Germany is returning to coal for electricity production

SARAJEVO, (Patria) - German Economy Minister Robert Habeck has taken emergency saving measures due to reduced gas supply from Russia and is increasing electricity production from coal-fired power plants.

The dpa agency, as reported by German media, announced that the government intends to reduce the use of gas for electricity production and in industry, and wants to continue filling gas storage facilities by allocating huge financial resources.

The situation is serious, Habeck warned in a five-page document, Tanjug reports.

"Gas consumption must be further reduced, more gas must go into storage, otherwise it will be tight during the winter," said the Minister of Economy.

Currently, Germany receives 60 percent less gas from Russia via the most important pipeline, Nord Stream, so gas storage facilities are filling up more slowly than planned.

Habeck believes that Russian President Vladimir Putin's strategy is to drive up gas prices and divide Europe.

Industry as a key factor

In the document, Habeck assessed that the security of supply is currently ensured, as the missing quantities can be replaced, albeit at astronomical prices.

He stated that gas consumption in electricity production and industry must be reduced immediately and that filling gas storage facilities must be accelerated.

Specifically, the government's plan envisages an additional credit line through the state bank KfW in the amount of 15 billion euros, so that the responsible company can buy gas and continue filling storage facilities.

It is further planned that an auction model will be introduced as early as summer, which is intended to encourage industry to reduce gas consumption.

This is about the intention for industry to give up using gas.

"Everything that we need less of helps, and industry is the key factor in this," said Habeck.

Returning coal to power plants

The next measure is to increase electricity production in coal-fired power plants.

The relevant law should be passed on July 8 in the Bundesrat.

The Ministry of Economy will issue a decree on the activation of "gas substitution", which will temporarily bring more coal-fired power plants back online.

"That decree means, although it is difficult for us, but it is necessary now to reduce gas consumption, that we will have more active coal-fired power plants in the transition period," explained the minister from the Green Party, which fought for the abolition of coal-fired power plants.

The occupancy of gas storage facilities in Germany is currently around 56.7 percent; the government's goal is to reach 80 percent by October 1 and 90 percent by November 1.

Last year, according to data from Habeck's ministry, about 15 percent of gas was used for electricity production.