EnBW decides to close another hard coal power plant due to low profitability

An analysis by EnBW showed that operating its Altbach/Deizisau hard coal power plant is no longer profitable, and the management board has decided to close it. Since 2013, the company has reduced the capacity of its hard coal power plants by 40% thanks to several plant closures (or transfers to reserve status).

Relatively low electricity exchange prices are forcing another operator of German hard coal power plants to close them. The latest is EnBW, whose management board has decided to close unit 1 of the Altbach/Deizisau power plant. It currently has an electrical capacity of 465 MWe and thermal capacity of 265 MWt.

Previously, Steag made a similar decision regarding some of its power plants. In this case too, the main reason for the shutdown is low electricity exchange prices, which are reducing generators' margins.

The management board's decision must still be confirmed by the supervisory board. Only then will the power plant shutdown plan be submitted to the regulator and the transmission system operator. Based on this, it will be decided whether the plant can be shut down or will be placed in the reserve capacity system.

Given its location in the southwest of the country, it can be assumed that it will indeed be called into reserve. With the planned shutdown of nuclear power plants, the south of the country will be affected by a decline in installed capacity, particularly from stable electricity sources.

Since 2013, EnBW has already shut down nine generating units, of which seven units with a total capacity of 920 MW were transferred to the reserve capacity system. All of them now provide capacity to the grid when there is a shortage. As a result of these plant shutdowns, EnBW has reduced the installed capacity of its hard coal power plants by 40% since 2013 alone.

The power plant is expected to be partly replaced by a new gas-fired unit at the Stuttgart-Gaisburg power plant, where construction should begin soon, according to an EnBW press release.