German domestic oil and gas production continues to sink – report

Germany covered just 6 percent of its natural gas and 2 percent of oil demand with domestic supplies in 2023 as production continues to sink, according to an annual report by BVEG, an industry association for natural gas, crude oil and geothermal energy. Germany extracted around 4.3 billion cubic meters of gas and 1.6 million tonnes of oil last year, with the BVEG calling for lawmakers to "use the potential of the earth" to help reach climate goals and successfully manage the transition. The association's managing director Ludwig Möhring said in a statement that Germany's fossil fuel sector could store CO2 underground and is developing hydrogen storage facilities, as well as deep geothermal energy. German government initiatives are already aimed at boosting these sectors, but must be "implemented consistently”, added Möhring.  

Möhring also claimed the oil and gas sector produces "environmentally friendly" fossil fuels in Germany because CO2 emissions from domestically produced sources are 30 percent lower than from imported liquefied natural gas (LNG). Domestic exploration companies could produce 10 to 20 percent more fuel, said Möhring at a presentation of the annual report.  

"If you want bigger leaps, you have to open up to shale gas," said Möhring as reported by news service Tagesspiegel Background. Fracking, which involves tapping unconventional gas shale deposits, is banned in Germany. Europe's energy crisis had briefly revived debate on whether the controversial and strongly opposed method should be used to maintain security of supply. However, fracking in the country is not in sight. Germany and the EU are heavily reliant on fossil fuel imports because domestic resources are depleted or costly to extract. Russia's war in Ukraine and the energy crisis have recentered the debate on import dependence, with renewables expansion seen as a key solution.