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Germany Puts EU Certificate Purchase Line Into Climate Fund, Prompting Backlash

The finance ministry describes the move as an unfunded accounting change.

Overview

  • A government budget draft relocates the item for buying EU emissions allocations into the Klima- und Transformationsfonds and lists it at €0.
  • The finance ministry says the line was moved from the core budget and any future purchases would be decided in annual budget talks, with no money earmarked now.
  • EU burden‑sharing rules require countries that miss sector targets to buy allocations from others that overachieve.
  • Germany is projected to fall short by about 224 million tonnes of CO2 by 2030, implying roughly €22 billion in potential purchases at €100 per tonne, according to experts.
  • CDU and SPD climate spokesmen criticize using the fund for potential penalties and argue the money is needed for domestic measures such as solar, heat pumps and public transport.