By Max Bernhard 
 

The German government has decided that utilities RWE AG (RWE.XE) and Vattenfall Group (VTF.YY) will receive compensation for lost income over the early closure of the country's nuclear power facilities, the environment ministry said Wednesday.

The companies will receive compensation in the upper three-digit million euro range, according to a draft law passed by the government cabinet on Wednesday. A spokeswoman for the ministry stressed that the precise sum depends on a number of factors.

After the Fukushima nuclear catastrophe in 2011, the German parliament decided to phase out nuclear power by the end of 2022, speeding up plans for a shutdown. Companies complained that the decision hurt them due to investments and existing business plans.

Germany's highest court confirmed in 2016 that the accelerated phase-out of nuclear power was essentially in accordance with the constitution, but asked for some amendments to the compensation utility companies would receive.

"The draft law passed today ensures that the accelerated phase-out of nuclear power initiated in 2011 will be continued consistently and in accordance with the provisions of the constitution," said Federal Environment Minister Svenja Schulze.

Write to Max Bernhard at Max.Bernhard@dowjones.com; @mxbernhard

(END) Dow Jones Newswires

May 23, 2018 09:54 ET (13:54 GMT)