How the crisis on the Danube is reshaping the energy landscape. Who are the losers and who are the winners? What's happening in Austria, Germany, and Romania's neighboring countries

Thursday, Aug 13, 2026

Low Danube levels stress European energy grids, impacting Romania, Austria, Hungary, and Germany differently.

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Voxeurop - ENG


[This is an automatically generated summary, for reference only]

Severe drought and extremely low levels of the Danube River have created major challenges for European energy systems, directly affecting Romania, Hungary, Austria, Croatia, and Germany, while Bulgaria has managed to benefit from the situation by increasing energy exports. A Croatian hydrologist noted that the Danube’s low level exposed how interconnected water, energy, transport, economy, and nature have become. In Austria, river flow dropped significantly, leading to a 50% reduction in hydropower generation. Hungary was forced to shut down its nuclear power plant, which supplies nearly half of the country’s electricity, prompting an unprecedented public mobilization to reduce consumption. Germany and Croatia are also experiencing significant impacts.

Romania declared a national alert due to reduced energy production from low river levels, with the Cernavodă Nuclear Power Plant completely shut down, causing a 20% loss in domestic energy output. While Romania exports surplus solar power during the day, it lacks sufficient battery storage to cover evening demand when hydropower is insufficient, leading to reliance on expensive imports and potential future price hikes for consumers.

In Austria, low water levels have severely impacted hydropower, with production down significantly; however, strong photovoltaic generation helped maintain a positive electricity balance in June, demonstrating the importance of diversifying energy sources like wind and solar.

Germany faces severe industrial impacts due to low river levels on all its major rivers, leading economists to warn of potential recession as reduced inland navigation restricts the transport of essential raw materials. In Bavaria, record low water levels have prompted discussions about infrastructure projects to maintain shipping viability.

Croatia’s experience highlights that the crisis is a systemic issue where water scarcity triggers cascading effects across multiple sectors and nations. Meanwhile, Bulgaria has turned the drought into an advantage; its Kozlodui Nuclear Power Plant operates at full capacity, allowing Bulgarian energy producers to achieve unprecedented export levels, particularly to Romania and Hungary, as its cooling systems are designed to function safely despite low Danube levels.


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