Reactions from energy and climate community to collapse of Germany’s coalition government

Environment and development NGO Germanwatch:

Germanwatch called on the SPD, the Greens and the CDU/CSU parties to use existing common ground in climate and energy policy to send a strong signal of their ability to act. “Despite all the differences in content, the SPD, CDU/CSU and Greens now have the opportunity to send a signal nationally and internationally that they are capable of acting on the basis of a common set of values,” said chairwoman Silvie Kreibiehl.

The NGO called on the current government and the new finance minister Jörg Kukies to work towards an ambitious outcome at the World Climate Summit in Baku. “Right now, it is important for Germany to be a reliable international partner - also for global security. The room for manoeuvre for concrete German financial commitments for the coming years will probably be smaller in the current constellation. On the other hand, agreement on a new global goal will actually be made easier, as [former finance minister] Christian Lindner's constant blocking of meaningful European negotiating positions will be eliminated,” said the organisation’s finance expert David Ryfisch.

Germanwatch called on chancellor Scholz to invite the Conservatives’ leadership to the planned industry summit meant to strengthen the country’s position as a business location, in order to find pragmatic solutions that combine short-term relief with clear course-setting with companies and trade unions.

Kerstin Andreae, head of utility association BDEW:

“For the energy sector, it is essential that the ability to act is guaranteed. The current situation must not lead to important measures not being implemented. It is therefore particularly important to finalise those legislative initiatives this year that are relevant to deadlines and cannot wait until next year […] We are currently reviewing all current legislative proposals in order to clarify what must not be postponed.”

“The task now is to act where there is consensus: In recent weeks and months, draft legislation has undergone decisive improvements in numerous consultation processes […] Responsible political action must be characterised by the fact that well-founded legislative proposals do not fall victim to ideological or tactical calculations, but are advanced on the basis of objective considerations. It won’t help the energy industry, nor security of supply or the energy transition if everything needs to start from scratch after an election.”

“It is also important to bear in mind that politicians have a major responsibility beyond Germany within the European framework. Particularly at the start of the new European Commission, Germany needs to send a signal of stability and planning security with regard to the common European objectives and the implementation of existing initiatives. For example, a delegated act on low-carbon hydrogen must not be designed in an impractical way simply because Germany is unable to act.”

Martin Kaiser, head of Greenpeace Germany:

“[Free Democrat (FDP) finance minister] Christian Lindner's ideology-driven and climate-damaging financial policy has failed! The smallest partner has paralysed this self-proclaimed progressive coalition in the central task of an ecological modernisation for far too long, with permanent provocations and a misguided course. This decision is a short-term relief for the consistent climate-friendly orientation of economic policy and socially just climate protection measures.”

“The economic and environmental challenges are urgent and massive and can only be tackled in parallel. Following the election of Trump's America-first policy and shortly before the important international conferences on climate and the G20, we expect chancellor Scholz and [Green economy and climate] minister Habeck to work with the [conservative alliance of] CDU/CSU to draw up the federal budget for 2025. The budget must keep German society capable of acting by investing in areas that will significantly determine our future and enable a climate foreign policy. [CDU leader] Friedrich Merz should be able to overcome his reservations to achieve this. Germany must support a global alliance for ambitious climate protection against Trump's expected destructive climate policy. This new dynamic for climate protection and the climate economy is urgently needed.”

Ingbert Liebing, managing director of local utility association VKU:

“Even before the now completed end of the traffic light coalition, the federal government was barely capable of making decisions and taking action. Urgently needed decisions have been postponed for far too long. Numerous legislative roadblocks are slowing down the municipal sector's urgently needed investments in the expansion and modernisation of infrastructure. […]

“It is now necessary for German politicians to regain their ability to act as quickly as possible. There must not be a long delay. Instead of experiments, we now need clarity quickly: a quick vote of confidence, quick new elections and a new federal government that is able to act quickly.”

Carsten Körnig, head of Solar industry association BSW-Solar:

“A successful energy and climate protection policy requires sufficient room for manoeuvre and a majority in the Bundestag capable of taking action […] Any tactical or ideological delay jeopardises the supply of affordable electricity from renewable energies to industry and business.

“As the voice of the solar and storage industry, we appeal to the members of the German parliament to demonstrate a cross-party ability to make decisions and compromise on important energy policy issues, to ensure investment security in the energy transition, and to continue to dismantle market barriers. The solar and storage industry expects all serious parties to make a clear commitment during the election campaign to continue the expansion of solar energy as a system-relevant, favourable and popular energy generation technology.

“Uncertainty among the economy and consumers must be avoided at all costs. It would jeopardise the supply of cheap green electricity. This is just as essential for achieving the climate protection targets already agreed in the grand coalition [of Conservatives and Social Democrats under chancellor Merkel] as it is for a successful future for the solar and storage industry in Germany. This is a concern for society as a whole, as opinion polls also show.”

Climate youth movement Fridays for Future:

The climate movement announced “major climate protests” throughout Germany shortly before early elections. “An election campaign that doesn’t address the climate crisis would equal an election campaign that is far removed from reality,” the organisation said.

“With his ideological rejection of social measures such as the climate bonus, [finance minister Christian Lindner] and the FDP have made Germany even more unequal and gambled away social support for climate protection. The same now applies to the rest of the government: There must be no backtracking on climate protection - on the contrary. After the elections in the U.S., it is more important than ever that Germany takes a stand on climate issues and proves how fair and effective climate policy can move a country forward,” said the group’s Annika Rittmann.

The group called on the chancellor and the current government to continue tackling the most urgent climate protection issues in the final months of their term of office. “This applies in particular to the World Climate Change Conference, which begins next Monday in Baku, Azerbaijan.”

Wolfgang Große Entrup, head of chemical industry association VCI:

“The end of the traffic light coalition comes at an inopportune time. Especially in these challenging times, we need a solution-orientated federal government that is capable of taking action. With this in mind, we are calling on the political parties to act responsibly. We need clarity quickly. We cannot afford a months-long stalemate and political standstill. In addition to the major challenges of our time, such as migration and external security, Germany urgently needs to be modernised as a business location. Our industry needs low energy prices, a competitive tax system, faster authorisations, less bureaucracy and less and better EU regulation. […]

“It seems likely that it will not be possible to rally a parliament majority behind a draft budget before a new election. It is therefore right to pave the way for new elections. However, they must now take place at the earliest possible time. Because there is no time to lose when it comes to renewing Germany as a business location.”

Jana Puglierin, senior policy fellow at the European Council on Foreign Relations (ECFR):

"If new elections are not called before the end of March, this would mean that Germany would have to wait until June for a new, fully functioning government with its own majority to take office – and that’s assuming everything goes smoothly. This means that Germany will not be able to play a leading role at the European level. While Germany has not distinguished itself in this respect over the past three years, we are now going to see even less initiative, flexibility and predictability coming out of Berlin."

"At first glance, it seems incomprehensible that the coalition government collapsed on the same day as Trump's election. Now more than ever, Germany is called upon to act. But it is also true that the coalition has been completely incapable of governing in recent months. Either way, Germany would not have been the country to lead the EU in this difficult situation."

ECFR senior policy fellow Janca Oertel adds: "It may be wishful thinking that more stability and leadership is the outcome of the next German election: Recent local elections have demonstrated that Germany is not immune to unclear majorities in the center with strong populist parties grabbing massive shares of the votes. The result of the next federal election could be even more messy than what we have now."