Aug 13, 2025

Germany's reliance on gas is raising concerns about a setback in climate progress.

Germany's conservative-led government has initiated a push to quickly construct more gas-fired power plants, raising concerns about a regression in climate policy and causing unease even among its own members. Chancellor Friedrich Merz's coalition prioritizes reviving the struggling economy, asserting that reliable and affordable energy is vital for major manufacturers.

Critics argue this fossil fuel expansion reflects an ideological shift away from green policies. Merz's coalition includes his CDU party and the centre-left SPD, but not the Greens, who were part of the previous government.

The economy ministry, led by CDU's Katherina Reiche, supports a goal of establishing new gas plants with around 20 gigawatts capacity by 2030. Reiche has emphasized the need to rapidly build these plants to ensure a stable energy supply.

This aim is to provide backup energy when renewable sources fall short, such as during periods of insufficient sunlight or wind. Supporters contend that increased supply is essential since nuclear power has been phased out in Germany, and coal is expected to follow suit.

They argue that natural gas, while a greenhouse gas emitter, is less harmful than coal and can serve as a transitional source until renewables grow in capacity. According to German climate law, renewable electricity must account for 80 percent of consumption by 2030, up from about 55 percent in 2024.

In a recent development, the government approved gas production off a North Sea island near the Dutch border, prompting environmentalist backlash. Plans for new gas plants aren't new, but the current targets are approximately double those of prior initiatives.

Reflecting this shift, Reiche's ministry has been renamed from the "Ministry for Economic Affairs and Climate Action" to the "Ministry for Economic Affairs and Energy." She has questioned the legally binding goal of achieving greenhouse gas neutrality by 2045, creating friction with SPD's environment minister Carsten Schneider.

An economy ministry spokesperson affirmed that Reiche supports the current climate target. The government aims to meet these goals while maintaining Germany's industrial status. The Greens have criticized Reiche, and over 380,000 people have signed a petition from Campact, warning her policies could significantly hinder climate progress.

Within conservative ranks, criticism has emerged as the Climate Union cautioned that subsidies for new gas plants could raise power costs. Energy think tank Agora Energiewende suggests that only about 10 gigawatts of additional gas capacity is necessary by 2030 to supplement existing power sources.

Reiche's ministry confirmed that discussions with the EU regarding tenders for a significant portion of the plants are progressing. Moreover, new gas-fired plants must be "decarbonised in the long term," potentially by transitioning to green hydrogen, in line with decarbonisation goals and EU regulations.