By Editor , 3 November 2026
RWE, LEAG Win 9 of 11 Gas Plant Awards in First Strom-VKG Tender

Berlin – November 03, 2026 -- RWE and LEAG secured nine of the eleven power plants awarded in the first tender under Germany's Electricity Supply Security Act (Strom-VKG), and no battery storage project won an award, according to Deutsche Umwelthilfe (DUH).

Gas plants take every award as battery storage is shut out

Only fossil gas plants received awards in the first round. DUH attributes this to special criteria on operating life and manufacturing in the first two tender rounds, which it says effectively exclude battery storage. Not a single battery storage bidder succeeded.

RWE wins three plants, LEAG six, a municipal utility one

Of the eleven awarded plants, three belong to RWE and six to LEAG. Only one is owned by a municipal company. DUH describes this as a strong concentration of market power among large fossil-fuel groups.

LEAG funds lignite-to-gas conversions through awards

According to DUH, LEAG is using its awards to finance the conversion of old lignite plants to fossil gas. DUH argues this contradicts the law's aim of promoting new-build capacity. It adds that this could explain why bids came in lower than expected.

DUH Federal Managing Director Sascha Müller-Kraenner said the result shows no fair competition between technologies and players, and that electricity customers are paying for new fossil plants. DUH is demanding a fundamental course correction toward competitive conditions that include battery storage and other sustainable solutions.

4.5 GW per round, with consumers footing the bill from 2031

The Strom-VKG took effect in summer 2026. The first two tender rounds each support 4.5 gigawatts of capacity. Later rounds are meant to become more technology-neutral, and a permanent system of annual tenders is planned from 2032. From 2031, the support is funded through a levy on the electricity price, paid directly by consumers.

News Type
Target market(s)
Editorial Review Status
Human Passed (Editor Approved)