21 April 2026

Germany’s coal phase-out likely to happen earlier in 2032

Germany’s coal phase-out is likely to occur earlier, driven by carbon price trends. Research from the Öko-Institut suggests rising CO2 prices could push coal out of the market as early as 2032. Refiring old coal plants in response to the Iran war’s energy market shock would distort investment signals and is unlikely to happen in practice. It’s also an ineffective way to cut costs.

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