Snowbound Solar Sends German Power Prices Soaring
Jan 8, 2026 10:06 AM ET
- Arctic blast snows Germany’s solar, slicing output to 6.9 GW as wind falters and demand surges; prices rocket—imbalance fees >€1,000/MWh, day-ahead hits €154/MWh.
An Arctic blast blanketed about 80% of Germany’s solar panels, slashing output and lifting power prices. Solar peaked at 6.9 gigawatts on Jan. 6, down from 9.4 GW a day earlier and nearly 18 GW a week ago, per Fraunhofer ISE. Imbalance fees spiked above €1,000/MWh Tuesday, Netztransparenz data show. “Two centimeters of snow can cut production to zero,” said Meteomatics’ Markus Schwab.
Weak wind—below 5 GW, about a third of last year’s level—tightened supply as heating needs pushed demand above 77 GW vs a 63 GW seasonal average. Intraday prices topped €100/MWh; Thursday day-ahead settled at €154/MWh, the highest since early December.
How can Germany mitigate snow-induced solar losses and price spikes during Arctic blasts?
- Accelerate winter-optimized PV design: steeper tilt angles (35–60°) for snow shedding, vertical/bifacial east–west arrays, elevated agrivoltaic structures, anti-ice/snow-shedding coatings, and frameless modules to reduce snow bridging.
- Deploy automated snow management: robotic/air-jet/brush systems on commercial rooftops, prioritized clearing schedules for critical feeders, and municipal incentives for rapid O&M after heavy snowfall.
- Expand hybrid plants and co-location: PV+wind+battery sites to smooth output; pair rooftop PV with behind-the-meter batteries and heat-pump thermal buffers to reduce grid draw in cold snaps.
- Repower and diversify wind for winter: prioritize high-capacity-factor onshore sites and offshore additions that peak in winter, plus expedited permitting and grid connections to offset PV shortfalls.
- Grow fast-response storage: utility-scale batteries for intraday balancing, pumped hydro upgrades, and district thermal storage to shift heating load away from price spikes.
- Tighten forecasting and reserve planning: hyperlocal snow/icing nowcasts, PV soiling models, and dynamic procurement of operating reserves ahead of polar outbreaks.
- Strengthen demand flexibility: day-ahead and real-time demand response for industry, dynamic tariffs for households, smart heat pumps with preheating, and incentives for interruptible electric heating.
- Mobilize flexible electrolysis and e-fuels: require hydrogen plants to curtail during scarcity, freeing power; use stored H2/biogas in CHP for firm winter capacity.
- Enhance interconnection and transmission: north–south reinforcements, cross-border capacity booking during cold spells, and redispatch tools to route scarce generation efficiently.
- Establish winter capacity safeguards: strategic reserve or capacity remuneration for fast-start low-carbon peakers (H2-ready gas, biogas CHP), with emissions limits and availability obligations.
- Support V2G and fleet electrification flexibility: enable EVs and bus depots to discharge during peak hours and recharge when prices are low.
- Improve retail risk management: hedging requirements for suppliers, critical-load price caps funded via balancing uplift, and targeted bill protection to reduce demand shocks without distorting scarcity signals.
- Update building and subsidy standards: link rooftop PV incentives to snow-robust mounting, access for clearing, and integrated storage/controls in snowy regions.
- Develop emergency operations playbooks: utility–municipality protocols for rooftop clearing, priority feeder restoration, and public advisories for shifting discretionary use.
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