Germany’s 2023 CO2 emissions fall to lowest in 70 years but drop not yet sustainable- study
BERLIN, Jan 4 – Germany’s carbon dioxide emissions in 2023 fell to their lowest since the 1950s due to a reduction in coal-fired power and decreased output by energy-intensive industries, according to a study released on Thursday. However, the decline is not sustainable without changes in climate policy.
Germany’s goal is to reduce greenhouse emissions by 65% by 2030 compared to 1990 levels, with the aim of becoming carbon neutral by 2045.
A study by the Berlin-based Agora Energiewende think tank showed that CO2 emissions in Europe’s largest economy dropped to 673 million tonnes last year, the lowest level since the 1950s. This represents a 46% decrease compared to 1990 and surpasses the government’s 2023 climate goal of 722 million tonnes.
The decline in CO2 emissions can be attributed to an increase in domestic renewable energy production, which now accounts for over 50% of the energy mix. Additionally, a rise in imported electricity contributed to the reduction in coal-fired electricity production, which reached its lowest level since the 1960s, resulting in 44 million tonnes of CO2 savings.
Germany has plans to phase out coal by 2038, but Economy Minister Robert Habeck has advocated for an earlier exit by 2030. However, this proposal has faced resistance from the eastern brown coal belt, where coal mining plays a significant economic role.
While emissions from the energy-intensive industry met government targets by falling 12% year-on-year to 144 million tonnes, there is concern that the sector’s recovery this year could lead to a reversal of this progress. Energy-intensive manufacturers scaled down production last year due to rising gas prices in Europe following a shift from Russian piped gas supply to liquefied natural gas imports in the aftermath of Moscow’s invasion of Ukraine.
The transport and buildings sectors, which have consistently fallen short of government emissions targets in recent years, also missed their 2023 goals. In the buildings sector, heating remains the main contributor to CO2 emissions, with 109 million tonnes emitted last year, a 2.7% decrease from the previous year but above the target of 101 million tonnes.
The transport sector saw a 2% decrease in CO2 emissions from 2022 to 145 million tonnes, failing to meet the goal of 133 million tonnes. The study also highlighted that electric cars’ market share stagnated at 20%, suggesting the need for tax subsidies reforms and an expansion of public transport to reach the target.
To meet the 2030 CO2 targets, the study emphasized the need for government financing. However, last year’s constitutional court ruling that cancelled approximately €60 billion of unused debt earmarked for climate projects has tightened the availability of such funds. Agora Energiewende’s think tank director, Simon Mueller, stressed the importance of a well-thought-out mix of instruments to maximize climate protection while making the most of limited financial resources.
To ensure progress in reducing CO2 emissions and meeting climate goals, the study highlighted the urgent implementation of a bill introduced last year to encourage green energy and communal heating in the buildings sector.
In conclusion, while Germany’s 2023 CO2 emissions have reached their lowest level since the 1950s, further action is necessary to make this decline sustainable. The country must continue to prioritize renewable energy, phase out coal, and address emissions from the transport and buildings sectors. Additionally, careful consideration of climate policy changes and access to government financing are vital to achieving long-term climate goals.
