Power Company RWE Says Germany’s Coal-Power Policy Threatens Its Existence

RWE AG, Germany’s largest power company by output, said government plans to force aging coal-fed plants to pay more for emissions threaten its future as a going concern.

“The so-called climate contribution for conventional power stations affects our very existence,” Chief Executive Officer Peter Terium said April 23 at RWE’s annual general meeting in Essen. “This contribution would mean immediate closure for the majority of our lignite mines and lignite-fired power stations.”

Energy Minister Sigmar Gabriel has proposed forcing coal-power plants that are 20 years old or more to buy extra European Union emission permits starting in 2017. Germany is ...