«THERMAL COUP» OF VICE-CHANCELLOR R. HABECK: CONSEQUENCES FOR GERMANY’s ECONOMICS AND POLITICS

Abstract

In the face of new challenges for the energy transition, since spring 2022, the German Cabinet of Ministers has been paying special attention to the energy saving of buildings, which are one of the main sources of greenhouse gas emissions into the atmosphere. The Federal Ministry for Economic Affairs and Climate Protection has consistently increased the mandatory use of renewable energy sources for heating and electricity consumption. Since the beginning of 2023, at the initiative of its head, at the same time acting vice-chancellor, R. Habeck, a mechanism for the preferential use of heat pumps as a strategic basis for the so-called thermal transition has been discussed at the government level. The peculiarity was the absence of a traditional organized public discussion in such cases with the involvement of specialized interest groups. Moreover, facts of internal lobbying at the level of one of the state secretaries of the ministry were revealed. In April, the government coalition proposed a draft to make a number of qualitative changes to the Law on the Energy of Buildings. It provoked sharp criticism and rejection from the Free Democratic Party, the expert and business community, as well as representatives of federal subjects. Against this background, German and foreign manufacturers of heat pumps have stepped up efforts to conquer new market niches. The article examines the essence of the amendments proposed by the coalition, the prospects for their adoption, the content of criticism of the bill by specialized associations and unions, the possible consequences of the future law for economic and economic political processes in Germany.