To guarantee gas, Germany opts for coal

Germany took emergency measures to secure its energy supply in the face of cutbacks in Russian gas deliveries, which will mean turning more to coal.

“To reduce gas consumption, less gas has to be used to produce electricity. Instead, coal power plants should be used more”, declared the Ministry of Economy.

The German government reacts to the announcements of the Russian giant Gazprom, which reduced 40% of its deliveries through the Nord Stream and later 33%, alleging a technical problem.

“It is bitter, but it is essential to reduce gas consumption,” Economy Minister Robert Habeck said in a statement. A law in this direction will be adopted by early summer, he added.

In this framework, the government will allow the use of so-called “reserve” coal plants, since they currently only serve as a last resort. However, the minister assured that the measure of resorting to coal will be provisional, given the worsening of the gas market situation.

The package of measures also provides for a system of auctions for the sale of gas to industries, which would make it possible to reduce consumption in the German manufacturing sector.

The State will offer, in a measure similar to a bidding contest, a remuneration to the companies that promise the most important energy savings.

This mechanism was approved by the industry. “This allows targeting the reduction where the damage is less important,” declared the German Association of Machinery Manufacturers (VDMA).

Faced with the urgency of the situation, the German government also wants to emphasize energy saving.

“Everything necessary has to be done to reduce our consumption. And the industry is an essential factor”, stressed Habeck. “Security of supply is guaranteed but the situation is serious,” he summarized.

Leave a Comment