Germany should explore domestic oil and gas reserves to ‘stand on its own feet’: minister

BERLIN (Reuters) – Germany should explore its domestic oil and gas reserves in the North Sea, Finance Minister Christian Lindner was quoted as saying on Wednesday, as Europe’s biggest economy looks for alternatives to cut its dependence on Russian fossil fuels.

After years of prospering from Russian energy imports, Germany is convulsed by a debate over how to unwind a business relationship that critics say is financing Russia’s invasion of Ukraine. Russia supplies 40% of Europe’s gas needs.

“I think the coalition agreement stipulating that we no longer want to produce oil and gas in the North Sea and do not want to explore new fields is out of time,” Lindner was quoted as saying by the ntv broadcaster, citing The European magazine.

Lindner said Germany had unused reserves of raw materials and must “stand on its own feet” in terms of energy policy.

The government will systematically expand renewable energy to fill the supply gap but other alternatives must be considered, he said, adding that domestic oil and gas exploration had a different economic perspective than previously assumed due to the increase in energy prices.

“We have to look at what is actually going on in the North Sea,” Lindner said, adding that Germany must talk with its European partners, especially the Netherlands, on the matter.

Around one billion cubic meters of gas could be produced annually from the natural gas field in the German-Dutch border area in the North Sea near the island of Borkum, ntv said, citing estimates by the Federal Association of Natural Gas, Oil and Geoenergy.

Earlier on Wednesday, Germany’s economy and climate ministry presented a package of measures to speed up the expansion of renewable energy, as the need to reduce the country’s heavy reliance on Russian fossil fuels adds urgency to its green transition plans.

(Reporting by Riham Alkousaa; editing by Richard Pullin)