BERLIN—Germany will restart coal-fired power plants and offer incentives for companies to curb natural gas consumption, marking a new step in the economic war between Europe and Russia. Berlin unveiled the measures Sunday after Russia cut gas supplies to Europe last week as it punched back against European sanctions and military support for Ukraine.
The steps, part of a broader strategy initiated after the invasion of Ukraine, aim to reduce gas consumption and divert gas deliveries to storage facilities to ensure that the country has enough reserves to get through the winter. Russia’s gradual cutting of gas supplies has raised the specter of a potential fuel shortage if Europe goes into winter with less-than-full stowages. It has also raised prices, putting additional pressure on economies that are already struggling with high inflation and rising borrowing costs and face the prospect of a recession. An expanded version of this story is available at WSJ.com