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Parliament supports purchase of district heating from Vattenfall

2024-02-22T11:52:31.123Z

Highlights: Parliament supports purchase of district heating from Vattenfall. SPD and CDU: More local influence on prices and security of supply. Greens and the Left are calling for an energy policy roadmap. The purchase, which should be completed by May, will cost the country around 1.6 billion euros. According to the Energy Transition Act, Berlin wants to be climate neutral by 2045 at the latest. In addition to taking over district heating, the country is also interested in the Berlin gas network, which is operated by private company Vagag.



As of: February 22, 2024, 12:40 p.m

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Jörg Stroedter (SPD) speaks at the plenary session in the Berlin House of Representatives.

© Paul Zinken/dpa

Berlin wants to secure more influence on the energy networks with a billion-dollar deal.

The project has cross-party support in the House of Representatives - with one exception.

Berlin - The Berlin House of Representatives supports the planned purchase of the district heating division of the Swedish energy company Vattenfall with a broad majority.

In a current debate on Thursday, four out of five factions supported the billion-dollar project, while the AfD rejected it.

The Berlin Senate and Vattenfall announced in mid-December that the capital would take over the company's Berlin district heating business with around 1.4 million household customers.

According to the tax authorities, the purchase, which should be completed by May, will cost the country around 1.6 billion euros.

SPD and CDU: More local influence on prices and security of supply

District heating, like the already municipalized water companies and the state's own power grid, is part of the critical infrastructure, said SPD politician Jörg Stroedter.

And critical infrastructure belongs in the public sector.

“This gives us influence on security of supply and stable prices and gives us freedom of action to advance the necessary transformation of the networks towards climate neutrality.” In this way, the country can implement decarbonization, i.e. the move away from fossil fuels such as coal and gas, more quickly.

Christian Gräff made similar comments for the CDU.

“For us, the remunicipalization of district heating is not an end in itself.” The focus is on price stability for customers.

And: “It is absolutely important that we become more independent of fossil fuels.”

The Greens and the Left are calling for an energy policy roadmap

Green MP Stefan Taschner also welcomed the project in principle.

But it means a lot of work.

He demanded that the Senate now quickly present a roadmap for the climate-friendly conversion of district heating based on renewable energies.

The left-wing MP Sebastian Scheel said: “We have to move away from the fossil age.” The networks are an important key to this: “Intelligent networks will enable us to make this transition sensible and fair, at fair conditions and good prices for citizens “Citizens.” Scheel also called for a plan from the Senate as to how the networks will proceed on the way to becoming a climate-neutral city.

AfD rejects the project as pointless

The AfD politician Frank-Christian Hansel doubted the sense of climate policy measures and spoke of “supposed climate protection”.

The remunicipalization of district heating will bring nothing except additional debt.

“The ambitious climate goals cannot be achieved, even if one really considers them important for the survival of humanity,” he said.

“Especially not if the energy supply is to remain secure, trouble-free and affordable and the business location is not to be damaged.” According to the Energy Transition Act, Berlin wants to be climate neutral by 2045 at the latest.

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Economics Senator Franziska Giffey said: “This step we are now taking is part of a new industrial revolution.” The SPD politician recalled that a third of the heat supply in Berlin comes from district heating.

Around 18 percent of climate-damaging CO₂ emissions today came from district heating - predominantly coal-based - and more than 40 percent from the heating sector as a whole.

This high proportion shows: “If the heat in Berlin does not become climate neutral, then Berlin will not become climate neutral either.” The country must take more responsibility here

Supplementary budget is intended to ensure financing

In connection with the Vattenfall deal, the Berlin Senate introduced a supplementary budget to parliament.

The draft law includes, among other things, a credit authorization of 975 million euros for the business.

There is also a further authorization to take out loans amounting to 300 million euros for investments in the electricity network, which has already been owned by the state since 2021.

In addition to taking over district heating, the country is also interested in the Berlin gas network, which is operated by the private company Gasag.

Vattenfall granted the Senate an option to purchase its own Gasag shares of around 31.6 percent.

The Senate wants to negotiate with all parties involved in the coming months, including the other shareholders Eon and Engie.

dpa

Source: merkur

All news articles on 2024-02-22

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