Vattenfall opens a new chapter in Germany. The sale of lignite is reflecting the new strategy towards climate neutrality and in particular Vattenfall's new attitude regarding fossil fuels.

Germany is and will remain a central pillar of this strategy. The country is currently one of the most advanced and interesting “transformation labs” in Europe. What we earn in Germany stays in Germany: We will invest EUR 3 billion into the German “Energiewende” within the next five years.

After the sale of lignite we have approximately 7,000 full time positions in Germany. We will progressively step out of coal in all Vattenfall countries and have already very concrete plans for how to do this in Berlin.

Preferred smart city partner

We want to be the preferred partner for smart city and climate partnerships. We also produce heat and have substantial district heating sales, primarily in Berlin and Hamburg. In Germany, we have approximately 2.3 million network customers and 3.5 million electricity customers.

We have both the infrastructure and competence that is needed and can draw on our experiences in Amsterdam, Stockholm and Uppsala. We table on the synergies between heat and electricity to make systems smart. And we combine system intelligence with decentralised solutions.

Developing a 100 per cent renewable energy system

Swedish and German ambitions complement each other well: Sweden is to become one of the first fossil-free countries in the world. We support this ambition as much as we support the ambition to progressively develop a 100 per cent renewable energy system. Having a goal of 100 per cent is a simple approach, as it makes clear what everyone must do over time.

Nuclear power plants to be closed down

In June 2011, Germany's parliament decided that all 17 of the country's nuclear power plants are to be closed by 2022 at the latest. The consequence of the decision for Vattenfall is that the Brunsbüttel and Krümmel nuclear power plants, for which Vattenfall has operating responsibility and owns 66.7 percent and 50 percent, respectively, are no longer in operation.

To obtain fair compensation for the financial losses, Vattenfall and the Krümmel and Brunsbüttel nuclear power companies initiated arbitration proceedings with the International Center for Settlement of Investment Disputes (ICSID) in Washington, D.C. The Krümmel and Brunsbüttel nuclear power companies have also filed suit with the Federal Constitutional Court of Germany.

Vattenfall's history in Germany

1998 - Deregulation of the German electricity market took place. The country's largest power conglomerates, RWE and E.ON, were forced to give up their assets in the former GDR to prevent them from dominating the German power market. Vattenfall acquired a majority of these company holdings.

1999 – Vattenfall acquired 25.1 per cent in HEW in Hamburg. HEW won the international tender procedure for the majority of shares in Berlin's electricity company Bewag, the transmission network company Veag and the fuel supplier Laubag. Vattenfall successively increased its ownership and merged all German companies into Vattenfall Europe AG, which is today 100 per cent owned by Vattenfall AB. The transmission network was later disinvested.

2015 – Lignite sale. Vattenfall has signed an agreement to sell its lignite operations to the Czech energy company EPH with its financial partner PPF Investments. The sale includes all of Vattenfall's lignite assets in Germany. Those are power plants Jänschwalde, Boxberg, Schwarze Pumpe and Vattenfall's 50 per cent stake in Lippendorf, as well as the open cast mines Jänschwalde, Nochten, Welzow-Süd and Reichwalde and the recently closed mine Cottbus Nord. The proposed deal was submitted to Vattenfall's owner, the Swedish state. Regulatory approval from the EU was received in September 2016 and the deal is expected to be finalized in the last quarter of 2016.

More about Vattenfall's history

Last updated: 2017-05-30 14:28