Berlin (AFP) - German Chancellor Angela Merkel faces a new headache after her search for a coalition partner turned into a one-horse race Wednesday, forcing her to haggle with the emboldened Social Democrats.
The Greens politely bowed out of further talks with Merkel's conservatives overnight, citing irreconcilable differences, leaving the Social Democrats (SPD) as Merkel's only potential partner, which will allow them to drive a harder bargain.
In fact, analysts say, SPD leaders will have to extract a high price on policy issues and ministerial posts to convince their sceptical rank-and-file members that the party should govern jointly with Merkel in a left-right 'grand coalition'.
"The collapse of the conservative-Greens talks has strengthened the SPD's negotiating position," said political scientist Nils Diederich of Berlin's Free University.
"But they are under massive pressure from their base to win concessions in different areas," he said, mentioning their demand for a national minimum wage, changes to European policy and more help for political refugees.
In September 22 elections, Merkel's conservative Christian Democratic Union (CDU) and their Bavarian allies the CSU scored a decisive victory.
However, their ballot box triumph was soured by the fact that they fell just five seats short of a ruling majority after their previous junior partners, the pro-business Free Democrats (FDP), crashed out of parliament.
This has forced Merkel into a lengthy process of political horse-trading with potential allies that could drag on for many weeks.
The CDU/CSU has held two rounds of preliminary talks with each party and is set to meet the SPD again Thursday at 1100 GMT.
The SPD leaders, despite their disappointing election score, will likely now enter the talks with added swagger, hoping to extract key concessions if they enable Merkel to serve a third term.
The SPD, in a campaign fought on social justice issues, demanded a national minimum wage to help the working poor, greater "solidarity" with crisis-hit southern Europe, dual nationality for children of migrants and a cap on rental increases, while pledging to tax the rich more to pay for public spending.
For the popular chancellor, the only other options would be trying to rule in an unstable minority government or to call fresh elections.
A poll this week by Bild newspaper painted a less-than-rosy scenario for Merkel should German voters again be forced to the polls.
While the CDU again scored 42 percent, the survey suggested the FDP would again miss out on seats, while new eurosceptic party the AfD would make it into parliament, further confusing the political picture.
'Further intensive discussions'
SPD chief Andrea Nahles said she expects "further intensive discussions over policy positions" on Thursday after the campaign-trail rivals held an eight-hour marathon session deep into Monday night.
Thursday's talks should be shorter as Merkel is set to receive at 1700 GMT the EU president Herman Van Rompuy.
Merkel's team has said it hopes to announce this week whether it will take the next step, from "exploratory" to full-scale coalition talks with the SPD.
The Social Democrats, for their part, would seek to get their senior delegates to sign off on such a move at a party meeting Sunday.
The SPD has promised to let its 470,000 members vote on any coalition contract that their leaders propose -- with a 'yes' vote by no means a foregone conclusion given the mood in the party.
Having suffered two election defeats in a row, many members of the 150-year-old party believe the SPD should not humiliate itself by again jumping into bed with the CDU and governing in Merkel's shadow as they last did 2005-09.
In the end, though, most Germans expect another grand coalition, though few really want it. The Bild poll said that such an outcome is expected by 62 percent of Germans, but that only 32 percent favour such a left-right government.
Should the talks between the SPD and conservatives also end in tears, the Greens and Merkel's team have made sure not to slam the door shut.
Greens leader Cem Ozdemir refused to entirely rule out further negotiations with the conservatives in coming weeks, saying that, should the SPD bow out too, "it would be conceivable that we talk once again".
Source: http://news.yahoo.com/merkel-faces-tough-coalition-poker-greens-pull-171705221.html
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