensive package of further measures, which includes the expansion of eligible areas for ground-mounted PV installations and of the categories of sites available for agrivoltaics and for further specific solar installations. In addition, the development of more low-wind sites especially in the south of Germany will become much more attractive, citizens’ energy initiatives will be strengthened, and opportunities for financial participation by municipalities will be extended. Last but not least, the EEG surcharge has been abolished from 1 July 2022 in accordance with the 2023 RES Act.

The provisions of the new RES Act are subject to approval under European State aid rules. Good and constructive talks with the European Commission have been held to this end. As the talks were initiated at an early stage, they have already made good progress.

The new RES Act is complemented by further Acts with the aim to expand the use of renewable energy, which have also already been adopted. The area available for wind turbines in particular is to be extended by means of clear targets to be reached by all Länder from the north to the south of Germany (Onshore Wind Energy Act). Furthermore, authorisation procedures will be accelerated. In addition, expansion targets have been substantially increased for offshore wind energy (Offshore Wind Energy Act).