Welcome to the new issue of ‘The Latest from UBA’!
It has now been 20 years since the European Union introduced emissions trading as a key climate policy tool. Since then, greenhouse gas emissions from installations covered by the scheme in both Germany and the EU have been cut by around half. You can read more about this in the current edition of our newsletter. Effective climate action tools must also be designed to ensure that no section of the population is left behind or disproportionately burdened. In this issue, we present our key proposals for a socially just environmental and climate policy. You’ll also find insights into the role of the GreenTech sector in the German economy, the number of heat-related deaths in Germany, and the environmental impact of rat poison.
We hope you find it an interesting read
Your UBA Press and Public Relations team
20 years of EU Emissions Trading: Germany’s emissions almost halved since introduction
Emissions trading creates incentives to invest in reducing greenhouse gas emissions.
Source: Erik Schumann / Fotolia.com
It’s a track record that speaks for itself: since the introduction of the EU Emissions Trading System (EU-ETS 1) 20 years ago, greenhouse gas emissions from installations covered by the scheme in Germany have fallen by around 47 per cent. Across all EU Member States, the average decrease has been even greater, averaging 51 per cent.
EU-ETS 1 covers greenhouse gas emissions from energy-intensive industries, the power sector, intra-European aviation, and, since 2024, also maritime transport. A cap is set each year on total EU-wide greenhouse gas emissions in these sectors. Companies receive a limited number of emissions allowances free of charge – an amount that is gradually reduced over time. However, allowances are generally auctioned. If a company reduces its greenhouse gas emissions, it can sell the allowance surplus to other participants. However, the free allocations are usually not sufficient, and companies must purchase additional allowances from other market participants or via the designated auction platform. This creates a market price for greenhouse gas emissions, providing an incentive to reduce these emissions. In addition, the revenue generated from allowance auctions flows entirely into the German government's Climate and Transformation Fund (KTF). This fund supports a range of programmes to help both businesses and consumers make the transition to a climate-neutral society.
However, to achieve climate neutrality across the EU, emissions must fall in all sectors, not just those covered by the EU ETS 1. The next step: By 2027, an additional EU Emissions Trading System, known as EU-ETS 2, will be phased in. This will cover fuels used for road transport and heating buildings, as well as smaller industrial installations. In Germany, EU-ETS 2 will replace the national emissions trading system (nEHS), which has applied to these sectors since 2021. UBA President Dirk Messner comments: “Since its introduction, emissions trading has gradually developed into the central climate protection instrument in Germany and Europe.” The German Emissions Trading Authority (DEHSt), based at the UBA, is responsible for implementing emissions trading in Germany and provides policy advice on its evaluation and further development.
For the first time, Germany is cancelling certificates from the European Emissions Trading System to secure the climate effect of the statutory coal phase-out. In total, certificates corresponding to 514,000 tonnes of CO₂ will be withdrawn from the market. This measure is the result of the shutdown of the Neurath A and Frechen power plant units in 2022, as stipulated by the Coal Phase-Out Act.
According to the latest analyses by the UBA, electricity generation from renewable energies in the first half of 2025 was about five percent below the level of the corresponding period of the previous year. The main reason was exceptionally low wind conditions. Despite these unfavourable conditions, the share of renewables in gross electricity consumption were maintained at 54 percent.
Climate change can have not only devastating physical consequences for people and the environment, but can also have a significant impact on the human psyche. For example, extreme weather events can trigger post-traumatic stress disorders, while concern over our livelihoods can lead to anxiety about the future and depression.
Whether geopolitical polycrisis, progressive social fragmentation, changes in public communication and debates, increasing criticism of transformational governance, but also positive glimmers of hope such as the emergence of new governance approaches that are becoming increasingly digital, polycentric and transformative: the trend study analyses these five trends that could complicate or improve…
Key Trends and Their Implications for Climate Policy
The study analyses which key trends in the economy and society influence the material foundations of prosperity in Germany. It also shows how the key trends represent both opportunities and risks for climate protection. Among other things, it focuses on the growing climate impact costs for private households, the increasing pressure to invest in the expansion of resilient infrastructure and the…
National Inventory Report for the German Greenhouse Gas Inventory 1990-2023
As a Party to the United Nations Framework on Climate Change (UNFCCC), since 1994 Germany has been obliged to prepare, publish and regularly update national emission inventories of greenhouse gases. Pursuant to Decision 24/CP.19, all Parties listed in ANNEX I of the UNFCCCare required to prepare and submit annual National Inventory Reports (NID) containing detailed and complete information on…
Ad-hoc paper as part of the research project FKZ 3722 42 510 0
This paper examines the integration of "Blue Carbon Ecosystems" (BCEs) such as mangroves and salt marshes into Nationally Determined Contributions (NDCs) and National Inventory Reports (NIRs). While developing countries are increasingly including BCEs in their NDCs, reporting in NIRs remains insufficient. Only seven countries account for BCE, with mangroves being the most commonly included…
Study to survey the state of knowledge and technology on the application of advanced materials in the various technologies for the production and storage of renewable energies
The report describes the state of knowledge and technology on current and future applications of advanced materials in the various technologies to support the energy transition. Based on a literature review, a systematic overview of applications of advanced materials for the generation, saving, storage and transportation of renewable energies and energy sources is presented. In addition, based on…
To mark National Heat Action Day, the German Environment Agency (UBA) has published a study on heat-related mortality in Germany. For over four years, researchers from the UBA and the Robert Koch Institute (RKI) have worked to refine the calculation of heat-related deaths in Germany. It was found that around 3,000 heat-related deaths in Germany occurred in both summer 2023 and 2024.
In 1985, the first German Environmental Survey on Health (GerES) was launched. Since then, this series of surveys has been investigating the exposure of the German population to pollutants. The data are used to inform the public. It also provides an important scientific basis for policy decisions on environment, health, and chemicals. Here’s a timeline of the survey's major milestones.
A large number of fish in German rivers are contaminated with rat poison residues. For the first time, an extensive laboratory study commissioned by the German Environment Agency has investigated the effects of rodenticides on fish health. The result: Even at the concentrations measured in the livers of wild fish, severe symptoms such as blood clotting disorders, bleeding and anaemia occurred.
A new portal on the strategic approach “Safe and Sustainable by Design” (SSbD) is online as part of the EU partnership PARC. It was created by a group of PARC partners jointly led by the Dutch National Institute for Public Health and the Environment and the German Environment Agency (UBA) and bundles information, tools and teaching materials as well as invites to exchange knowledge.
Monitoring of samples from the German Environmental Specimen Bank
Per- and polyfluoroalkyl substances (PFAS) are one of the predominant groups of organic contaminants in the environment and in biota. Their persistence, along with their widespread use, has led to both diffuse contamination of the environment and a very large number of locally highly contaminated hot spots. In this project, a comprehensive dataset on PFAS contamination of food webs in Germany was…
Chain-of-custody approaches, administrative requirements and their impact
Aviation contributes approximately 2.5% of global CO2 emissions. When non-CO2 effects are taken into account, its overall climate impact is even higher. To mitigate these emissions, the use of sustainable aviation fuels (SAF) is crucial. SAF, produced from sustainable feedstocks, can significantly reduce life-cycle emissions compared to fossil kerosene. Despite policies promoting SAF uptake, their…
The German GreenTech sector is growing significantly faster than traditional industrial sectors, is strongly integrated into global trade, and is a driver of innovation in many areas.
According to the approval under state aid law of the Carbon Leakage Ordinance of the Fuel Emission Trading Act (BECV) by the European Commission (State Aid SA.63191 (2023/N)), a comprehensive evaluation of the regulation is required by 2028. The aim of this evaluation is to examine the effectiveness of the BECV in terms of avoiding carbon leakage while maintaining competitiveness, promoting…
Anyone looking to escape the summer heat can do so in one of Germany’s many (almost) pristine bathing waters. According to the German Environment Agency (UBA), bathing water quality in Germany remained consistently high in 2024 – just as in previous years.
Around 60 percent of all biodiversity on Earth is found in the soil. Soil organisms ensure fertile soil and clean drinking water, build up humus and break down pollutants. And yet, there is often a lack of information on the actual condition of soil organisms in Germany.
Urease and nitrification inhibitors are chemicals used in agriculture to increase plant nitrogen utilization of fertilizers and thereby reduce ammonia, nitrate and nitrous oxide emissions. But their application comes with environmental and health risks. The German Environment Agency (UBA) therefore recommends improved regulation of these substances.
Analysis of sustainable potentials in selected countries
Climate change is a major threat to ecosystems and livelihoods, requiring urgent cuts in greenhouse gas emissions. Food systems, including crop and livestock production, contribute significantly to global emissions. Monocultures and intense farming worsen biodiversity loss, pollution, and water stress. Transitioning to plant-based diets and adopting better farming practices is essential to meet…
Climate Change
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Sustainability / Strategies / International matters
Factoring in the environmental costs of fossil fuels—such as through CO₂ pricing—drives up the cost of petrol, oil and gas. A new study commissioned by the German Environment Agency (UBA) explores how climate and environmental protection policy can be both ambitious and socially fair. Fair burden-sharing is a key pillar of socially just environmental policy.
The European Union is at a cross-road with the chance to set our path towards a sustainable and just future for all Europeans. Cohesion Policy aims for social, economic and territorial cohesion in the European Union and is a core EU policy to bring the European Union to its citizens, increase their quality of life, while driving simultaneously the green transition. The alignment of the Cohesion…
The study on environmental awareness in 2024 shows that protecting the environment and climate continues to be a high priority for the majority of people in Germany. However, the importance of this issue has decreased since 2022. Many consider the situation in the health and education sectors and economic development, for example, to be more urgent
With regard to the consequences of climate change…
An assessment of drivers and barriers to the localization of data center operations and investments with respect to carbon pricing policies
This study offers a comprehensive first assessment of the global carbon leakage potential associated with AI-driven data center operation and investment. The focus is on carbon leakage from costs imposed by emission trading systems (ETS) on data center electricity consumption. The study estimates AI’s current and near-future electricity consumption and evaluates the technological feasibility as…
