Energy
Germany Sets Legal Framework for Carbon Capture and Storage
The German parliament, the Bundestag, has passed CCS legislation, triggering expectations of major investments to come.
Nov 07, 2025
Experts in the sector say that companies previously shied away from putting money into carbon capture and storage (CCS) because of legal uncertainty. The new Carbon Dioxide Storage and Transport Act removes those concerns.
The head of the Federal Association of Carbon Management (BCM) Markus Rosenthal told business newspaper Handelsblatt that he expected EUR 30 to 50 billion to be invested in carbon capture and pipelines in the next decade.
Germany produces some 650 million tons of CO2 emissions per year, of which 32.5 million tons, or five percent, are considered “unavoidable.” The new legislation allows for the storage of both unavoidable and “difficult-to-avoid” emissions, for instance, from the concrete, steel and chemicals industries.
The legislation now goes to Germany’s second chamber of parliament, the Bundesrat, where it is expected to be ratified.
