Germany achieved a record $19 billion (€18.5 billion) in carbon emissions trading revenue in 2024, which corresponds to an increase of approximately $103 million compared to 2023, the German Emissions Trading Authority (DEHSt) has reported.
Of the total, $13.4 billion came from national emissions trading, a 21% rise driven by higher carbon pricing for heating and transport fuels.
Nationally, the carbon dioxide (CO2) price increased from $46.3 to $56.6 (from €45 to €55) per ton at the start of the year, impacting petrol, diesel, heating oil, and natural gas.
The revenue supports Germany’s Climate and Transformation Fund, which finances initiatives like building refurbishments, electric vehicle infrastructure, and industrial decarbonization.
However, with $5.7 billion in 2024, the European emissions trading segment saw a 28% year-on-year decline due to reduced demand from coal power operators and mixed economic conditions across the EU.
The average price for European emission allowances fell from $86.5 to $66.9 (from €84 to €65) per ton.
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DEHSt head Daniel Klingenfeld called 2024 a strong year, with further efforts needed in the future.
“2024 was a good year for emissions trading, but there is still a lot to do,” Klingenfeld told German press agency dpa on Tuesday.
Similarly, Dirk Messner, President of the German Environment Agency (UBA), stressed the importance of using carbon pricing strategically to complement social and economic policies.
“In order to ensure compensation for private households, even if CO2 prices continue to rise, we now need a climate bonus in combination with support programs for particularly vulnerable population groups,” Messner was quoted as saying by dpa.
European emissions trading also saw progress in reducing allocated allowances, aligning with its goal of gradually limiting emissions.
Power plants, industrial firms, airlines, and shipping companies remain key participants in this system.
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