Germany could save millions in fuel costs with more energy storage: Ember

According to a report by energy think tank Ember, Germany could have avoided nearly €2.5 million in natural gas imports in June 2024 alone if it had 2GW more battery storage – a 20% increase from current levels. The additional battery capacity would have allowed for shifting midday solar power to the evening, displacing 36 GWh of fossil fuel power.

Energy storage technologies are critical for capturing electricity generated from intermittent sources like solar and wind, enabling supply during times of low generation. Ember stressed the need for Germany’s energy storage deployment to keep pace with the rapid growth of solar and wind energy.

While Germany has reduced its reliance on Russian fuel imports with renewable energy, the lack of energy storage and grid improvements has limited the potential benefits of these renewables. In December 2023, Germany introduced a political framework aiming to achieve 5GW/57GWh of energy storage by 2030 and 60 GW/271GWh by 2050.

Germany currently has 1.8 GW of storage and is expected to add 3.7 GW by 2027. To further stabilize the grid, the country is also planning new hydrogen-ready gas-to-power plants and has been discussing capacity mechanisms to ensure income stability for these investments.