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German coal importers call for longer power plant operation

September 16, 2022


Abstract : The Association of Coal Importers (VDKi) in Germany is insisting on more planning security for the renewed use of coal for power generation as a result of the energy crisis.

CAPTION: German coal importers call for longer power plant operation. (picture-alliance/ dpa)

The Association of Coal Importers (VDKi) in Germany is insisting on more planning security for the renewed use of coal for power generation as a result of the energy crisis. This is important in order to create the necessary capacities for transhipment in European seaports, but also for transport, the association stressed.

The VDKi's chairman of the board, Alexander Bethe, said that he sees no problem in getting enough coal to European ports. Two-thirds of German imports went through Amsterdam, Rotterdam, and Antwerp, he said. "However, there is a threat of bottlenecks in handling, and terminal capacities are limited. They have been cut back sharply in recent years, and now staff is needed again," Bethe said. "But you can only get that if there are also long-term prospects. No one at the major seaports is hiring people for the long term just because German politicians say, 'We have to temporarily increase import volumes by April.'"

The German government wants to have more electricity produced from coal again to save gas due to the energy crisis. Since July 14, a special provision has allowed coal-fired power plants from the so-called grid reserve to come back on line. However, this is tied to the alert level of the gas emergency plan currently in force and is also limited until April 30 next year.

The vice chairman of the VDKi, Stephan Riezler, reported that in negotiations with terminal operators, contract terms until 2025 are under discussion. "Transporting coal to German power plants is also a problem because they are not located close to the coast. Most are on the Ruhr and Saar rivers, with some still in southern Germany and two in Berlin." Coal can be transported by ship, he said, if river levels are high enough, or by rail - but here, too, negotiations are difficult. "Suppliers have to invest to restore old carriages. To make that worthwhile, they need more predictability. March 2024 would be the absolute lower limit."

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Keyword: coal

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