Sun, 21 Jun 2026
It had planned to abandon the fuel, but the higher cost of natural gas may make it think again.
Germany relies heavily on coal-powered stations, with 20% of its electricity coming from them. However, the country has pledged to stop using coal altogether by 2038 and phase out lignite by 2030 due to its high pollution levels. In contrast, Germany gets more than half of its electricity from renewable sources, such as wind and solar power.
As a backup for these intermittent energy sources, Germany wants to rely on natural gas-powered stations. However, with the recent global increase in gas prices, some countries have reconsidered coal as an energy source. Japan has loosened rules allowing for increased use of coal-fired power plants, Italy is delaying the closure of its remaining coal stations until 2038, and India has postponed maintenance shutdowns.
Germany's Chancellor Friedrich Merz has expressed concerns about the country's energy security, stating that the government must supply electricity to the nation. This has sparked debate on whether Germany should reconsider its plans to phase out coal.
The problem for the German government is finding a balance between supply and price. The country has an abundance of cheap lignite coal, but it relies heavily on imported natural gas. With global gas prices increasing, switching back to lignite becomes financially appealing, despite its higher pollution levels.
A parliamentary committee is studying the possibility of allowing six coal power stations that use imported hard coal to operate continuously. This would help strengthen energy security and affordability, but could be seen as counterproductive to the country's energy transition goals.
The government must decide this year whether to maintain the 2030 deadline for lignite phase-out or allow some capacity to remain as a strategic reserve. A statutory review of the coal phase-out will also be published in August, which may lead to adjustments to the original plan.
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