Overhead lines instead of underground cables: billions in savings for Germany!

Overhead lines instead of underground cables: billions in savings for Germany!

A major rethink is imminent: The discussion about the future infrastructure of the power grid in Germany is gathering pace. More and more voices are calling for a switch from underground cables to overhead lines, which could potentially bring significant cost advantages. According to Tim Meyerjürgens, CEO of Tennet, this change could result in savings of at least 20 billion euros. Nordsee Zeitung reports that these funds could be accumulated primarily in the new construction projects OstWestLink, NordWestLink and SuedWestLink.

The savings would also have an impact on network fees, which would be noticeable for private consumers. A reduction of one cent per kilowatt hour would mean savings of around 30 euros for an average two-person household with an annual consumption of 3,000 kWh. But not only Tennet, other transmission system operators such as TransnetBW and 50Hertz are calling for a fundamental change in direction, as the promised acceptance through the use of underground cables has so far failed to materialize.

Acceptance and citizens' wishes

There are strong citizen initiatives against the new power lines, particularly in regions where large power lines are planned. However, the need for new transmission lines is clear: Thousands of kilometers of new infrastructure are needed to transport wind power from the north to southern German metropolitan areas. Blackout News highlights that the need for expansion is estimated until 2045, and investments of around 320 billion euros are therefore necessary, including offshore projects.

Energy transition, that is, the transformation of the energy system, requires new solutions. While overhead lines have a clear advantage in terms of costs and construction time, there is resistance in some federal states. Lower Saxony and Schleswig-Holstein, for example, continue to prefer underground cables in order to ensure acceptance among the population.

Cost-benefit analysis

Not only are overhead lines quicker and cheaper to build, they also have a life cycle of over 80 years. Energie Klimaschutz also reports that the maintenance measures for overhead lines are relatively simple. In contrast, underground cables, which are usually laid “invisibly”, have to be installed with extensive civil engineering work, which drives up costs. According to estimates, the cost differences amount to between 10 and 20 million euros per kilometer.

The Federal Network Agency confirms the savings potential from switching to overhead lines and estimates that up to 35.3 billion euros could be saved if the underground cable projects are left behind. But the change could also set back the planning of existing underground cable projects and lead to further delays.

In the overall polarized mood, with different federal states representing different views, it remains to be seen which solutions will prevail for the future of the German power grid. Ultimately, there is more at stake than just financial aspects: the acceptance and participation of the population are key to successful and smooth expansion.