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The report analyzes European coal transitions, finding that while support measures limited poverty, they often failed to secure new employment for workers. Successes were linked to bottom-up project identification combined with top-down financing, investments in transport and education, and environmental restoration. It suggests China can achieve a more successful just transition by proactively planning based on these European experiences.

The European Commission has opened formal investigations into compensations provided to RWE (EUR 2.6 billion) and LEAG (EUR 1.75 billion) for the closure of lignite plants in Germany by 2038. The Commission preliminarily concludes these payments constitute state aid and expresses doubts regarding their proportionality, specifically whether the calculations for foregone profits and mine rehabilitation costs are realistic or lead to overcompensation. ClientEarth argues that the aid may violate the 'polluter pays principle' regarding mine recultivation and that declining market conditions and rising CO2 prices make the assumed long lifespans of the plants unrealistic.

The document examines the 2018 establishment of Germany's "Coal Commission," which aimed to balance climate goals with a just transition for workers and coal-dependent regions. The commission proposed ending coal-fired power by 2038, supported by an estimated 69 billion to 93 billion euros in measures, including a 40 billion euro investment in affected regions. While praised for its multi-stakeholder approach and clear mandate, the plan faced criticism from NGOs for lacking ambition and providing excessive compensation to power plant operators.

The text examines the forced relocation of villages near the Garzweiler lignite mine in Germany's Rhine Valley. It highlights the emotional and social trauma of residents, the inadequacy of financial compensation for non-material losses, and the perceived failure of the German government to accelerate the energy transition (Energiewende) while protecting local communities. The authors describe the emergence of activist movements like 'Alle Dörfer Bleiben' as a response to the lack of democratic influence and the prioritization of mining interests under the Federal Mining Act.

ClientEarth argues that the German coal phase-out law (KVBG) and its implementing contract provide excessive state aid to lignite operators, specifically LEAG and RWE. The organization claims that the lack of a transparent calculation formula masks overcompensation totaling nearly €2 billion. Furthermore, ClientEarth asserts that using these funds to cover the recultivation of opencast mines violates the polluter pays principle, as such costs are already legal obligations of the mine operators under German mining law.

The document analyzes two primary compensation mechanisms for LEAG's lignite-fired units in Lusatia: Direct Closure Payments and a New Security Reserve. It argues that the EUR 1.75 billion in Direct Closure Payments lack a meaningful incentive effect because the plants would close on a similar or earlier schedule under business-as-usual scenarios, resulting in minimal CO2 reductions. Furthermore, it contends that the New Security Reserve is unlawful as it fails to meet the design and transparency requirements of the EU's 2019 Electricity Market Regulation and creates a perverse incentive for operators to increase generation prior to mothballing to maximize remuneration.

The authors examine the experiences of villagers near the Garzweiler mine in the Rhineland, where lignite extraction continues to displace communities. They argue that the resettlement process is characterized by procedural injustice, as German federal mining law prioritizes resource extraction over residents' interests. The document highlights the failure of the 'joint resettlement' model to address non-material losses, such as the loss of 'Heimat' (homeland) and the erosion of social structures. It further links these local struggles to Germany's broader failure to accelerate its energy transition (Energiewende), noting that the country remains Europe's largest carbon emitter. The text describes the emergence of activist movements like Alle Dörfer Bleiben and Ende Gelände as responses to political inaction and the perceived entanglement between the government and the mining industry.

The report analyzes Germany's coal transition, contrasting the historical phase-out of hard coal with the more abrupt decline of lignite in East Germany. It presents two future scenarios: an NDC-based pathway and a 2C-compatible pathway, the latter requiring a more rapid shutdown of coal capacities, potentially by 2025-2040. The authors argue that while technically and economically feasible, a successful transition requires a combination of strong carbon pricing, national policy instruments like emissions performance standards, and comprehensive structural support for affected mining regions to ensure social justice.

The document examines two distinct coal transitions in Germany: the economically driven, subsidy-supported decline of hard coal in the Ruhr area from 1958 to 2018, and the politically driven reduction of lignite in East Germany following the 1990 reunification. It evaluates the effectiveness of various structural policies, including investment support, retraining programs, and the creation of universities and infrastructure, while highlighting the risks of 'lock-in' caused by powerful industry networks. The study concludes that a 'just transition' requires multi-level governance, stakeholder participation, and a comprehensive approach that addresses not only employment and the energy system but also soft location factors and environmental renaturation.

The document assesses the progress of Germany's Energiewende, noting that while renewable energy shares have grown, coal still provided 42% of power production in 2015. It highlights the economic tension between the 'big four' utilities and decentralized renewables, the social and political challenges of phasing out hard coal and lignite, and the influence of industry unions in blocking a proposed climate levy on power plants in favor of a capacity reserve.