Is it just a bluff to pressure the development of more renewable energy, or does Greenpeace actually intend to own and manage one of Europe's largest coal mining operations?
The assets in question are a coal field and six attendant power plants in eastern Germany, worth upward of €3 billion and now up for auction by Vattenfall, a state-owned Swedish energy company looking to unload its lignite holdings as it pivots more aggressively toward renewables investments.
The "memorandum of understanding" submitted by Greenpeace Sweden enables the environmental campaigner to participate in negotiations with Vattenfall, while sending a signal of strong intention to the German government to step up the pace of its own energy transition.
There's a "discussion" that needs to be had, said Annika Jacobson, head of Greenpeace Sweden, but make no mistake, she added, the move isn't a ploy or some kind of PR stuntIn order to participate in the second round of bidding, the environmental campaigner has to submit a competitive financial offer along with a viable concept for continuing the operation in what it calls a "structured phaseout" of lignite mining. At a press conference today in Berlin, Greenpeace clarified its position, revealing details of a plan that would see Vattenfall assets transferred into a foundation controlled and managed by Greenpeace Nordic.
The legal structure would enable a participatory process for stakeholders -- including the German government, Vattenfall, trade unions and local municipalities -- to develop a strategy for economic development in other, more sustainable, sectors. Key to the formulation is an estimate of net present value worked out by Energy Brainpool, a consultancy whose assessment places a negative €1.5 million valuation on the entire Vattenfall assets. The valuation is based on a discounted cash flow analysis through to 2030 and includes a declining value of ongoing operations, as well as the full costs of land recultivation, decommissioning of power plants, and job and health indemnities.
"As of today we don't know how Vattenfall and the Swedish government want to proceed," said Jacobson, "but we do know this is only sustainable if there is a just transition from lignite dependency to renewables energy and economic development in other sectors.