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CLIMATE CRISIS

Germany angers EU after putting brakes on fossil fuel car ban

Berlin has upset EU partners by blocking a milestone agreement to ban new sales of fossil fuel cars from 2035, as German domestic politics take the bloc hostage.

Exhaust pipes of a Volkswagen, photographed with the brand skyscraper at the VW plant in Wolfsburg.
Exhaust pipes of a Volkswagen, photographed with the brand skyscraper at the VW plant in Wolfsburg. Photo: picture alliance/dpa | Julian Stratenschulte

The planned ban is key to Brussels’ push to make the bloc climate-neutral by 2050, with net-zero greenhouse gas emissions. Now, the German chancellor’s scramble to keep his coalition together has enraged many in the EU, since the deal had already passed through each stage of the Brussels legislative process — including approval by member states.

The bloc was due to formally nod it into law on Tuesday but, in an unprecedented manoeuvre, Berlin now says it can not give its agreement.

The European Parliament has already voted to formally approve the text of the bill, which will de facto mean that all new cars sold after 2035 will have to have electric motors.

This means the text can no longer be altered, despite Germany now insisting on further assurances from Brussels that synthetic fuels could still be used in engines after 2035.

The fuel Germany wants an exemption for is still under development and produced using low-carbon electricity. Some of the world’s biggest car manufacturers are based in Germany and synthetic fuels would make it possible to extend the use of combustion engines.

Faced with the unexpected roadblock, the European Commission, the EU’s executive arm, said it would “work constructively” with Berlin to get the bill adopted “quickly”.

The commission did not say, however, exactly what commitment it could give, since the text already paves the way for the use of synthetic fuels if they are deemed to help achieve the aim of zero carbon emissions.

German ‘navel-gazing’

French MEP Pascal Canfin, who oversaw the bill’s passage though scrutiny in parliament, slammed Berlin’s “blackmail”.

He warned that if other member states follow suit on issues important for their domestic agenda it could threaten other texts that form part of the EU’s Green Deal, an ambitious push to achieve carbon neutrality by 2050.

READ ALSO: OPINION: The Franco-German ‘couple’ is crucial to the EU but the relationship is in trouble

“The very spirit of European construction is in danger through this incoherent position,” he told AFP.

Separately an EU diplomat, speaking on condition of anonymity, said Germany was exploiting its outsize influence in Brussels. “Only a large EU country can afford to act in such a way,” he said.

Germany is not alone in its concerns. Italy, another major car maker, already said it was opposed, and Poland and Bulgaria had been expected not to vote in favour.

Unlike Germany, however, their opposition was clear from the start, and their opposition was not enough to block the bill’s passage through the Brussels committees.

“Germany is going back on months of negotiations … this is a challenge to the EU’s decision-making process that we rarely see,” said Eric Maurice, of the Robert Schuman Foundation, a European think tank. Maurice said the situation arose from the German government’s “navel-gazing” and the dysfunction on display in the coalition of the Social Democrats, the Greens and the Liberals.

The situation hurts other countries and the EU’s “proper” functioning, he added.

Chancellor bowed to pressure

Behind the block is Germany’s liberal Free Democratic Party (FDP), which is courting votes among the large part of the German population that it suspects opposes the ban on combustion engines.

The FDP wants to assert itself against the Greens by acting as the automobile sector’s defender.

In a bid to keep the coalition together, Chancellor Olaf Scholz bowed to pressure and pushed for the exemption for synthetic fuels.

Environmental groups oppose such fuels and argue they are expensive, require huge amounts of electricity to produce and are polluting since they emit nitrogen oxide, another greenhouse gas.

READ ALSO: How climate change could cost Germany almost one trillion euros by 2050

The automobile industry had largely expected European regulations and invested massively in electric vehicles.

Even if they prove to be helpful in the green transition, synthetic fuels “will not play an important role in the medium-term future of passenger cars”, Markus Duesmann, the boss of Audi, said in the weekly Der Spiegel.

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CLIMATE CRISIS

How installing solar panels at home is set to become easier in Germany

As part of its drive to roll out renewable energy, Germany has passed a new law that will make it easier to install solar panels on your balcony. Here's what homeowners and renters need to know.

How installing solar panels at home is set to become easier in Germany

With rising prices affecting almost every area of life, many people are looking for ways to cut costs wherever they can. 

When it comes to electricity, this could include looking at renewable options like installing solar panels on your balcony.

According to data from the Federal Network Agency’s Market Data Register, this is an increasingly popular choice. As of April 2nd this year, there were around 400,000 balcony solar units in operation in Germany, compared to just 230,000 in the summer of last year.

These little photovoltaic systems can be a great way to become more self-sufficient by producing your own energy for the home – but despite the benefits, you may have been put off by fears of mountains of paperwork and an uncertainty around the rules.

READ ALSO: How to install a solar panel on your balcony in Germany (even if you rent)

The government’s new Solar Energy Package, passed on Friday, aims to solve this issue by making it simpler for people in apartments or single-family homes to install solar panels and use their own energy.

It’s part of a major drive to roll out renewable energy in Germany, pushing up photovoltaic capacity from 7.5 gigawatts in 2022 to 22 gigawatts in 2026 and ultimately 215 gigawatts by 2030. 

But what exactly is changing for homeowners and renters? Here’s what we know so far.

Streamlined registration process

Rather than having to register with your local network operator when installing solar panels on your balcony, in future simply registering with the Federal Network Agency’s Market Data Register will suffice. This streamlined process has been in place since April 1st, 2024. 

Increased capacity allowance

Solar devices installed in the home are allowed to be more powerful in future. If your future device has an installed output of up to 2 kilowatts and an inverter output of up to 800 volt-amperes in total, you can register it quickly in a simple and unbureaucratic registration process.

Previously, devices were only allowed an inverter output of up to 600 volt-amperes. 

No barriers on meters

In a transitional measure designed to encourage more people to switch to solar energy, balcony installations can be run through any type of meter on the market.

Solar panels on a German balcony

Solar panels on a balcony in Germany. The government is making it easier for people to produce – and use – their own solar energy. Photo: picture alliance/dpa/iStock.comMaryanaSerdynska | Maryana Serdynska

This includes meters without a backstop, which run backwards when more energy is produced than is used. These, alongside normal one-way meters with a backdrop, will be permitted for a limited time until modern digital meters can be installed. 

Under previous rules, both older types of meter were prohibited. 

Simpler energy storage

In future, balcony solar systems will be able to store energy with a conventional shockproof plug. This will make installation way easier than it was before.

READ ALSO: German government to subsidise up to €30,000 of heating revamp costs

Easier operation of multi-unit buildings

To enable tenants in apartment blocks to use cheaper solar power from roofs, garages or battery storage systems directly, the new instrument of “communal building supply” is being introduced. This eliminates the complicated requirement to feed energy into the general electricity grid and permits residents to use the energy generated themselves.

In future, tenants will also be able to take out an affordable supplementary tariff themselves for electricity that is not covered by their solar installation. Some rules on this still need to be clarified though, so watch this space. 

Tenant subsidies in commercial buildings

In future, tenant electricity will also be subsidised for commercial buildings and ancillary facilities such as garages if the electricity generated there is consumed immediately, i.e. without being fed through the grid.

This allows several energy systems to be combined and should avoid the overwhelming technical barriers that were previously a problem in residential neighbourhoods. 

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