© Federal Ministry for Economic Affairs and Energy; database: Centre for Solar Energy and Hydrogen Research Baden-Wuerttemberg (ZSW)

Investments in renewables have more than doubled in Germany since 2021

At €38.1 billion, investments in the construction of renewables installations reached a new record high in 2023. Investments in new PV solar installations had more than doubled in 2023. Another €32 billion was invested in 2024.

Renewable energy is considered the cornerstone of the energy transition. Its economic weight has increased since the 2000s, albeit with fluctuating levels of investment. Investment activities have picked up speed again since 2020, reaching a record high of €38.1 billion in 2023 – up 68.6% over the preceding year. According to preliminary calculations, investment stood at around €32 billion in 2024.

The strong increase in 2023 was overwhelmingly driven by the more than 100% increase in investment in PV solar installations. These investments fell only slightly in 2024. At the same time, investments in offshore wind power doubled in 2024. Investments in onshore wind energy fell to levels below those of the preceding year. Solar thermal energy, water power and biomass installations also saw a decline in investment.

In 2024, €15.4 billion (48%) of the investment in renewables went to PV solar. On and offshore wind energy accounted for €9.1 billion (28%), geothermal energy and ambient heat for €5.3 billion (17%), and biomass installations for heat generation for €1.8 billion (6%).

Economic contributions also came from the maintenance and operation of existing installations. These generated €23.3 million in turnover in 2024, for instance on the part of fuel suppliers or maintenance companies. For years, these investments have benefitted companies in the renewables sector, often with positive impacts on entire regions, on employment and on Germany as an economic powerhouse.