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Germany’s Heating Law: Key Rule Scrapped by Coalition

by Emily Johnson - News Editor
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Germany Scales Back Ambitious Heating System Overhaul

Berlin – A key component of Germany’s plan to transition to more sustainable home heating systems has been dropped following an agreement between the governing coalition parties, the Union and the SPD. The move represents a significant shift from the original proposals put forward by the Green Party and highlights the challenges of implementing ambitious climate policies amid political negotiations.

Under the revised plan, a mandate requiring new heating systems to run on at least 65% renewable energy sources has been removed. The original rule, championed by former Economics Minister Robert Habeck, faced considerable opposition and was a central point of contention in the debate over the “heating law,” formally known as the Building Energy Act.

Instead of the individual homeowner mandate, the agreement focuses on requiring gas suppliers to gradually increase the proportion of renewable alternatives, such as biomethane and hydrogen, in the gas network. This approach aims to achieve the same climate goals but shifts the responsibility from individual households to energy providers.

The CDU and CSU parties largely secured their central demand with this change. While the Building Energy Act will not be “abolished” as the Union had requested, the removal of the 65% rule represents a major concession.

The SPD, which initially supported Habeck’s plans, appears to have secured concessions in other areas of the broader energy package. Party officials have emphasized that regulations to achieve climate goals in the building sector will remain in place.

Although, questions remain about the feasibility of the new approach. Concerns have been raised about the availability of sufficient quantities of green gas alternatives, such as biomethane and hydrogen, and the potential for high costs for consumers. According to early reports, the success of the revised plan hinges on the ability to scale up the production and distribution of these renewable energy sources.

The agreement comes after lengthy negotiations between the coalition partners. The initial proposals sparked widespread debate and criticism, with concerns raised about the financial burden on homeowners and the practicality of transitioning to renewable heating systems. This move underscores the political complexities of implementing large-scale energy transitions.

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