German Economy and Climate Change Minister Robert Habeck at a press conference on measures to reduce carbon dioxide emissions and Germany’s dependence on Russian energy imports in as part of the Russian war against Ukraine, in Berlin, April 6, 2022. REUTERS / Christian Mang / File Photo

BERLIN, April 25 (Reuters) – Germany’s cabinet on Monday approved a legislative amendment that would allow the government to seize ownership of energy companies as a last resort measure to secure supplies in an emergency.

Germany, heavily dependent on Russian energy, last month triggered an emergency plan to manage gas supplies in the face of deteriorating relations with the Kremlin following its invasion of Ukraine and Western sanctions. in retaliation.

It was the first step in a three-phase plan that could result in energy rationing, with priority given to households and critical infrastructure such as hospitals.

“Prices are high, uncertainty is high and risks are at hand,” Economy Minister Robert Habeck said in a statement. “So we have to be prepared for the situation to get worse.”

The amendment would allow the government, which is rushing to reduce Germany’s dependence on Russian imports, to place energy companies in trust if energy security is threatened.

He had already adopted this strategy with Gazprom Germania, a trading, storage and transport activity abandoned by the Russian Gazprom (GAZP.MM). Read more

Berlin hopes parliament will pass the amendment in May, a government source said.

Russia says it is carrying out a “special military operation” in Ukraine to demilitarize its neighbor.

Reporting by Christian Kraemer; Written by Sarah Marsh; Editing by Bernadette Baum

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