Germany proposes green gas quotas for private households

The German Federal Ministry for Economic Affairs has outlined a plan to implement green gas and green heating oil quotas under the Building Modernization Act. According to a position paper, these quotas will apply exclusively to fuels supplied to private households, exempting industry, commerce, transport, and district heating sectors.

The proposed schedule sets a 1% quota for 2028, increasing to 5% by 2030, 20% by 2035, and 50% by 2040, with a target of 100% by 2045. The ministry noted that the timeline could be adjusted if market developments require it. To maintain flexibility, companies may carry over over-fulfillment to subsequent years or trade excess quotas, while under-fulfillment will require payments.

The plan has faced criticism from municipal representatives. Ingbert Liebing, managing director of the Association of Municipal Utilities, highlighted concerns regarding supply shortages and competition from other sectors. He called for a clear biomethane strategy to ensure that green gases can be provided at affordable prices through increased domestic production or imports.