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dpa
Berlin
German Economy Minister Robert Habeck highlighted further consequences of eliminating imports of Russian fossil fuels in response to the war in Ukraine on Tuesday, as pressure rises on Berlin to find alternate energy sources.
Habeck has repeatedly warned against a complete embargo given the major dependence of German industry and households on Russian gas and oil, arguing that it could have serious consequences for society.
On Tuesday, he said that the rising prices that could result from cutting Russia imports could hit poorer countries hardest. Europe, he said during an “Energy Transition Dialogue” event in Berlin, was a rich continent that could afford higher prices, but this was not the case with many other states.
“We have to be careful that we don’t burden third countries through the change in our energy policies,” said the Green Party politician.
He said the impact on, for example, fertilizer production could lead to problems in food supply for those countries that could not afford to pay
more.
Kevin Kühnert, the leader of the Social Democrats - the biggest party in Germany’s governing coalition under Chancellor Olaf Scholz - also argued on Tuesday for caution when it came to cutting energy imports.
Companies would not suffer higher energy costs for long without moving out of the country, Kühnert said. “We are talking here about the basic industrial substance of our economy,” he told broadcaster RTL. At the same time, he said that, as he understood it, there would be enough energy supplies to keep industry going.
With the conflict in Ukraine raging, Germany is finding itself under increasing international pressure in its opposition to an embargo on Russian oil and gas.
Berlin is rushing to find new sources of energy, including hydrogen and liquefied natural gas from the Gulf, and from previously shelved projects.
A gas pipeline from Spain to southern France that was stopped in 2019 could be back on the table. “Germany absolutely supports MidCat,” said the German ambassador in Madrid, Wolfgang Dold, in an interview with the newspaper La Vanguardia.
The pipeline project, with an annual capacity of 7.5 billion cubic metres, had been discontinued because it was considered uneconomical at the time compared to cheaper natural gas from Russia.
The intense political debate about energy imports comes amid already fast rising energy prices.
The national statistics agency Destasis reported a nearly 130% rise in the cost of imported energy in February compared to the previous year.
“Uncertainties in the energy markets and the tight supply of natural gas even before Russia’s attack on Ukraine contributed to high increases in energy prices,” Destasis noted.
Consumers were not hit as hard, but still had to pay 22.5% more for household energy and car fuel than in February 2021, according to Destasis.
Imported natural gas - much of which comes from Russia - was three and a half times more expensive in February 2022 compared to a year earlier.
Prices for natural gas had already increased during the past year as many economies worldwide recovered from the worst period of the coronavirus pandemic and demand rose.
“The low level of gas storage in Germany exacerbated an already tense situation,” the report said.
Berlin
German Economy Minister Robert Habeck highlighted further consequences of eliminating imports of Russian fossil fuels in response to the war in Ukraine on Tuesday, as pressure rises on Berlin to find alternate energy sources.
Habeck has repeatedly warned against a complete embargo given the major dependence of German industry and households on Russian gas and oil, arguing that it could have serious consequences for society.
On Tuesday, he said that the rising prices that could result from cutting Russia imports could hit poorer countries hardest. Europe, he said during an “Energy Transition Dialogue” event in Berlin, was a rich continent that could afford higher prices, but this was not the case with many other states.
“We have to be careful that we don’t burden third countries through the change in our energy policies,” said the Green Party politician.
He said the impact on, for example, fertilizer production could lead to problems in food supply for those countries that could not afford to pay
more.
Kevin Kühnert, the leader of the Social Democrats - the biggest party in Germany’s governing coalition under Chancellor Olaf Scholz - also argued on Tuesday for caution when it came to cutting energy imports.
Companies would not suffer higher energy costs for long without moving out of the country, Kühnert said. “We are talking here about the basic industrial substance of our economy,” he told broadcaster RTL. At the same time, he said that, as he understood it, there would be enough energy supplies to keep industry going.
With the conflict in Ukraine raging, Germany is finding itself under increasing international pressure in its opposition to an embargo on Russian oil and gas.
Berlin is rushing to find new sources of energy, including hydrogen and liquefied natural gas from the Gulf, and from previously shelved projects.
A gas pipeline from Spain to southern France that was stopped in 2019 could be back on the table. “Germany absolutely supports MidCat,” said the German ambassador in Madrid, Wolfgang Dold, in an interview with the newspaper La Vanguardia.
The pipeline project, with an annual capacity of 7.5 billion cubic metres, had been discontinued because it was considered uneconomical at the time compared to cheaper natural gas from Russia.
The intense political debate about energy imports comes amid already fast rising energy prices.
The national statistics agency Destasis reported a nearly 130% rise in the cost of imported energy in February compared to the previous year.
“Uncertainties in the energy markets and the tight supply of natural gas even before Russia’s attack on Ukraine contributed to high increases in energy prices,” Destasis noted.
Consumers were not hit as hard, but still had to pay 22.5% more for household energy and car fuel than in February 2021, according to Destasis.
Imported natural gas - much of which comes from Russia - was three and a half times more expensive in February 2022 compared to a year earlier.
Prices for natural gas had already increased during the past year as many economies worldwide recovered from the worst period of the coronavirus pandemic and demand rose.
“The low level of gas storage in Germany exacerbated an already tense situation,” the report said.
