Germany’s environment minister Schulze reiterates call for carbon price

German environment minister Svenja Schulze has renewed her call for a price on CO2 emissions, arguing it would be one of the most efficient ways to reduce the transport and buildings sectors’ carbon footprint, Nora Marie Zaremba writes in the Tagesspiegel newspaper. At the Global Solutions Summit in Berlin, Schulze said a carbon price in Germany would bring the country in line with a growing number of states which consider similar pricing schemes to comply with emissions reduction targets, arguing that "international coordination on CO2 pricing can bring us economic, ecological and political advantages” and can help avoid a scenario where emissions saved in one country subsequently occur in another. The minister said a carbon price would not be meant to generate additional income for the state as the earnings generated would ultimately be returned to the public.

A carbon price in Germany has been hailed by many research institutions as well as by the private sector as a much-needed addition to the country’s climate policy. However, opposition to the idea has been strong, not least because of fears over a public backlash if fuel and heating oil prices rise as a result. According to an expert panel advising the German government, a price on CO2 emissions would not only bring down emissions but also boost innovative technologies and business models that are key for the success of the energy transition.