The German government has launched a major initiative to place six key regions in three German states at the heart of the country’s hydrogen and renewables sector. The initiative includes a host of exciting opportunities and incentives for investors and partners. Discover how you too can plug into Germany’s Green Power Bank.
Germany’s Green Power Bank comprises a total of six regions in the three eastern states of Brandenburg, Mecklenburg-Western Pomerania and Saxony-Anhalt.
The three states used to play a central role in Germany’s oil and fossil fuel supply. But after an embargo was placed on Russian oil in 2022, what was already a pressing environmental issue became a political necessity: transforming oil-dependent regions into green and economically sustainable locations.
For this reason, the German government has launched a vast and ambitious programme to revitalise these regions by harnessing the potential of renewable energy (in particular hydrogen) and innovative new businesses, as part of the transition to a green and sustainable future.
Germany’s Green Power Bank is on the way to becoming the heart of Europe’s hydrogen network, revitalising economies while making a key contribution to Germany’s long-term energy goals. All businesses investing in the region have the opportunity to benefit from Germany’s Improving Regional Economic Structures (GRW) programme. Funding of up to 45% is available for general investment costs, while investments in infrastructure can be reimbursed by up to 60% and in certain circumstances even up to 95%. SMEs and large companies alike are eligible for GRW grants, and energy and sustainability investments are particularly encouraged.
Other key regional programmes and measures also announced include:
The three states of Brandenburg, Mecklenburg-Western Pomerania and Saxony-Anhalt, and the six specific regions (see below) that are the main focus of funding and investment, boast unique characteristics and infrastructure that make them ideally suited to becoming Germany’s Green Power Bank.
Thanks to its advantageous geographical location, Saxony-Anhalt is one of Germany’s top three regions for wind and solar power. 62% of the state’s electricity needs are already met by renewable sources, and it is regarded as a global model region for a sustainable bioeconomy.
Brandenburg boasts Germany’s highest per capita installed renewable energy capacity. The primary sources are wind, solar and biogas. The region also benefits from close ties to Berlin’s thriving startup scene and highly skilled workforce, as well as an outstanding multimodal transport infrastructure.
Mecklenburg-Western Pomerania is the first German state to generate twice its total energy consumption from renewable sources. It is building one of Europe’s largest electrolysers in the Port of Rostock for its hydrogen sector, and is also home to numerous green energy networks, including Wind Energy Cluster M-V and Hydrogen Energy Cluster M-V.
In addition, the regions are home to a vast energy infrastructure with potential to be converted from fossil fuel to green energy use; coastal locations crucial for the production of green energy; massive port infrastructure that can be used to both process and transport this energy and connect the regions to international markets; new, innovative startup labs and a thriving network of renowned universities and research institutions, including Fraunhofer Institutes and Helmholtz Centres; and some of Germany’s most affordable land and rental prices.
Germany’s Green Power Bank regions actively welcome international investors and partners to be part of this ambitious and urgent transition. At gtai.com you can learn more about funding and investment opportunities, support for locating and setting up your business, partnership opportunities and much more.
Germany’s Green Power Bank is up and running. Let it energise your business.
If you want to get advice regarding the expansion of your business to Germany, please fill out the contact form below. This service is provided by Germany Trade & Invest, the economic development agency of the Federal Republic of Germany.