Industry association Bitkom decries the lack of energy relief for telco networks and data centres
On 26 June 2025, the German Bundestag passed the Telecommunications Act Amendment (TKG‑Änderungsgesetz 2025), officially designating the expansion of fibre-optic and mobile networks as being of “overriding public interest” until 31 December 2030 – a move broadly welcomed by industry. The vote was supported by CDU/CSU, SPD, and AfD; the Left voted against and the Greens abstained.
The new legislation is intended to speed up the rollout of digital infrastructure by giving network deployment projects priority in planning and approval processes, even in areas currently protected under conservation or heritage laws.
The bill now moves to the Bundesrat, which is scheduled to review it during its plenary session on 11 July 2025. As the legislation a law “subject to objection”, the Bundesrat cannot block it outright but may raise formal objections. Once approved by the Bundesrat, the bill is expected to be published promptly in the Federal Law Gazette. And, unless a specific delay is stipulated in the text, the legislation would come into force the day after publication—likely in mid-July.
The new legal status for infrastructure is seen as a critical step in enabling Germany’s telecom operators to meet ambitious targets set by the Federal Network Agency, including providing at least 50 Mbps coverage across 99.5 per cent of the country’s land area by 2030. Supporters argue that removing permitting barriers – particularly in nature conservation zones, which make up more than a third of Germany’s territory – will allow much-needed acceleration in network deployment.
Hang on a minute
Industry association Bitkom reckons it has spotted a flaw in the government’s plans. The government’s 2025 budget provides no electricity cost relief for data centres and telecom networks. In effect, these energy-intensive digital infrastructure players were excluded from planned reductions in electricity tax. Bitkom argues this omission undercuts Germany’s competitiveness, particularly for data centres already facing much higher power costs than EU peers
“When it comes to accelerating network expansion, the federal government is stopping halfway,” said Bitkom president Dr Ralf Wintergerst. We strongly welcome the fact that the expansion of telecommunications networks is finally being recognised as an overriding public interest in a streamlined and focused piece of legislation.”
“However, we criticise the decision to exclude networks and data centres from electricity price reductions,” he said. This puts data centres at a severe disadvantage in international competition and unnecessarily drives up the cost of communications services for customers in Germany.”
He added: “In further parliamentary negotiations, it is essential that data centres and telecommunications networks benefit from electricity price relief in the same way as traditional industries.”
Bitkom reckons the federal government’s plans for the 2025 budget fall well short of the coalition agreement and the previously announced reduction in electricity tax for all, as digital infrastructures are not included in the planned electricity tax relief. Yet, it says, Germany’s very high electricity prices compared to the rest of Europe already represent a substantial competitive disadvantage. The planned electricity tax relief for manufacturing must therefore be extended during Bundestag negotiations to also cover the energy-intensive parts of the digital economy, it argues.
Green wars
Bitkom reckons the designation of overriding public interest will accelerate network expansion, lead to more comprehensive coverage, and make it easier to eliminate remaining coverage gaps. More controversially, but no doubt factually, Bitkom says until now, nature and heritage conservation laws have regularly taken precedence over network development – something that will now change as a result of this legal clarification.
Bitkom says more than one-third of Germany’s land area is made up of nature conservation zones, “which has significantly delayed expansion so far.” It adds that in just the past two years, telecommunications companies have invested around €15 billion annually to roll out gigabit networks nationwide.
For this progress to continue swiftly, says Bitkom, the planned further amendment to the Telecommunications Act (TKG) must remove the remaining barriers to expansion – such as by reducing bureaucracy, accelerating administrative procedures, easing reporting requirements, and standardising and digitising the approvals process.
