Germany Faces €650 Billion Investment to Upgrade Power Grid by 2045

A new study highlights the need to double planned spending to meet climate targets and electrification demands across industries.

The Hans-Böckler-Stiftung study estimates €650 billion is required to upgrade Germany's power grid infrastructure by 2045, double the current investment plans.
The upgrades are essential to achieve climate neutrality by 2035 and support the electrification of transportation, industry, and heating systems.
Projected electricity consumption is expected to rise from 525 TWh in 2023 to between 1,000 and 1,300 TWh by 2045, significantly increasing grid demands.
Rising raw material costs, supply chain disruptions, and regulatory delays could push total costs even higher, according to the study.
Experts emphasize the need for rapid grid expansion and strategies to keep electricity costs affordable for households and industries.