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Germany’s offshore wind projects stall as funding and leadership crises deepen

A leadership crisis and funding chaos leave Germany’s offshore wind ambitions adrift. Will climate targets sink with them? Experts warn time is running out.

The image shows a man in a suit and tie standing at a podium in front of a microphone, with a glass...
The image shows a man in a suit and tie standing at a podium in front of a microphone, with a glass of water, papers, and other objects on the table. Behind him are chairs and a wall, suggesting he is in a formal setting. He appears to be delivering a speech, likely in response to the government's announcement of a new budget.

Germany’s offshore wind projects stall as funding and leadership crises deepen

Germany’s offshore wind expansion is facing delays as companies hold back from bidding on new projects. Uncertainty over financing and seabed allocations has left key sites without interest. Meanwhile, criticism of Federal Economics Minister Katherina Reiche’s leadership is mounting within her own ministry and beyond.

Schleswig-Holstein’s Energy Minister Tobias Goldschmidt has also raised concerns. He warns that hesitation in offshore energy could have serious consequences for Germany’s climate change goals.

No companies have submitted bids for new offshore wind farm sites. The lack of interest stems from unclear rules on future funding and how seabed areas will be assigned. This stall comes as several major legislative projects under the ministry’s responsibility fall behind schedule, including the industrial electricity price scheme and updates to the Building Energy Act.

Critics inside and outside the Federal Ministry for Economic Affairs and Climate Action blame Minister Reiche’s leadership style. Reports describe micromanagement, with detailed instructions on preparing briefing folders and even input on policy decisions. A leaked document now outlines strict guidelines for drafting her speeches, adding to concerns about control and efficiency. Frustration is spreading among businesses, too. Many are unhappy with the slow pace of reforms and the absence of decisive action. Minister Reiche has yet to call a crisis summit with stakeholders to address the offshore energy deadlock. Meanwhile, her ministry’s Division LB4, which handles speeches and strategic communication, now has no speechwriters left in the unit. The delays and leadership issues are raising doubts about Germany’s ability to meet its renewable energy targets. Without quick resolutions, the country risks falling further behind on its climate change commitments.

The lack of bids for offshore wind projects highlights the urgency of clearer policies. Businesses and regional leaders are pushing for faster decisions to avoid further setbacks. Without changes, Germany’s energy transition could face even greater challenges in the coming years.

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