Germany: Extends Life of Nuclear Plants

Angela Merkel

E.ON AG and RWE AG soared in Frankfurt trading after German Chancellor Angela Merkel’s government agreed to extend the lifespan of nuclear power plants in exchange for payments to fund alternative energy projects. E.ON, the country’s biggest utility, had its biggest intraday gain since May 27, advancing as much as 3.7 percent. RWE, based in Essen, climbed as much as 2.8 percent. Before today, the stocks had tumbled 21 percent since the start of the year, putting them among the DAX Index’s 3 biggest losers. Coalition leaders yesterday in Berlin agreed to allow seven reactors built before 1980 to run eight years longer than planned and 10 newer plants to remain open an additional 14 years, said Klaus Breil, the ruling Free Democratic Party energy spokesman, who took part in the talks. That would mean an average extension of 12 years from the original 2022 shutdown date. “This is definitely a good result that makes good economic sense. Power will remain affordable while renewable energy will get a new kick-start,” Breil said in an interview. “Nuclear power is a bridge technology that we just can’t do without.” Read more here:

Germany: Extends Life of Nuclear Plants