The German government has earmarked more than €57bn for green investment over the course of 2024.
According to Reuters, the money will be distributed through the Climate and Transformation Fund and includes €18.9bn in subsidies in renovations and new construction. The entire amount is up more than 60% from its 2023 target, noted the German Federal Ministry of Finance.
Another report, this time in the German edition of The Local, said: “The climate and transformation fund will amount to €211.8bn between 2024 and 2027. Earlier, the government had planned €177.5bn for the period 2023-2026, the economy ministry said.”
The fund will also contain renewable energy subsidies of around €12.6bn, with another €4.7bn earmarked towards e-mobility charging infrastructure. The government has also said it intends to develop its production capability for raw materials and IT tech, including solar power, with a further €4.1bn of subsidies in 2024.
Net zero target
The fund will be partly financed from increasing national CO2 pricing and European emissions trading expected revenue of €10.93bn and €8.19bn respectively. Deutsche Welle noted the increased financing is part of the German state’s intention to hit net zero by 2045.
This time last year, Expert Investor highlighted how climate change was already beginning to impact Germany. Back then, higher temperatures and little rainfall had led to a crucial waypoint in the Rhine becoming jammed as water levels fell too low. In the same week, a huge fire shut down the Grunewald, one of Berlin’s main green spaces. Complicating that matter was that the local government had put a munitions dump within the middle of a very burnable forest.