German court to rule on compensation over nuclear phase-out

German electricity giants EON and RWE and Sweden's Vattenfall have argued that the government-ordered shutdown of the country's nuclear plants amounts to an "expropriation" of their assets.

German court to rule on compensation over nuclear phase-out

World Bulletin / News Desk

A German court will rule Tuesday on whether three big energy suppliers are entitled to billions of euros in compensation over the country's decision to phase out nuclear power in the wake of the 2011 Fukushima disaster.

They have asked the Constitutional Court in the southwestern city of Karlsruhe to award them some 20 billion euros ($21 billion) in damages, according to media reports.

Chancellor Angela Merkel's government decided after Japan's 2011 Fukushima reactor meltdowns to halt operations of Germany's eight oldest nuclear plants and to shutter the other nine by 2022.

The move marked a sharp reversal for Merkel. She had earlier overturned a phase-out ordered by a previous government in 2002 and extended the lifespan of Germany's nuclear fleet until 2036.

The chief of Germany's biggest power company EON, Johannes Teyssen, told the court in March that while the companies respected the political choice to give up on nuclear energy, they should not have to foot the bill alone.

"We cannot simply accept that parliament disregarded constitutional requirements by providing for no compensation," he said at the time.

"For our shareholders -- including many small stock holders who have their savings and pensions invested with us -- this creates a significant financial loss which under current law will not be compensated for."

 

Last Mod: 06 Aralık 2016, 10:44
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