- Germany launches a bidding process for subsidies to support energy-intensive firms.
- This is part of Germany’s ambitions to become climate-neutral by 2045.
Germany has launched a bidding process for subsidies to support energy-intensive firms switching to green production in a 4 billion euros ($4.37 billion) funding round, the economy ministry said.
As part of Germany’s ambitions to become climate-neutral by 2045, Berlin plans to award companies in sectors such as steel, glass, paper and chemicals 15-year subsidies to reduce carbon emissions in production.
Also, the European Commission has approved the instrument where companies will be selected through bidding while competing over cutting emissions at the lowest cost.
Through the climate protection contracts, companies will be compensated for the extra costs of green production in industries where climate-friendly production processes cannot currently operate competitively.