EEG Amendment 2027: Lock In Your Feed-in Tariff Before the End of 2026

On 29 July 2026, the German Federal Cabinet adopted the EEG 2027 amendment together with an accompanying grid connection package, launching the biggest overhaul of solar funding since the Renewable Energy Sources Act (EEG) was introduced. The headlines sounded contradictory. First the economics ministry was said to be softening the EEG reform, then a few days later the end of the feed-in tariff was reported. Both are true. The most important news first: if you already operate a PV system, you are not affected, and your promised tariff continues unchanged for the full 20 years. If you are still planning a system, you should know the new rules well, because under the Cabinet draft the permanent fixed feed-in tariff for new rooftop systems under 25 kilowatts is to end from 2027. In this guide, we explain as an installer based in Hanover what has been decided, why 31 December 2026 is becoming the key deadline, and whether solar still pays off from 2027.

Planning a system and want to know whether commissioning by 31 December 2026 is still achievable? Request your free, no-obligation quote now.

What the Cabinet Decided on 29 July 2026

The Federal Ministry for Economic Affairs and Energy under Minister Katherina Reiche has introduced two bills: the EEG amendment, which is to come into force as EEG 2027 on 1 January 2027, and a grid connection package. The guiding idea is that solar power should hold its own on the market rather than rely on guaranteed payments. The minister spoke of the end of the EEG as an “all-round carefree package”.

The road there was turbulent. The first draft from February 2026 still provided for abolishing the feed-in tariff for new systems under 25 kilowatts without replacement. After heavy criticism from industry associations such as BSW-Solar, BDEW and BEE, the ministry presented a softened draft in mid-July. Instead of an immediate end, it proposes a phase-out with a transition payment and a direct marketing bonus. The grid connection package adds new grid rules, including the designation of congested grid areas with reduced compensation for curtailment, and a permanent limit on the feed-in capacity of new systems. Both drafts build on the 2025 Solar Peak Act (Solarspitzengesetz). Importantly, nothing has been finally adopted yet. The Bundestag held the first reading on 24 September 2026, and the hearing in the Committee for Economic Affairs and Energy took place on 5 October 2026. The votes in the Bundestag and Bundesrat and state-aid approval from the European Commission are still outstanding.

Current Status and Timeline of the EEG 2027 Amendment

As of 13 October 2026. We update this table as soon as anything changes.

The bill may still change before the vote. For systems commissioned by 31 December 2026, the current law continues to apply in any case.

The New Rules for Systems Under 25 Kilowatts

Until now, the grid operator has bought your surplus power at a fixed rate, guaranteed for 20 years. We explain the details in our article on how the feed-in tariff works. For new systems from 2027, a staged transition is to replace it.

Under the government bill (Bundestag document 21/7867), systems commissioned between 2027 and 2030 receive a fixed transition payment of 5.2 cents per kilowatt-hour for 36 months. That is significantly less than today’s roughly 7.70 cents, and for only 3 years instead of 20. After that comes direct marketing: the surplus power is sold on the power exchange through a service provider, with fluctuating revenue and a service fee. According to the Cabinet draft, systems under 25 kilowatts receive a bonus of 1.5 cents per kilowatt-hour there for a maximum of 48 months, and a smart metering system effectively becomes standard equipment. Our articles on selling solar power and on dynamic electricity tariffs show how marketing via the exchange works. In addition, the threshold for mandatory direct marketing, currently 100 kilowatts, is to fall, so medium-sized rooftop systems will also be affected sooner.

Grid Connection Package: What the Redispatch Reservation Means

Alongside the EEG amendment, the Bundestag is debating the grid connection package. Its most contested part is the so-called redispatch reservation: grid operators would be able to designate overloaded grid areas as capacity-limited. New systems in such areas would then receive no compensation for ten years when they are curtailed because of grid bottlenecks. According to the draft, systems from 2 to 100 kW would be affected.

At the hearing on 7 October 2026, most experts called the redispatch reservation the main problem of the bill, and some consider it unconstitutional. For a single-family home with high self-consumption and a battery, the risk is limited, because curtailed power is used in the house first. If you mainly feed into the grid, follow the further developments closely.

Grandfathering: Existing Systems Keep Their Tariff

The bill states explicitly that the previous law continues to apply to systems commissioned before 1 January 2027. The promised rates run for the full 20 years, and no retroactive intervention is planned. This includes systems that are connected to the grid in 2026. Just make sure to keep your data in the Market Master Data Register up to date. If you extend an existing system after 2026, be aware that the new part of the system falls under the new rules. Simply retrofitting a battery, however, does not change your tariff entitlement.

Deadline 31 December 2026: Lock In 20 Years of Fixed Payments

This creates the window everyone is talking about: every system commissioned by 31 December 2026 is still treated under current law. What counts is commissioning as defined by the EEG, not the order date. On top of that come the 0% VAT rate for systems on or at residential buildings and low-interest loans through the KfW 270 programme. Our page on solar funding in Germany gives an overview. From 1 February 2026, the rates for systems up to 10 kilowatt-peak were 7.78 cents for surplus feed-in and 12.35 cents for full feed-in. Since the regular reduction on 1 August, they have been about 7.70 and 12.22 cents. The rate at commissioning then stays constant for 20 years.

A realistic schedule in the Hanover region looks like this. Installing a single-family home roof takes one to two days, and modules from AIKO, JA Solar or LONGi as well as Fronius inverters and BYD batteries are readily available. The main time factors are registration with the grid operator under VDE-AR-N 4105 and the technical connection requirements, plus meter installation, which can take several weeks depending on the grid area, for example with enercity Netz or Avacon. Allow six to twelve weeks in total from order to commissioning. In mid-October, that makes the window to 31 December tight. We’ll tell you honestly whether your project is still realistic after a short check.

What Counts as Commissioning?

What matters is commissioning within the meaning of the EEG (§ 3 No. 30 EEG), i.e. the first operation of the system after it has been made technically ready. The order date or the signature on the contract don’t count. Whether your grid operator must have installed the new meter by then so that you can feed in, we clarify with them before the order.

What to Do Now If You Want to Complete Your System in 2026

1. Enquire immediately: from mid-October the window gets tight. The earlier the on-site visit, the better.
2. Submit the grid registration early: registration with the grid operator is usually the longest step.
3. Apply for funding before ordering: proKlima and the Hanover Region only fund if you apply before placing the order.
4. Plan the battery at the same time: under the new law, self-consumption matters even more. A battery can also be retrofitted later without changing the tariff entitlement.
5. Ask for an honest timeline: a reputable company tells you whether commissioning by 31 December is realistic instead of just promising it.

Will Solar Still Pay Off from 2027?

Yes, but the calculation follows a different logic. Every self-consumed kilowatt-hour replaces grid electricity costing 35 to 40 cents, while every kilowatt-hour fed in will bring only a few cents. Even today, most of the return comes from self-consumption, and the amendment increases this gap. Self-consumption rate and self-sufficiency will therefore be decisive.

Here’s a worked example. A single-family home in the Hanover region with 10 kilowatt-peak generates around 8,900 kilowatt-hours a year (893 kWh per kWp), and the household uses 4,500 kilowatt-hours at an electricity price of 37 cents. Without a battery, the system covers about 30% of consumption. That saves a good 500 euros a year, plus around 580 euros of feed-in revenue for a system commissioned in 2026. With a 10-kilowatt-hour battery, coverage rises to about 70%: almost 1,200 euros of savings plus around 450 euros of feed-in revenue. For a system from 2027, the self-consumption savings stay the same, and only the feed-in revenue falls. Home battery storage is therefore shifting from an accessory to a core component.

You get even more out of it by linking generation and consumption intelligently. An AI-controlled solar battery charges based on forecasts and can include exchange price signals in future. A solar system with a wallbox turns the electric car into a flexible large consumer, and if you combine your PV system with a heat pump, you store solar power as heat. Controllable consumption devices under Section 14a of the Energy Industry Act (EnWG) also bring reduced grid fees. This makes coverage levels achievable that seemed unrealistic just a few years ago.

Balcony Power Stations: Hardly Affected

Plug-in solar devices with up to 2 kilowatts of module output remain outside the new payment system, and surplus power from new devices will be fed in without payment in future. In practice, little changes, because balcony power stations rely on self-consumption anyway, and the simplifications for registration, the 800-watt inverter output and tenants’ right to consent all remain. For tenants, a balcony power station remains the easiest way in. If you have your own roof, a full-size system is a much better choice.

Businesses and Multi-Family Buildings: What to Check Now

Commercial rooftop systems naturally achieve high self-consumption rates thanks to their daytime load profile, so their profitability already depends less on the tariff. What’s new is mainly the organisational framework. With the lower direct marketing threshold, medium-sized systems will also need a marketing contract, a metering concept and controllable technology, and for larger projects the future congestion areas will matter more when assessing sites. If you’re planning anyway, there’s a strong argument for implementing it under the old law in 2026. More on this on our page about commercial photovoltaics in Hanover. For owners and property managers, tenant electricity and shared building supply remain in place, and communal electricity provides a reliable base of self-consumption. You can find an introduction under photovoltaics for multi-family buildings.

How PVPro Solar Guides You Through the Transition

Laws change, but the planning substance of a good solar project doesn’t. Our process covers:

• a free initial consultation with roof analysis and yield forecast
• engineering design with string layout and suitable battery sizing
• VDE- and TAB-compliant installation by certified specialists
• full registration with the grid operator and the Market Master Data Register
• commissioning with app onboarding, monitoring and after-sales service

The fixed-price guarantee with the 30/70 payment model gives you planning certainty in a year of clearly high demand. For projects aiming to be commissioned in 2026, we tell you openly whether the timetable is realistic. We work in Hanover, Wolfsburg, Bremen, Braunschweig and Hildesheim. For an overview of the state capital, see buying a photovoltaic system in Hanover.

Conclusion: Act Now or Wait?

The EEG 2027 amendment is no reason to panic, but it is a real turning point. Under the draft, Germany is abandoning the principle of guaranteed payments for new small solar systems and relying on self-consumption and the market. Existing operators can relax. If you’re planning a specific system, commissioning by the end of 2026 still secures 20 years of fixed payments, the zero VAT rate and full calculation certainty, a package that won’t come back in this form. Solar will remain economically sensible from 2027 too. Planning just becomes more demanding, because system size, battery and consumption profile must fit together precisely. We’ll check honestly with you whether your project can realistically be completed by the end of 2026. It starts with a free initial consultation including roof analysis and yield forecast. You can see how our quotes are structured on our free photovoltaic quote page. The rules change, but the sun over Lower Saxony doesn’t.

Request your free, no-obligation quote now, or call us on +49 511 3360603 or message us on WhatsApp at +49 176 2399 8536.

Note: This article provides a general overview (as of October 2026) and does not replace tax or legal advice. The EEG 2027 amendment has not yet been passed, and details may change during the legislative process.

Frequently Asked Questions About the EEG 2027 Amendment