Rapid solar PV expansion could pose challenges for Germany’s local grids – utilities

The fast pace of Germany’s solar PV expansion is causing concerns among energy companies about the buildout’s effect on the grid, business daily Handelsblatt writes. “If expansion just goes on unchecked, this will increase the risk of grid instability,” Maik Render, head of energy provider N-Ergie, told the newspaper. The local distribution grid operator from southern city Nürnberg connected eight times more new solar PV installations in 2023 than the long-term average, Render said. “While this can still be managed, it poses significant challenges for us,” he argued. The solar panels installed in N-Ergie’s area of operation at times produce twice as much electricity as is being demanded, Render added.

Likewise, the Association of Local Utilities (VKU) said that the risk of locally confined blackouts is rising if the feed-in of electricity becomes greater than demand, a situation that could especially occur in southern Germany, where solar PV expansion for years has been above the national average. However, the main challenge is not simply the number of new installations but rather their ability to adapt to fluctuations in supply and demand by shutting down automatically at times of electricity surpluses, the newspaper said. The German economy ministry (BMWK) therefore has made smart demand management systems a prerequisite for new and large solar PV installations, but these technological changes will likely take years to become implemented at scale, utility association VKU said.  

Germany’s statistical office Destatis earlier this week said that about 3.4 million solar power installations were connected to the grid across Germany in April 2024, which equals nearly 30 percent more installations and 20 percent more installed capacity than one year before. Solar power contributed 12 percent of the country’s electricity mix in 2023.