17 July 2025

Redispatch explained: How does Germany balance its grid?

Written by:

Redispatch explained: How does Germany balance its grid?

Redispatch permits system operators to override individual asset operations to relieve grid congestion.

And it’s becoming more expensive.

In 2024, Germany spent €2.8 billion on redispatch actions - a fifteen-fold increase over the last decade.

The rising cost of balancing renewables on the grid has become a major burden on consumers.

Could batteries help reduce that cost?

Subscribers to Modo Energy’s German research will discover:

  • What redispatch is, and why it’s needed
  • How the compensation system works (with real-world examples)
  • Why today’s rules fail to support batteries in balancing the grid
  • The data behind the interactive charts

For any further information on this topic, reach out to the author - till@modoenergy.com


What is redispatch - and why is it needed?

National market signals balance Germany’s overall supply and demand - but they can’t balance locational mismatches.

And Germany’s grid is under growing strain.

With wind concentrated in the north and demand hubs in the south and west, transmission bottlenecks are now the biggest constraint on how much renewable power the country can actually use.

In 2024, 9.4 TWh of renewable generation was curtailed, about 3.5% of total renewable generation that year.

Download

To continue reading this article you need to log in into terminal