Repowering · Strategic Decision · Post-EEG Phase

Repowering vs. Continued Operation

After 20 years, EEG funding ends. The question: continue operating (often technically possible for another 5–8 years), or repower (new turbines, new 20-year funding period)? The decision depends on a few clear criteria.

The Decision Matrix

Criterion	Continued operation attractive	Repowering attractive
Turbine condition	Good, low wear	Worn, frequent downtimes
Site quality	Acceptable for existing turbines	Significantly better for modern turbines
Remaining lease term	Expires with turbine	Extendable with landowners
Setback distances for new turbines	—	Achievable with larger turbine
Local acceptance	Conflict level	Better acceptance with fewer, modern turbines
Electricity marketing post-EEG	PPA possible	EEG market premium for 20 years
Investment readiness	Low — maintenance only	Full new investment affordable

Option A — Continued Operation

After EEG expiry, the turbine continues running technically. Marketing options:

Direct marketing: on the spot market at the respective hourly price
PPA: direct contract with an industrial customer, typically 5–7 year term
Self-supply: electricity delivery to on-site consumers (industry, commercial)

2026 reality: Electricity market prices fluctuate significantly, averaging 40–80 EUR/MWh. Onshore wind turbines reach their profitability threshold at approximately 30–45 EUR/MWh with current OPEX levels — meaning continued operation remains profitable.

Continued Operation Risks

Rising maintenance costs: after 20+ years, more frequent wear-part replacements, higher component failure rates, more difficult spare-part sourcing (especially control electronics)
Longer downtimes: manufacturer support typically ends after 20 years, repairs must often be organized independently
Insurance: machinery breakdown insurance becomes more expensive after 20 years, with higher deductibles
Permit conditions: BImSchG (Federal Immission Control Act) conditions such as BNK (aircraft warning light) retrofit apply to existing turbines as well
Site commitment: ongoing lease must be extended, often with higher demands from landowners

Option B — Repowering

Full new investment: typically 1,000–1,500 EUR/kW
Complete new BImSchG procedure with all expert reports
EEG auction: 20-year market premium at the awarded price
Significantly higher yield: typically 2–3× annual output
Procedural simplifications: WaLG (Onshore Wind Act, 2022) simplified 1:1 repowering

Economic Comparison

Wind farm with 8 × 1.5 MW (in operation since 2002, EEG expired 2022):

	Continued operation (5 yr)	Repowering 3 × 6 MW
Investment	0.5M EUR (major overhaul, BNK)	25M EUR
Annual yield	22 GWh/a	54 GWh/a
Electricity price	50 EUR/MWh (PPA)	72 EUR/MWh (EEG)
Annual revenue	1.1M EUR	3.9M EUR
OPEX	0.8M EUR/a	0.9M EUR/a
Cash flow (pre-tax)	0.3M EUR/a × 5 yr	3.0M EUR/a × 20 yr
Total return	1.5M EUR	60M EUR (pre-discount)

Simplified calculation without discounting or taxes. The exact economic analysis uses a DCF model — see Economics.

Rule of thumb: If the site has sufficient wind resource for a modern turbine (≥ 6.5 m/s at 150 m hub height) and the minimum setback distance to residential areas can be maintained, repowering is almost always more economical than extended continued operation. Where site quality is marginal, continued operation is a useful interim solution.

Decision matrix repowering vs. continued operation — cash flow comparison and hybrid strategy

Hybrid Strategy

In many projects the best approach: continue operating for 2–4 years, while pursuing the repowering permit in parallel. Once the BImSchG permit is secured and the auction award obtained: decommission the old turbines, build new ones. This avoids any gap without electricity revenue.

Decision analysis for your wind farm?

We connect you with an energy auditor specializing in wind — full analysis of repowering vs. continued operation, including sensitivity analysis and stress tests.

Request analysis

Frequently Asked Questions

How long can a turbine operate beyond EEG funding technically?

Manufacturer warranty covers 20 years; technically realistic is 25–30 years with good maintenance. For older turbines from the 1990s, 25 years is standard, after which maintenance costs rise progressively.

Can we simply keep the repowering site?

Yes, provided you own the land or the lease is extendable. With multiple landowners, negotiations are often necessary because modern turbines require larger foundations and crane pad areas.

What happens to the turbine residual value during repowering?

Recycling revenue minus demolition costs is usually marginal — typically 0–50,000 EUR net per turbine. For rotor blades and generators, additional payments may even be required.

Can we do repowering without EEG funding?

Yes — via PPA with an industrial off-taker or self-supply. Economically viable currently only at premium sites and with long-term PPAs (10+ years).