LEAG secures 15-years capacity contracts for new power plant units in Jänschwalde, Boxberg and Leipheim, paving the way for investments of up to EUR 2 billion
EP Group is strengthening its commitment to Germany’s energy transition and security of supply. LEAG, part of EP Group, has secured 15-years contracts in Germany’s first capacity auction conducted by the Federal Network Agency (Bundesnetzagentur) for seven new gas-fired power plant units with a combined nominal capacity of 3,680 MW, equivalent to 2,998 MW of derated capacity (rMW).
The projects will be developed at established energy sites in Jänschwalde (Brandenburg), Boxberg (Saxony) and Leipheim (Bavaria). All units will be hydrogen-ready and are scheduled to enter operation by the end of 2031.
Jan Špringl, Board Member of EP Group, comments:
"Securing seven awards in the first German capacity auction is an important milestone for EP Group and LEAG in transformation from traditional coal-based company into modern sustainable energy company based on low carbon solutions. By building on existing infrastructure and expertise, we can deliver modern, flexible power generation capacity in a cost-efficient way. Our FuelSwitch projects will also contribute significantly to lowering costs for end consumers while strengthening Germany’s security of supply."
Six units, each with a nominal capacity of 560 MW, are planned for Jänschwalde and Boxberg as part of LEAG’s FuelSwitch concept. The projects will reuse existing infrastructure, including grid connections and selected technical components, reducing material requirements, investment costs and implementation time.
In Leipheim, a new hydrogen-ready power plant with a nominal capacity of 320 MW will be built next to LEAG’s existing gas turbine facility, which has been operating since 2023.
EP Group and LEAG plan to invest up to EUR 2 billion in the new facilities. The combined nominal capacity of 3,680 MW represents the plants’ installed technical output, while the 2,998 MW of derated capacity (rMW) reflects the adjusted capacity recognised in the auction.
Together with renewable generation and battery storage developed through LEAG’s GigawattFactory, the new plants will provide flexible backup capacity when wind and solar generation cannot sufficiently meet electricity demand in Germany.
“The combination of renewables, battery storage and flexible hydrogen-ready power plants is essential for a reliable and affordable energy system. These investments also demonstrate our long-term commitment to Germany’s industrial future and the transformation of the Lusatia energy region,” adds Jan Špringl.