Although lignite is not subsidised, the new energy law permits refusal of access to the grid in the new L nder to protect investments in lignite-fired power plants until 2003. As a result, investments in newly privatised lignite mines are also protected. The IEA welcomes the reduction of coal subsidies and recommends their full elimination. Active steps to promote interfuel competition, including lignite, should be taken. Germany has a large nuclear power programme and related industrial infrastructure.
Nuclear power is an important element in the German energy mix.
It will help achieve the country's ambitious greenhouse gas reduction targets. German nuclear plants are run efficiently, achieving very high load factors and very good safety records. The IEA recommends establishing a stable and transparent framework for the smooth operation of nuclear power plants and for all activities related to the management and final disposal of spent fuel and vitrified high-level waste. As a result, electricity production from renewables, in particular from wind, is growing fast. The EFL does not affect electricity companies uniformly, since most of the wind generators are located in the north.