Germany approves carbon storage law to ensure climate neutrality and industrial development
The German Federal Government has announced that it has approved a bill amending the Carbon Dioxide Storage Act (KSpG), significantly expanding the legal framework for carbon capture, transportation and underground storage (CCS). Until now, CCS projects in Germany have been limited to research and pilot operations.
The German Federal Government has announced that it has approved a bill amending the Carbon Dioxide Storage Act (KSpG), significantly expanding the legal framework for carbon capture, transportation and underground storage (CCS) Until now, CCS projects in Germany have been limited to research and pilot operations.
This amendment is considered an important milestone in Germany's plan to achieve climate neutrality by 2045, as well as preserve the competitiveness of the country's industry.
Why is it necessary to accumulate carbon
4)Some industrial emissions, especially in the production of steel, cement and lime, cannot be completely eliminated even with the latest low-carbon technologies. The government has stated that for these sectors, the CCS system is indispensable to achieve zero profit targets.
Since it takes seven to 10 years to build the CCS infrastructure, the government emphasizes that projects must begin immediately to ensure that facilities are operational by the early 2030s.
Expanded legal framework
The KSpG review conducted in 2022 confirmed that CCS and carbon capture and recycling (CCU) are required under the German Federal Climate Protection Act (KSG).
The amendment now provides for the industry:
Legal certainty to justify long-term investments,The path to scaling CCS from pilot projects to full implementation is allowed only if it is proven to be safe for health and the environment.By laying the legal foundation today, Berlin aims to accelerate the development of the project, ensuring that the infrastructure is in place to achieve climate goals without harming industrial enterprises. endurance.
Impact on the steel industry
SteelOrbis understands that the revised German government Law on Carbon Dioxide Storage positions CCS as a necessary framework for industries where it is difficult to reduce emissions, such as steelmaking. While German steel producers such as thyssenkrupp are testing CCUS in projects such as Carbon2Chem®, and ArcelorMittal Germany is involved in cross-border carbon transportation projects, no large-scale carbon collection and storage projects have yet been implemented in steel mills.