Emissions in Germany: Record decline thanks to emissions trading!

Emissions in Germany: Record decline thanks to emissions trading!

European emissions trading, which was launched 20 years ago, has proven to be a real game-changer in the fight against climate change. Loud World The amount of climate-damaging emissions has fallen by an impressive 51 percent since its introduction. In Germany the decline is as high as 47 percent, which is a positive development despite the difficulties brought about by the financial crisis in the late 2000s.

Last year, emissions as part of the EU emissions trading (EU-ETS 1) fell by 5.5 percent. The decline was particularly significant in the energy sector, where emissions fell by 10 percent. In contrast, there was a slight increase of 1 percent in industry, reflecting the current challenges and developments in these sectors.

Progress in climate protection

According to Dirk Messner, President of the Federal Environment Agency (UBA), another step in the right direction is the decline in emissions in the energy sector, which is largely due to the phase-out of coal-fired power generation and the expansion of renewable energies. Emissions trading has also played an important role in this process. In the industrial sector, emissions have fallen due to declining production development as a result of the Russian war of aggression in Ukraine, which at the same time illustrates the need for a transformation strategy to balance climate protection and competitiveness, said Messner in an article by UBA.

In 2023, the energy sector reached its lowest level since 2005 with a record-breaking decline of 22 percent to just 188 million tons of CO2 equivalents. The emissions-intensive industry has also reduced its footprint: emissions fell by 10 percent to 101 million tons, which is the lowest level since 2013.

• Rückgang der Braunkohleverstromung um 25%
• Rückgang der Steinkohleverstromung um 36%
• Rückgang der Emissionen in der Nichteisenmetallindustrie um 19%
• Rückgang der mineralverarbeitenden Industrie um 18%
• Emissionsveränderungen in der chemischen Industrie, Raffinerien, Zement- und Papierindustrie zwischen 9 und 17%.

What's next?

The future of European emissions trading envisages a further reduction in the free allocation of emissions for industrial sectors. A crucial part of this plan is the planned “Carbon Border Adjustment Mechanism (CBAM)”, which is intended to align the CO2 emissions of imported goods with the EU’s high standards. These measures are necessary to achieve the goals for a climate-neutral Europe, as Daniel Klingenfeld, head of department at UBA, emphasizes.

The global efforts under the EU ETS are already evident, as total emissions in the EU have fallen by around 48 percent since 2005. But the road is still long and the pressure, especially in view of the current geopolitical challenges, remains high. A report from Statista According to the study, emissions from the energy and industrial sectors are subject to constant fluctuations between 2019 and 2023, indicating the need for a sustainable and stable strategy.

In summary, it can be said that European emissions trading is on a promising path, but many challenges and adjustments are still necessary in the industry in order to achieve the ambitious climate goals. The developments of the next few years will be crucial for continued success in the fight against climate change.