Conclusion Of Germany's Landmark Coal Act Clears Way To Next Energy Transition


In a vote that has been hailed as “historic”, Germany’s parliament has adopted a law that will ensure the phase-out of coal power by no later than 2038. The decision follows two years of intense debate about the country’s climate action ambition and the changes needed to meet them aimed at reconciling interests in a broad compromise but that ended in discord.

While the law indeed marks a crucial step in the German Energiewende, it failed to garner widespread support and has instead drawn heavy criticism for falling short of climate targets and granting coal companies too much compensation. The law’s passing nevertheless opens the door to the energy transition’s next crucial challenges that also look set to influence 2021 election campaigns managing the costs of decarbonisation and boosting renewables.