02 June 2026
€100 billion distribution grid backlog weakens Europe’s clean economic competitiveness
- Over €100 billion in clean energy projects (830 GW of requested grid connections for wind, solar and battery storage) stuck in local grid connection queues across just eight European countries
- Facing 11k+ annual requests on average, distribution system operators (DSOs) need to overhaul governance structures to keep up with clean energy demand
- The proposed European Grids Package does not fully address key distribution-level bottlenecks and could go further in strengthening targeted measures that support DSOs
Berlin, 2 June 2026 — A new report by consulting group AFRY and commissioned by Beyond Fossil Fuels reveals that in just eight European countries, EUR 100 billion in renewable energy and storage projects are stuck in distribution grid connection queues. Without intervention, this severe grid congestion will delay the energy transition and deepen Europe’s reliance on fossil gas.
Distribution grids are the backbone of the energy transition, with more than 70 percent of renewables expected to be connected to distribution networks by 2030. However, the report, which analyses Bulgaria, Czechia, Germany, Greece, Italy, Poland, Spain, and Great Britain, finds that 375 GW of renewable projects—close to 98 percent of Europe’s current coal and gas power plant capacity—and 455 GW of storage projects are piling up in queues.
Alongside transmission operators, distribution system operators (DSOs) are the primary enablers in delivering affordable renewable energy and flexibility solutions from local electricity networks directly to households, businesses, and municipalities. But DSOs are struggling to connect new renewable and storage projects fast enough to match the speed of the energy transition. Poor governance structures and capacity constraints create bottlenecks that prevent cheap, clean energy from reaching consumers. The ongoing energy crisis reinforces the need to transition away from volatile fossil fuel markets as quickly as possible and speed up clean energy deployment by removing barriers to grid connections.
Distribution grid access is emerging as a major bottleneck for battery storage deployment in both new and mature markets. Battery queue capacity is exceeding national targets by two to three times in almost every country analysed. As European countries move to displace fossil gas with clean flexibility technologies like battery storage, delays are costing consumers and the energy transition through curtailed renewable energy, reliance on expensive backup power, and inefficient grid operations.
Policymakers, regulators, and DSOs have only taken limited steps toward improving governance, planning, and connection processes. The European Grids Package, which is currently being negotiated, does not go far enough in addressing the structural challenges faced by DSOs and remains heavily focused on transmission-level expansion. It needs a much stronger emphasis on distribution grid digitalisation and regulatory reform to address the bottlenecks at the local level. Without better European rules, the energy transition will slow, delaying the phase-out of fossil fuels and weakening Europe’s industrial competitiveness.
Duygu Kutluay, Campaigner at Beyond Fossil Fuels: “Distribution grids stand between households and businesses and cheaper energy bills. But connection queues for renewable and storage projects are growing more congested, stalling the energy transition and weakening Europe’s competitiveness. As fossil fuels continue to fail us, distribution system operators need to keep up with the pace of the transition to cleaner energy to protect Europe’s energy security and improve affordability for consumers. Without governance and operational reforms, Europe’s renewable potential will be stifled, not for lack of ambition or investment, but due to constraints in the very networks meant to deliver it.”
Chiara Natalicchio, Senior Consultant at AFRY: “In today’s European energy transition context, the value of new gigawatts increasingly depends on the ability to connect them, move them, and balance them. Networks—across both transmission and distribution—are the critical enabler: they ultimately decide whether new resources translate into usable value in a power system that is becoming more electrified, more distributed, and more volatile. Against this backdrop, it is essential to keep the spotlight on the strategic role of distribution grids and the urgent need for forward‑looking, flexible regulation—underpinned by stronger governance, more robust planning, meaningful stakeholder engagement, and the deployment of flexibility solutions.”
ENDS
Video documentary series: We produced four mini documentaries following communities in Germany, Spain, Türkiye, and the UK, that are struggling to connect renewable energy projects to the grid. You can find video material here. Please credit Beyond Fossil Fuels.
Germany: Anna Leidreiter, Board Member of BürgerEnergie Nord: “Solar energy directly benefits people’s wallets, including those living in apartment buildings. But to unlock its full potential, distribution grid operators must step up: modernising their systems, cutting red tape, and connecting more solar faster. With rooftop solar, people can create their own electricity price brake. Because solar power is not only the energy of the future, but also the energy of freedom and security.”
Spain: Pau Sales, Environmental Technician at Terrassa Municipality: “Trying to connect renewable energy projects has become an absolute obstacle course. The biggest challenge we face with distribution companies and grid access, is with their administrative systems, which are slow and difficult to navigate. The projects we are developing provide affordable energy to our municipal facilities and citizens through energy communities, which are the cornerstone of a truly fair, democratic, and sustainable energy transition. Unfortunately, ongoing delays and barriers at the distribution-level waste both time and public money, while contributing to frustration among those committed to the energy transition.”
UK: Gemma Voaden, Senior Manager for Net Zero at Together Housing: “As the cost of living continues to rise, our goal is to replace gas boilers with heat pumps to help tenants lower their energy bills. However, our progress is being constrained by under-resourced distribution network operators and limited grid capacity. We cannot achieve the scale and pace of our goal without improvements to the grid and system operators. DSOs need more resources to handle the pace of the transition and help us end our fossil fuel reliance. If we can get rid of fossil fuels, everyone stands to benefit.”
Contacts:
Julia Pazos, Communications Manager, Beyond Fossil Fuels, julia.pazos@bff.earth, +1 3109949692
Duygu Kutluay, Campaigner, Beyond Fossil Fuels, duygu.kutluay@bff.earth,
Webinar: Join our webinar on 9 June at 11:00 CET, where the authors of the report will present the key findings and host a Q&A. Register here.
About:
Beyond Fossil Fuels is a civil society network committed to ensuring a just and rapid transition to a fossil-free, renewables-based future. Building upon the Europe Beyond Coal campaign, its goal is for Europe to be coal-free by 2030 and phase out fossil gas from the power sector by 2035. A clean and flexible energy system will deliver lasting benefits for people, the climate and the broader economy. Beyond Fossil Fuels is a non-profit organisation with an office in Berlin, with staff spread across Europe. www.beyondfossilfuels.org