Energy Expert: Germany’s Nuclear Phaseout Was A “500 Billion Euro Mistake”

 Professor Fritz Vahrenholt has critically assessed Germany's energy transition, known as the Energiewende, particularly focusing on the country's decision to phase out nuclear energy. He argues that this decision has resulted in significant economic losses and negative impacts on energy stability.

• Nuclear Phaseout as a Mistake: Vahrenholt describes Germany’s exit from nuclear power, initiated in 2011 under Chancellor Angela Merkel, as a historic blunder costing approximately €500 billion. This phaseout is now acknowledged as a mistake by the current government as well.

• High Costs of Green Energy: In 2025, the German government issued about €16.5 billion in subsidies to wind and solar energy operators. Due to fixed feed-in tariffs, investors profit excessively during both electricity oversupply and scarcity situations, leading Vahrenholt to label the financial redistribution as “socially unjust. ” He argues that the costs are borne by tenants and drivers through CO2 pricing, while wealthy investors benefit.

• Government Stance on Energy: Despite global instabilities, like the recent events in the Strait of Hormuz, the German government maintains a ban on nuclear energy and domestic shale gas production, continuing with the coal phaseout. Chancellor Friedrich Merz is reportedly under pressure from coalition partners SPD and the Greens, preventing any substantial policy changes.

• Rejection of Reform: Proposed reforms from Economy Minister Katherina Reiche aimed at improving the energy system are being dismissed by SPD and the Greens as threats to the perceived success of the energy transition.

• Call for Change: Vahrenholt suggests a return to nuclear energy, utilizing the existing subsidies to build new plants, as well as exploring domestic shale gas and maintaining coal-fired power as potential solutions to Germany's energy crisis.

Vahrenholt’s critique highlights the significant financial and structural issues arising from Germany's transition away from nuclear energy. His perspective advocates for a reassessment of energy policies to address ongoing challenges in energy supply and economic stability in the country.

https://notrickszone.com/2026/03/18/energy-expert-germanys-nuclear-phaseout-was-a-500-billion-euro-mistake/