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EU approves €7.9bn boost to Germany’s biomass and biogas support scheme

The European Commission (EC) has approved amendments to Germany’s renewable energy support scheme, adding €7.9bn in funding for biomass and biogas projects. The amendment will raise the tender volume, establish a dedicated quota for biomass installations already connected to heating networks, and cap the number of supported operating hours for biogas-based power generation. It will also shorten the transition period for older installations to shift to the new support scheme and increase payments for flexible power generation.

Germany plans to implement the new subsidies in the next tender round scheduled for October 2025. The Federal Network Agency (BNetzA) has set the total tender volume for 2025 at 1.3 GW, allowing bids for 813 MW in the upcoming round.

The European Commission approved the changes under EU state aid rules, stating they are necessary to promote electricity generation from biomass and biogas.

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