“A Huge Mistake”: German Economy Minister Calls for Nuclear Rethink Amid Energy Crisis
BERLIN / HOUSTON — In a historic departure from over a decade of German political consensus, Federal Minister for Economic Affairs and Energy Katherina Reiche (CDU) has publicly labeled the country’s 2023 nuclear phase-out a “huge mistake.” Speaking at the CERAWeek international energy conference in Houston on Tuesday, March 24, 2026, Reiche warned that the ongoing conflict in the Middle East has exposed Germany’s “fragile” energy security, leaving the nation dangerously reliant on natural gas as its only remaining baseload power source.
The Minister’s remarks signal a profound policy shift under the government of Chancellor Friedrich Merz, as skyrocketing energy prices and the closure of the Strait of Hormuz force a reality check on the Energiewende (energy transition).
The “Baseload” Dilemma
Reiche’s admission highlights the structural vulnerability created by the simultaneous abandonment of coal and nuclear power in favor of intermittent renewables.
- “We Miss This Energy”: Reiche noted that the phased-out nuclear fleet previously provided 20 GW of carbon-free, affordable power. “We concentrated on climate protection, we underestimated affordability—that was a mistake that we are going to correct,” she stated.
- Gas as the Last Resort: With coal being phased out for climate targets and nuclear gone, Reiche admitted that gas is the only tool left to stabilize the grid. “We need gas to secure our supply—that is the only baseload supply I have left,” she warned, according to reports from World Nuclear News.
- Price Shocks: German electricity futures for May are currently trading at roughly four times the price of nuclear-reliant France, a gap that Reiche suggested is no longer sustainable for Germany’s industrial base.
Beyond Conventional Reactors: SMRs and Fusion
While Reiche ruled out a simple “flip of the switch” for decommissioned conventional plants—many of which are already in advanced stages of dismantling—she proposed a new technological path forward.
- Small Modular Reactors (SMRs): At the Munich Security Conference in February, Reiche argued that Germany must “learn” to accept SMR technology. She described these decentralized, low-CO2 reactors as essential for a resilient future energy system.
- The Fusion Ambition: The Merz government has already committed over €2 billion toward building the country’s first nuclear fusion reactor, aiming to position Germany as a leader in “next-generation” nuclear science.
- Industrial Competitiveness: Reiche emphasized that if Germany wants to remain a global industrial heavyweight, it cannot ignore the “energy security and growth” benefits that nuclear technology provides to its neighbors.
The Looming “April Lockdown”
The urgency of Reiche’s “rethink” is driven by immediate supply fears as the Iran war drags into its second month.
| Energy Metric | Current Status (April 1, 2026) | Trend / Forecast |
| Fuel Supply | “Secure” for now | Shortages possible by late April/May |
| Gas Prices | +60% since Feb 28 | Volatile due to Gulf conflict |
| Storage Targets | 90% goal by October | “Unlikely” without record injections |
| Electricity Cost | ~4x higher than France | Risk of industrial exodus |
Analysis: The Death of the “Green Consensus”
Reiche’s comments, supported by Chancellor Merz’s own descriptions of the nuclear phase-out as a “strategic error,” mark the end of the cross-party consensus that has dominated Berlin since the 2011 Fukushima disaster. By prioritizing affordability and security of supply over “green-at-all-costs” benchmarks, the current government is attempting to steer Germany through what European Commission President Ursula von der Leyen recently called a “strategic mistake for Europe.”
As Russia’s Kirill Dmitriev predicts imminent energy lockdowns for the continent, Germany’s sudden openness to nuclear technology may be the first step in a broader European “Energy Realism” movement.