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Germany has committed to phasing out coal by 2038, gradually shutting down plants powered by anthracite and lignite. However, Merz warned that energy shortages might require extending the operation of existing plants to ensure electricity supply.
He emphasised that safeguarding the country’s industrial base remains a priority, noting that unrealistic phase-out timelines could threaten economic stability.
While reaffirming Germany’s commitment to climate goals, Merz signalled a shift in priorities towards supporting economic growth. His government has already scaled back some green initiatives, including proposals affecting combustion engine phase-outs and rooftop solar subsidies.
Economy and Energy Minister Katherina Reiche called for increased flexibility in the European Union’s 2050 carbon neutrality targets, a position that has faced criticism from environmental groups.
Merz highlighted the ongoing development of renewable energy, supported by new gas-fired plants to maintain stability. He confirmed that nuclear reactors shut down under former Chancellor Angela Merkel will stay offline for technical reasons, while Germany may investigate small modular reactors and nuclear fusion technologies in the future.