Monday, September 8, 2025

Europe Weighing Reluctant Return To Coal As Russia Squeezes Oil Supply

Some European countries are planning a return to coal in an effort to avoid a winter gas shortage as Russia reduced gas supplies through the Nord Stream 1 pipeline and the continued threat of Russian gas supply disruptions looms.

The decision to turn to carbon emission-rich coal will likely delay the region’s transition away from fossil fuels. Although, according to a report by CNBC, policymakers believe that turning back to coal is a necessary, albeit temporary, measure to ensure that there will be gas to last through the winter.

“The gas storage tanks must be full in winter. That has top priority,” German Economy Minister Robert Habeck said in a translated statement. He described limiting the use of natural gas and burning more coal as a “bitter” decision, but the country must do everything it can.

On Monday, the Netherlands said that it would remove a production cap for coal-fired plants, activating an “early warning” phase of an energy crisis plan. Italy and Austria have also indicated that they are considering upping coal use. 

As of this writing, it remains unclear whether gas supplies via the Nord Stream 1 from Russian energy giant Gazprom will return to normal levels. 


Information for this briefing was found via CNBC and the sources mentioned. The author has no securities or affiliations related to the organizations discussed. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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