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55% renewable energy in the German mix by 2023

Germany has reached an historic milestone in its energy transition, with more than half of its electricity coming from renewable sources, marking a decisive turning point for Europe's leading economy.

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2023 was a pivotal year for Germany. The Bundesnetzagentur reported that 55% of the country’s electricity production comes from renewable energies, compared with 48.42% in 2022. This remarkable progress is the fruit of an ambitious energy policy aimed at reducing dependence on fossil fuels and meeting the challenges of climate change. Wind power was the main contributor, accounting for 31% of electricity production, followed by photovoltaics at 12% and biomass at 8%. This diversification of renewable sources demonstrates Germany’s commitment to innovation in the energy sector.
At the same time, coal’s share of the energy mix fell to 26%, down significantly from 34% the previous year. This reduction is all the more remarkable given that Germany had temporarily increased its use of coal in 2022, following the halt in Russian gas deliveries. The German government is aiming for 80% renewable electricity by 2030, an ambitious but essential target for the energy transition. This strategy is part of a global effort to combat climate change and achieve greater energy autonomy.

Impact and outlook

In 2023, electricity consumption in Germany fell by 5.4%, while production declined by 9.1%. These figures reflect a trend towards energy efficiency and reduced dependence on imported fossil fuels. Nuclear power’s share of production has been reduced to almost zero with the closure of the country’s last three reactors. While coal-fired power generation has fallen sharply, the use of gas has risen by over 31%. With gas prices set to fall in 2023, and against a backdrop of high CO2 prices, operators switched to gas-fired power plants, which were less expensive than coal-fired ones. Germany has also substantially increased its electricity imports, purchasing 54.1 TWh from its neighbors, mainly Denmark and France, compared with 33.2 TWh in 2022. This rise in imports underlines the growing interconnection of European energy networks and the mutual dependence of countries on each other for energy supplies.

Germany is positioning itself as a leader in the transition to renewable energies. This development, while presenting challenges, paves the way for a more sustainable energy future that is less dependent on fossil fuels.

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