GERMANY Law and Practice Contributed by: Friedrich Gebert, Hannah Düwel, Bernhard Gröhe and Clara Schmidt, ARQIS Partnerschaftsgesellschaft mbB
prepares legal regulations, drafts laws and ordinances as well as transpositions of EU directives into national law and supports all legislative projects from other ministries that affect its areas of responsibility. In addi - tion, it uses financial support instruments, such as programmes financed by tax revenues or emissions trading. These make it possible to support projects for the research, development and market launch of innovative environmental technologies. Another important building block is close co-oper - ation at national and international level. Germany is a federal country where the federal government and federal states’ governments regularly consult with each other, for example, in bodies such as the Con - ference of Environment Ministers or interministerial working groups. At a supranational and international level, the Ministry represents Germany’s interests in the EU and in international organisations such as the UN, the OECD and the WTO. The activities of the Ministry are rounded off by a com - prehensive communication strategy. It informs the public transparently about its activities, provides up- to-date information via the internet and publications and actively promotes the participation of citizens – for example, through events and other participation formats. The aim is to create social acceptance and enable broad participation in environmental and cli - mate policy. Federal Ministry for Economic Affairs and Energy Although no longer primarily responsible for climate policy, the Federal Ministry for Economic Affairs and Energy ( Bundesministerium für Wirtschaft und Ener- gie – BMWE) remains crucial for implementing meas - ures to decarbonise the energy sector, promoting and expanding renewable energy, supporting a green industrial transformation, and designing carbon pric - ing mechanisms. Expert Council on Climate Issues The Expert Council on Climate Issues ( Expertenrat für Klimafragen ), an independent expert body, was estab - lished under the Federal Climate Action Act. It moni - tors Germany’s annual greenhouse gas emissions and evaluates compliance with legally binding sectoral targets. It provides scientific assessments and policy
recommendations to the federal government, thereby enhancing transparency and accountability in climate governance. German Emissions Trading Authority The German Emissions Trading Authority ( Deutsche Emissionshandelsstelle – DEHSt) is a key regulatory authority for carbon markets. It is part of the Federal Environment Agency ( Umweltbundesamt – UBA) and manages both the EU ETS and the national emissions trading system for buildings and transport. It oversees the allocation and verification of emissions allowanc - es, monitors compliance, and ensures the integrity of The UBA is Germany’s central scientific and techni - cal authority on environmental matters. It supports climate policy by producing greenhouse gas inven - tories, conducting research on climate impacts, and evaluating mitigation and adaptation measures. While it has no direct enforcement power, it provides critical data and analysis for decision-making at all levels of government. State-Level Environmental Ministries carbon trading in Germany. Federal Environment Agency Each of Germany’s 16 federal states has its own envi - ronmental ministry which plays a key role in imple - menting national climate policies in sectors such as construction, transport, and land use. The co-ordina - tion between federal and state governments occurs through intergovernmental bodies like the Conference of Environment Ministers ( Umweltministerkonferenz ), contributing to the decentralised nature of Germany’s climate governance. All authorities are, as part of the executive branch, bound by the constitution and all laws. Hence, all authorities are obliged to obey existing national and European climate laws. The constitutional objective to protect the natural foundations of life under the Basic Law applies to all their actions equally. However, due to the fact that climate change affects all economic sectors, it should be addressed in a cross-sectoral way. The centralisation of climate change matters in one ministry may hinder the practical and equal influ - ence on all relevant sectors. A cross-sectoral integra -
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