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ENERGY

Germany’s Scholz in Saudi Arabia on Gulf energy hunt

German Chancellor Olaf Scholz arrived Saturday in Saudi Arabia at the start of a two-day Gulf tour, in the hope of sealing new energy deals with the fossil fuel exporters.

Published: 24 September 2022 18:09 CEST
German Chancellor Olaf Scholz
German Chancellor Olaf Scholz pictured at the entrance of the Chancellery in Berlin on September 23, 2022. Photo: Tobias SCHWARZ / AFP

Scholz, accompanied by a sizeable industry delegation, was received at Jeddah airport on the Red Sea coast by Mecca region’s governor Prince Khalid bin Faisal Al Saud.

Afterwards, he went into a meeting with Saudi Arabia’s de facto ruler Crown Prince Mohammed bin Salman.

He is also scheduled to meet a group of Saudi women, before heading to the United Arab Emirates on Saturday evening and then to Qatar on Sunday.

The chancellor hopes to agree new energy partnerships with the oil- and gas-rich Gulf states, with the loss of supplies from Russia in the wake of its invasion of Ukraine.

Scholz however is faced with a diplomatic balancing act, as he will have to navigate significant differences with his hosts over human rights.

Scholz’s meeting with the Saudi crown prince is seen as particularly sensitive.

Until recently, Prince Mohammed was regarded as a pariah in the West due to the murder of Washington Post journalist Jamal Khashoggi in 2018.

The German government strongly condemned the journalist’s murder and would not be “editing” its position, government sources indicated ahead of the tour.

Saudi Arabia’s importance as a fossil fuels exporter and regional power meant a “solid working relationship” was needed with the crown prince, a government source explained.

The 37-year-old Prince Mohammed was likely to steer the country through “the next 10, 20 or 30 years”, he added.

Berlin wants to extend cooperation on new technologies such as green hydrogen produced using renewable energy, which Germany could import in vast quantities from the Gulf states, said government sources.

The chancellor would also seek to strengthen political cooperation with the regional powers, courted on the other side by Russia and China.

“We have to work with Saudi Arabia if we want to sort out, for example, the question of the war in Yemen or tackle the Iranian question,” the government source said.

On Sunday morning, Scholz will meet with UAE’s President Sheikh Mohamed bin Zayed Al-Nahyan.

Later that day, the chancellor will travel to gas-rich Qatar to hold talks with Emir Sheikh Tamim bin Hamad Al-Thani.

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POLITICS

Germany’s Scholz rejects calls for later retirement in Labour Day message

German Chancellor Olaf Scholz (SPD) has rejected calls for later retirement in a video message for Labour Day published on Wednesday.

Published: 1 May 2024 08:12 CEST
Germany's Scholz rejects calls for later retirement in Labour Day message

“For me, it is a question of decency not to deny those who have worked for a long time the retirement they deserve,” said Scholz.

Employees in Germany worked more hours in 2023 than ever before: “That’s why it annoys me when some people talk disparagingly about ‘Germany’s theme park’ – or when people call for raising the retirement age,” he said.

Scholz also warned of creating uncertainty due to new debates about the retirement age. “Younger people who are just starting out in their working lives also have the right to know how long they have to work,” he said.

Scholz did not explicitly say who the criticism was targeted at, but at its party conference last weekend, the coalition partner FDP called for the abolition of pensions at 63 for those with long-term insurance, angering its government partners SPD and the Greens.

Scholz saw the introduction of the minimum wage nine years ago – and its increase to twelve euros per hour by his government – as a “great success”. “The proportion of poorly paid jobs in our country has shrunk as a result,” he said.

READ ALSO: EXPLAINED: Is it worthwhile to set up a private pension plan in Germany?

However, he said there were still too many people “who work hard for too little money,” highlighting the additional support available through housing benefit, child allowance and the reduction of social security contributions for low earners.

“Good collective wage agreements also ensure that many employees finally have more money in their pockets again,” he added. 

And he said that the country wouldn’t “run out of work” in the coming years.

“On the contrary! We need more workers,” he said, explaining that that’s why his government is ensuring “that those who fled to us from Russia’s war in Ukraine get work more quickly.”

Work means “more than making money,” said Scholz. “Work also means: belonging, having colleagues, experiencing recognition and appreciation.”

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