Germany's Political Parties Push for Green Gas Quota Ahead of 2025 Election
Key Ideas
- German political parties, including SPD and CDU, are increasingly considering a green gas quota as an attractive policy option to promote the energy transition.
- The proposed policy mandates gas suppliers to include a proportion of carbon-free or low-carbon gas, gradually increasing towards 2045 to support the hydrogen economy.
- Industry members support the proposal for providing planning security and meeting climate goals, while also enabling competition between hydrogen and biogas.
- The green gas quota is viewed as a valuable instrument for market ramp-up of new gases, with calls for further flexibility in compliance methods.
Germany's political landscape is seeing a shift towards supporting a national green gas sales quota ahead of the 2025 general election. While the German government has not yet proposed such a quota, the SPD and CDU are showing increasing interest in this policy option. The proposal, put forward by SPD's energy spokesperson Bengt Bergt, aims to mandate gas suppliers to include a certain proportion of carbon-free or low-carbon gas in their portfolios. This approach differs from other countries' green gas blending models and is designed to facilitate the ramp-up of the hydrogen economy. The policy envisions using renewable gases in German gas grids by 2045, with penalties for non-compliance. Industry members have welcomed the proposal for providing long-term planning security and supporting the demand for hydrogen in Germany. They also highlight the importance of allowing price-driven competition between hydrogen and biogas for cost-effective decarbonization. While some concerns have been raised about policy complexity, the green gas quota is seen as a valuable tool for market development. Overall, the proposal is seen as a positive step towards achieving climate goals, ensuring energy security, and fostering a competitive gas industry in Germany.
Topics
Utilities
Energy Transition
Green Energy
Climate Goals
Gas Industry
Economic Policy
Regulatory Framework
Political Parties
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