Germany announced plans to initiate a tender for the construction and modernization of 12.5 GW of gas power plants capable of transitioning to hydrogen by the end of 2024 or early 2023. This decision comes in response to industry pressure and aims to bolster wind and solar energy with low carbon alternatives. The tender comprises two rounds for building new hydrogen-ready gas power plants totaling 5 GW each, alongside 2 GW for retrofitting old plants, 0.5 GW for long-term storage, and 0.5 GW for fully hydrogen-powered plants. The government will subsidize investment and operating costs for 800 hours per year after the switch to hydrogen. The initiative aims to accelerate Germany's shift away from nuclear and coal power, with a focus on enhancing grid stability and reducing costs. Leading utilities like RWE, EnBW, and Uniper have shown support for the scheme, stressing the importance of clear auction design details for potential bidders. The plants are expected to be mainly concentrated in southern Germany to benefit the industrial hub and encourage the transition to cleaner energy sources.