To maximize power supply during sunny vacation days, we stretch the operational capacity of the electric grid.

Gridlock & Renewables: Walking a Tightrope

To maximize power supply during sunny vacation days, we stretch the operational capacity of the electric grid.

On those sunny days off, we push our power grid to its limits. But is the solar energy revolution all it's cracked up to be?

Everyday Delight, Operator's FrustrationMay kicked off like a summer breeze, and wind farms and solar panels produced more energy than we needed. Consumers reap the benefits, nabbing free electricity more often. But grid operators loathe those gusts of wind — it's a double-edged sword.

"We've got to balance supply and demand every second," says Werner Goetz, CEO of TransnetBW. "That's no piece of cake with this volatility." With the expansion of renewables and the power grid needing some serious sync, Goetz warns that we're skating on thin ice.

Grid Fluctuations & Negative PricesRecent data reveals that exchange prices plunged into the negative for more than 120 hours in May. And this year, there've already been 248 hours below zero — a record-breaking high. Those with smart meters and flexible tariffs can now enjoy "free" electricity more often than ever. But is it good news or bad news?

Werner Goetz pens it as good for consumers and mostly good for Germany. "The market systems are working," he says. But those sweet, negative prices make for tough times for solar and wind farm owners. The more often the exchange price plummets, the less dough they make.

The Spread: High Low, Low HighIf operating a battery storage system, though, "you'll be ecstatic about these spreads," quips Goetz. These systems bank on the difference between the high and low prices.

As for grid operators, it's a balancing act. And with the current surge in renewables, it's anything but a walk in the park.

Grid ConundrumTo avoid blackouts, we've been pushing the power grid to its limits. "In Hellbrisen or Dunkelflauten, it reaches the limits of its performance," says Goetz. "To keep these situations manageable, we need regulatory interventions, i.e., different rules. Additionally, the grid needs to be expanded and upgraded."

Europe-wide or Specifically in Germany?The European grid is already highly interconnected, but we need to continue meshing and ramp up transport capacities. This will stabilize things and help us save a whopping 18 billion euros per year.

The Future of PowerAs we inch closer to our 2045 climate-neutral ambition, we'll need more significant generation capacities. The question on everyone's lips: How can we better harmonize renewables expansion with grid expansion?

Goetz suggests we need to synchronize the two faster, avoiding the border operation of the past.

Compensation CostsOur generous compensation for operators of unused renewable energy is costing taxpayers half a billion euros. Sounds like a call for change in the rules, Goetz?

According to Goetz, it's more about redefining the rules. On days when we've got more energy than need, we often export it, but if that fails, we disconnect the solar plants.

The Must-Do List1. Synchronize expansion of renewables with grid expansion.2. Regulatory interventions to balance supply and demand.3. Upgrade grid infrastructure at a cost of around 300 billion euros.4. Better connections to international interconnection points.

So, grab your toolkit, folks — we've got some work to do! Let's bring balance to the force and keep our eyes on the (renewable) energy prize ⚡️.

Interview with Werner Götz by Clara Pfeffer and Christian Herrmann. The conversation has been edited for better understanding and smoothed out. You can listen to the full interview in the podcast "Klima-Labor".

Putting climate change in check? Is a furious populace, de-industrialization, and job losses inevitable? Tune in to ntv's podcast "Klima-Labor" and get enlightened on the most diverse ideas, solutions, and claims from all corners.

Sources:1. Bundesnetzagentur2. ENERGIEWIRECHE3. Fraunhofer IAO4. E.ON5. GridX

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1. The expansion of renewable energy sources, such as solar energy, requires a simultaneous expansion and upgrading of the power grid to maintain balance in supply and demand, as stated by Werner Goetz, CEO of TransnetBW.
2. In the context of climate change, it's crucial to harmonize the expansion of renewables with the expansion of the power grid, advises Werner Goetz, to avoid border operations and stabilize the European grid.
3. With the surge in renewable energy, grid operators must navigate the fluctuations in energy production, a balancing act that Goetz compares to operating a battery storage system, relying on the differences in high and low prices.

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