US Stock Market
Euro Energy Crisis: Germany Using Coal instead of Gas
This winter, Europe's largest economy, Germany, will face an energy crisis unprecedented for developed countries. Apparently, in response to Western sanctions, Russia has gradually reduced gas supplies to Europe (especially to Germany), making the German economy more likely to slip into recession. In July, Germany's economy began to contract for the first time this year, an S&P Global measure of private sector activity showed.
After the Fukushima nuclear leak in Japan in 2011, former German Chancellor Angela Merkel decided to withdraw from atomic energy. At present, the instability of Russian gas supply caused by the conflict between Russia and Ukraine has prompted the remaining three nuclear power plants in Germany to continue to operate after the end of 2022 (the original outage time). In the first quarter of this year, nuclear power plants accounted for 6 percent of Germany's electricity generation, and natural gas for 13%.
To reduce natural gas consumption in the short term, Munich Electric Power Company has lowered the minimum temperature of outdoor and indoor swimming pools and enclosed saunas in Bavaria. Governments across Germany have also begun to consider compressing the living space of traditional projects such as beer making and Christmas markets. The world-renowned Munich International Oktoberfest will also be affected or tragically cancelled.
The German government has asked German companies and consumers to save energy to make up for the gap between gas inventory targets and actuals. But if measures to rebalance supply and demand fail, the German government has the power to declare a "gas emergency", which would involve state control of gas distribution and decisions about who gets gas and who doesn't.
At the same time, the German government has approved the restart of 10 coal-fired power plants and six oil-fired hybrid power plants, and postponed the phase-out of nuclear power, keeping German nuclear power plants running until 2024 to solve the problem of the energy crisis.
However, extending the life of a handful of reactors would only make a small contribution to alleviating the gas crisis. Sanctions and wars are really going to cost the whole German society quite a lot.
Louis Yap
Join me for more Stock Information
Telegram
More articles on US Stock Market
Discussions
Be the first to like this. Showing 0 of 0 comments
Post a Comment
Featured Posts
Introducing MY's First IPO Fund for Sophisticated Investors!
New Update. Discover investment communities that resonate with your ideas
M & A Value Partners IPO Equity Fund has been launched - Targeted 13% Return p.a
Latest Videos
Apps
Top Articles
1
save malaysia!
Visa-free travel to China extended for Malaysians to 30 days
2
3
Koon Yew Yin's Blog
CPO price is rising rapidly as shown by chart below - Koon Yew Yin
4
Axcapital's investment blog
KAB - Executing its way to a record quarter. Could more Petronas contracts be coming?
6
7
8
BFM Podcast
#
Stock
Score
Daily Stocks
Stock Name
Last
Change
Volume
Stock Name
Last
Change
Volume
Stock Name
Last
Change
Volume
MQ Trading Signals
Stock
Time
Signal
Duration
No trading signals available.
Stock
Time
Signal
Duration
No trading signals available.
Featured Advertisers / Partners
Ride The Bull Short The Bear
CS Tan
4.9 / 5.0
This book is the result of the author's many years of experience and observation throughout his 26 years in the stockbroking industry. It was written for general public to learn to invest based on facts and not on fantasies or hearsay....
