The largest gas storage facility in Western Europe is located 2 km (1.25 miles) underground in the town of Rehden, in the northern German state of Lower Saxony. The size of 910 soccer fields, the facility can accommodate the annual gas consumption of about 2 million detached houses. “Big. Bigger. Renten.” is the slogan on the website of the company that manages it. Installation plays a central role in security of supply for Germany and Europe.
Astora is a subsidiary of Russian energy giant Gazprom and owns more than a third of all German gas storage facilities. All sites have one thing in common: They are currently almost empty, with capacity levels of 10% or less.
The Greens’ Minister of Economic Affairs and Climate Action, Robert Habeck, assumes that the storage facilities have been “systematically emptied” deliberately to raise gas prices, but also to create political pressure.
New law on the guarantee of gas reserves
About 55% of Germany’s gas imports come from Russia, as well as about 50% of coal and 30% of oil. Although the strategic oil stockpile should last for 90 days in Germany, there is no such requirement for gas and coal. Companies decide on their reserves.
It has now become clear that this was a mistake and the Ministry of Economic Affairs and Climate Action intends to push for legal change as soon as possible. First of all, for gas: Storage facilities must be filled to capacity of at least 80% by October, 90% by December and still at least 40% by February of any year.
The law will be introduced in time in the German parliament, the Bundestag, to enter into force on 1 May. announcement of the ministry. But what if this is not possible, as Moscow is ordering the reduction or even interruption of energy supply?
Stop the phasing out of coal and nuclear energy?
In times of crisis, many things are conceivable that otherwise would not seem possible. One possibility is to postpone the phasing out of nuclear weapons. Following the Fukushima nuclear disaster in 2011, Germany decided to proceed with its plan to close all its nuclear power plants by 2022. The last three nuclear power plants are still operating.
At the same time, a decision has been taken to phase out coal-fired electricity by 2038 at the latest.
But Germany’s energy security concerns challenge everything. The finance ministers of the 16 German states have already called for longer operating times for both coal-fired power plants and nuclear power plants. “All options must be on the table,” said Economic and Energy Minister Andreas Pinkwart of Germany’s most populous state, North Rhine-Westphalia (NRW).
Pinkwart is a member of the neoliberal Free Democrats (FDP). The phasing out of nuclear weapons has always been a thorn in the side of the FDP. But there are also regional interests. NRW has 52 power plants and the largest number of coal-fired power plants in all of Germany. NRW is also one of the four German states with large areas of lignite mining. The prime ministers of these states also question the accelerating phasing out of coal.
“Everything is on the table,” Hubeck said. As Minister of Economic Affairs and Climate Action, he is in a very difficult position. It is his job as government minister to make securing energy supply his first priority. On the other hand, the phasing out of coal in the face of climate change is a key issue for its environmental Green Party, and the phasing out of nuclear energy has been part of the party’s political identity since its inception.
Habeck said he would not fight nuclear expansion “for ideological reasons”. However, he said, preparations for the closure of the nuclear power plants have already progressed so far that it is not possible to continue the operation for security reasons. According to operators Eon, RWE and EnBW, it would be technically difficult to quickly procure suitable fuel rods. There is also a lack of specialized staff.
Even if it were decided that the nuclear power plants would remain in operation, it would take a year and a half for the reactors to be able to generate electricity again, Pinkwart said. For technical reasons, they would still have to close at the end of the year and then restart to reopen in the winter of 2023/2024 at the earliest, he says.
Buy LNG
To replace Russia’s energy supply in the short term, the Ministry of Economic Affairs and Climate Action is considering buying more gas from other countries, including the Middle East. In addition, liquefied natural gas (LNG) is to be imported from the United States.
This will be delivered by sea. Germany wants to build two terminals on the North Sea coast, at Brunsbüttel and Wilhelmshaven, as soon as possible. The latter will be mobile, mounted on the water, and the other permanently installed on land. The problem: Approval processes alone can take two to five years.
LNG is considered “dirty” because it is produced from environmentally harmful fracking. It is also more expensive than Russian gas. However, on the road to climate neutrality, gas has so far played a crucial role as an energy carrier for the transition period. And modern gas-fired power plants emit less CO2 than coal-fired power plants.
This week, Habeck will be discussing the LNG market in the United States, as well as energy, security policy and the implications of sanctions. But the current crisis is also an opportunity for environmentalists to massively push for the expansion of green electricity. “The most important key to our energy sovereignty is global transformation towards more renewable energy sources and greater energy efficiency,” Habeck said before leaving for the United States. “Of course, we are discussing the issue of energy security in the transatlantic alliance.”
But in the German coalition government, even FDP Finance Minister Christian Lindner has changed his pace. He now calls renewable energy “energies of freedom.” Chancellor Olaf Soltz called them “critical to our security.” He confirmed in parliament on Sunday: “The sooner we move forward with the expansion of renewable energy sources, the better.”
A set of laws will enter into force in July to enable the full supply of electricity from renewable sources by 2035. The law must stipulate that the extension is in the “overriding public interest and serves public safety”.
To achieve this, however, the capabilities need to be greatly expanded. In the case of wind energy, the capacity will double to 110 gigawatts by 2030. Solar energy is expected to more than triple to 200 gigawatts. To persuade those who oppose the construction of more wind turbines in their neighborhood, there are plans to allow municipalities to participate financially in wind farms.
All this is pie in heaven. In the short term, it will not be possible to compensate for the lack of Russian energy supply. What is certain is that energy prices will continue to rise as supplies become increasingly scarce. The German government therefore wants to abolish the levy used by electricity customers to help finance the expansion of renewable energy sources.
This will tear another hole in the already strained state coffers, leading to a deficit of about 1.1 billion euros ($ 1.22 billion) a month.
This article was originally written in German.
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