Germany’s installed renewable capacity is forecast to rise to 147.4GW by 2025.

A new report suggests renewable energy will dominate Germany’s energy mix by 2025, with its share of total installed capacity expected to increase from 44.7% in 2014 to 59.7% by the end of the forecast period.

The growth will be driven by incentives provided under the nation’s Renewable Energy Sources Act, which requires grid operators to pay a minimum fee to green energy producers.

However the addition of coal-based power could undermine Germany’s renewable growth, claims the report.

Chiradeep Chatterjee, GlobalData’s Senior Analyst covering Power said “With more than 3GW of coal-based capacity expected to be added by 2020, the object of Germany’s renewable energy projects will be defeated. As a result, the government will veer more towards gas-based generation by 2025 although coal will still account for more than 60% of the country’s thermal power capacity by the end of the forecast period.”