Lausitz Energie Bergbau AG (Leag) has been awarded contracts for seven new gas-fired power plant units in the first tender round of the Federal Network Agency (Bundesnetzagentur). The total capacity amounts to 3,680 megawatts, including 2,998 MW of firm capacity (rMW). The sites are located in Jänschwalde (Brandenburg), Boxberg (Saxony) and Leipheim (Bavaria). According to the company, all facilities are to be prepared for the future use of hydrogen (H2-ready). Commissioning must take place by the end of 2031 at the latest.
According to Leag, the company will invest around 1.5 to 2 billion euros in the seven projects. The new capacities are intended to step in primarily when wind and solar power are unable to cover demand. Together with renewable energies and battery storage units of the so-called GigawattFactory, the group plans an integrated supply model.
FuelSwitch concept in Lusatia
Four of the new gas units, each with 560 MW, are to be built in Jänschwalde, with two more in Boxberg. Leag plans to construct the facilities by making use of existing power plant infrastructure. According to the company, this allows existing grid connections, individual buildings and technical components to be integrated into the new construction. This is intended to reduce material requirements, lower costs for the energy system and shorten realisation times.
According to the Federal Network Agency, these advantages are also reflected in the award values per megawatt, which are said to be significantly below the specified maximum value. "Contracts for seven new power plant units in one tender round are a great success," says Adi Roesch, CEO of Leag. "Our FuelSwitch projects in Jänschwalde and Boxberg in particular stand for the intelligent use of existing strengths and competencies: We are building new, modern future-oriented power plants at existing power plant sites, conserving resources and creating long-term prospects."
Third site in Bavaria
In Leipheim, Leag is building on an already established power plant location. The company has been operating a gas turbine power plant there to stabilise the grid since 2023. The new H2-ready power plant with a capacity of 320 MW is to be built on a developed industrial site in the immediate vicinity.
Whether and when the power plants will actually run on hydrogen depends on the availability of the fuel and the regulatory framework. The Federal Network Agency launched the tender for new power plants initially operated with natural gas and later convertible to hydrogen in order to provide firm capacity in the future electricity system.
Employment effects in eastern Germany
The group works council sees the contracts as a prospect for employees after the coal phase-out. "The construction and operation of new power plants in the Lusatia energy region secures qualified jobs beyond the coal phase-out," says Silke Rudolf, chairwoman of the group works council. "This means the federal government is fulfilling its promise to promote long-term prospects beyond decommissioning."
According to its own information, Leag is the largest energy producer in eastern Germany and employs around 6,500 people. In parallel with the restructuring of its generation portfolio, the company is pushing ahead with the development of the GigawattFactory – an integrated concept comprising renewable energies, battery storage and hydrogen-capable gas-fired power plants.
