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Germany's Energy Transition Plan Faces Uncertainty Ahead of Elections

Economy Minister Habeck pushes for new gas power plant legislation to secure energy supply, but political instability threatens its passage.

  • Economy Minister Robert Habeck has proposed the Kraftwerkssicherheitsgesetz (KWSG) to address gaps in Germany's energy supply during the transition to renewables.
  • The plan includes building new hydrogen-compatible gas power plants and retrofitting existing facilities, with state subsidies estimated at €17 billion through 2045.
  • The legislation aims to ensure energy reliability as Germany phases out coal by 2038 and targets 80% renewable energy by 2030.
  • Political uncertainty following the collapse of the coalition government and upcoming February elections jeopardizes the law's passage and implementation timeline.
  • Critics argue the plan's reliance on fossil fuels undermines climate goals, while others call for greater focus on modernizing existing infrastructure.
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