Emissions trading: Industrial emissions again practically unchanged in 2015

Energy utilities mitigate by 1.7 percent

Nummer 012 / 2016 Date 2016.04.04

The roughly 1,900 stationary installations which participate in emissions trading emitted 456 million tonnes of carbon dioxide equivalents in 2015, which is just under 6 million tonnes less (-1.2 percent) than in 2014. Emissions from the energy supply sector declined by 1.7 percent. In contrast, emissions from industrial installations remained practically unchanged for the second year in a row. “The relatively constant level of emissions from industrial installations is cause for concern with respect to the reductions which are necessary in the long term. Industry must play a part in this. The current low prices for CO2 have resulted in a lack of incentive to make radical cuts, which is why we urgently need ambitious emission reduction targets in the fourth trading period starting 2020. With a view to the Paris Agreement on Climate Change, this would also be an important climate change signal by the EU”, emphasized President Maria Krautzberger of the German Environment Agency (UBA).

Industrial emissions: Emissions from the energy-intensive industries are similar to their 2013 and 2014 levels at 123 million tonnes of carbon dioxide equivalents. This represents a share of 27 percent of Germany’s emissions in emissions trading. The counteracting trend in emissions continued in 2015 in the individual industry sectors, too: whereas refineries, the chemical and mineral industries recorded decreasing emissions, emissions rose in the paper, iron, steel and non-ferrous metal industries.

Energy sector emissions: Emissions sank by 1.7 percent to 332 million tonnes of carbon dioxide equivalents. This represents a share of 73 percent of Germany’s emissions in emissions trading. Emissions from the various fuels developed in different ways: lignite and natural gas declined by 0.4 percent and 1 percent, respectively, whereas greenhouse gas emissions from the use of hard coal increased by 1 percent. These developments occurred despite a rise in gross electricity production and significantly higher electricity exports than in the previous year and are likely due to the increased share of renewable energy in total power generation.

Surrender obligation: By 30 April 2016 operators must surrender the number of emission allowances required to cover the documented emissions of their installations in 2015. The German Emissions Trading Authority (DEHSt) at the German Environment Agency is currently reviewing the 2015 emissions reports and plans to publish detailed results of its review on 24 May 2016.

Emissions trading and total emissions: The share of emissions trading in total German greenhouse gas emissions estimated by UBA for 2015 is about 50 percent. Official figures for total emissions in Germany in 2015 will be published in the National Inventory Report on 15 January 2017.

German Emissions Trading Authority (DEHSt): The German Emissions Trading Authority at the German Environment Agency is the competent national authority to implement the European emissions trading scheme for stationary installations and for the aviation sector. Its work includes allocation and issuance of emission allowances, review of emissions reports and monitoring plans, and accounts management of the EU emissions trading registry. It manages the auctioning of allowances and informs the public and market participants of auction results. It is also in charge of the administration of the project-based mechanisms Joint Implementation and Clean Development Mechanism.