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Industry sees little chance of earlier coal phase-out

The traffic light coalition wants to "ideally" bring forward the coal phase-out throughout Germany to 2030. That's what the coalition agreement says. The Federation of German Industries is skeptical that this will succeed.

Industry President Siegfried Russwurm believes an earlier coal phase-out is almost no longer....aussiedlerbote.de
Industry President Siegfried Russwurm believes an earlier coal phase-out is almost no longer possible. Photo.aussiedlerbote.de

Energy - Industry sees little chance of earlier coal phase-out

The industry sees little chance of an early coal phase-out in Germany. Industry President Siegfried Russwurm cited the lack of a strategy from Federal Minister for Economic Affairs and Climate Protection Robert Habeck (Greens) regarding incentives to build new gas-fired power plants as the reason for this. "It is extremely annoying that we could find ourselves in a situation where we have to continue operating coal-fired power plants for longer because there is not enough other reserve capacity."

The German government is focusing on renewable energy from wind and solar power to restructure the electricity system. The aim is for 80 percent of the electricity consumed in Germany to come from renewable sources by 2030. Currently, it is just over half.

Russwurm complains about the lack of a power plant strategy

Companies have long been waiting for a power plant strategy from Habeck, which was actually supposed to be presented in the summer. New gas-fired power plants are to step in as a "backup" in "dark doldrums" - when there is no wind and no sunshine - to cover the demand for electricity. They are initially to be operated with natural gas and later with climate-neutral hydrogen. However, energy companies have so far shied away from investing because the new power plants have not yet paid off.

Habeck had announced state subsidies in the billions. An incentive system is possible that rewards operators for maintaining power plant capacities. However, following a ruling by the Federal Constitutional Court, the German government will have to plug holes worth billions in the budget for 2024 and in the Climate and Transformation Fund.

"Private-sector investment will be needed, and this must be worthwhile - even if there are only a few operating hours per year," said Russwurm. "I'm a fan of expanding renewables. But honesty requires us to say that we need reserves for the dark doldrums. We are a long way from having sufficient storage capacity." Sufficient hydrogen-capable gas-fired power plants are a dream of the future.

Criticism of the government's assumptions

"When announcing its power plant strategy, the German government assumed that we would be able to import considerable quantities from abroad at times when electricity is scarce here and that we would therefore only need to add 25 gigawatts," said the President of the Federation of German Industries. "This is a highly optimistic thesis because it assumes that our neighbors will always have surplus electricity when we need it. But even 25 gigawatts of additional capacity means 50 new power plants." This is an immense ambition.

"To the extent that this expansion does not succeed, the Federal Network Agency will have little choice but to keep coal-fired power plants on the grid in order to maintain security of supply," said Russwurm. "And electric cars that run on electricity from coal-fired power plants would really be a serious setback for climate protection."

Russwurm: Earlier coal phase-out almost impossible

The traffic light coalition had agreed to "ideally" bring forward the coal phase-out to 2030 in order to prevent the emission of climate-damaging carbon dioxide. So far, however, an eight-year earlier phase-out has only been agreed in the Rhineland coalfield. It is controversial in the coalfields in eastern Germany.

When asked whether he still sees a chance of a coal phase-out in 2030, the BDI President said: "To be honest, I don't have the imagination for it." Building 50 gas-fired power plants at the same time in just a few years is hardly conceivable. There are only a few manufacturers who are capable of producing hydrogen-capable gas turbines, and this is neither easy nor inexpensive. "If 50 are to be ordered, planned, approved and built at the same time in Germany alone, that's an objective that doesn't seem very realistic to me."

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Source: www.stern.de

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