Habeck's way through the crisis: Full gas storage tanks by November so that things don't get "tight" in winter

Created: 06/19/2022, 18:03

By: Sandra Kathe

Robert Habeck wants to prepare Germany for the winter with incentives to save gas, the reactivation of coal-fired power plants and the increased construction of liquid gas plants.

Berlin – After the EU sanctions for Russia's war of aggression against Ukraine, Russia has cut back its gas supplies to many European countries - including Germany.

Economics Minister Robert Habeck has now responded to the developments with a package of measures and called on citizens and companies to save energy.

The Green Vice Chancellor hopes to avoid possible bottlenecks in winter.

Because gas is not only important for heating homes, but also in industry, as a raw material for production and for energy generation.

According to the ministry, the gas share in electricity generation in 2021 was around 15 percent, with industry experts recently estimating the share at 10 percent.

On this basis, the conflict with Russia could also have clear effects in this country by winter.

Habeck warned of a serious situation and demanded: "Gas consumption must continue to fall, so more gas must be stored, otherwise it will be really tight in winter."

Minister of Economics Habeck demanded at the weekend that gas storage tanks should be full in winter.

© Sebastian Iwersen/dpa

Imminent gas crisis due to Ukraine war: Germany plans billions in credit for gas purchases

The core of the current plans from the Ministry of Economic Affairs is therefore to ensure that the gas storage facilities continue to be filled before the onset of winter, despite a possible loss of Russian gas supplies.

According to the Federal Network Agency, the filling level of the gas storage facilities is currently 57 percent, which is usual for this time of year.

The goal by November 1st is to have 90 percent full storage facilities to deal with bottlenecks in winter.

"We must and we will do everything we can to store as much gas as possible in summer and autumn," said Habeck.

Full gas storage by winter would have top priority on the way through the crisis.

In order to ensure that this succeeds, the federal government is planning to provide an additional credit line of 15 billion euros via the state bank KfW in the near future, which will enable the so-called market area manager, Trading Hub Europe, to buy gas and fill the storage facilities to advance

This was reported by the German Press Agency, citing government circles.

Save gas instead of shortages in winter: Habeck plans premium for companies and coal law

Another aspect of the plan from Habeck's Economics Ministry is the launch of a gas auction model in the summer, which should incentivize industrial gas consumers, which Habeck sees as a key factor in his plan, to save gas.

The point is that industrial customers who can do without gas reduce their consumption for a fee - and make the gas available so that it can be stored.

"Everything that we use less helps," says Habeck.

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Particularly "bitter" for Habeck is the measure also demanded by the industry that more coal-fired power plants are operated again, at least for a transitional period, which are currently only available to a limited extent, will soon be shut down or are in reserve.

According to the ministry, a corresponding law is to be passed by the Federal Council on July 8th and then come into force quickly.

In the same breath, however, Habeck emphasized that the coalition did not want to shake off an earlier coal exit.

The traffic light coalition wants to “ideally” bring this forward to 2030, so far it has been planned for 2038 at the latest.

Against dependence on Russia's gas: liquid gas terminals and savings premiums

The measures already taken to reduce dependence on Russian gas also include the planning of liquid gas terminals in Germany and the accelerated expansion of green electricity from wind and sun.

However, this is an extremely lengthy aspect: In order to provide short-term incentives for less consumption, politicians and economists have proposed discounts or bonuses for private households.

Habeck had made it clear that he could not rule out legal measures to save energy as a consequence of the reduced gas supplies.

The President of the Federal Network Agency, Klaus Müller, had introduced a legally prescribed reduction in the heating temperature for apartments.

This met with great criticism.

Chancellor Olaf Scholz (SPD) told the dpa: "I am not a supporter of discussing individual measures now before an overall concept is available." (ska with dpa)