EU approves Germany's payments for early coal exit
The German energy provider RWE brought forward its exit from coal power to 2030 The European Commission has approved a German government payment to energy providers that will see the early clos ure of coal-fired power plants. The European Commission on Monday said Germany should be allowed to pay the energy giant RWE some €2.6 billion ($2.8 billion) in state aid for the closure of coal power stations. Under German law, no more electricity is to be produced from coal from 2038 onward. However, the three-way "traffic light" coalition that makes up the German government had agreed to move the date forward to 2030. Why did Brussels have to approve the aid? EU law generally prohibits state aid unless reasons of general economic development justify it. In a statement, the Commission decided this was the case regarding Germany's payments. It said that, in the case of a €2.6 billion payment to RWE, the compensation would allow the phas...