Germany launches second phase of emergency plan to reduce gas consumption

German Minister of Economy and Climate Protection Robert Habeck told reporters on the 23rd that the country has launched the second phase of a plan to reduce natural gas consumption.

“Gas is a shortage commodity in Germany,” he stressed.

According to Habeck, the plan is to propose a “gas-saving auction model” that would allow the industry to buy gas again, but would also reward those who give up.

This spring, the German government launched a contingency plan for the gas industry. The plan is divided into three phases, including an early warning phase, in which a coordinating headquarters is established and measures are in place to prevent the situation from worsening. The second stage is a state of high readiness, in which companies must independently take measures to reduce consumption or purchase more natural gas, and can also extract natural gas from gas storage. The final phase is the state of emergency, the activation of which enables the state to actively intervene in the activities of market participants to ensure energy security.