New Funding for Climate Protection in SMEs and CCS

The German government, led by Robert Habeck, has allocated 3.3 billion euros until 2030 to support the transition to more climate-friendly production methods and CO2 storage. Small and medium-sized enterprises can apply for funding starting from 500,000 euros, while large companies can apply starting from 1 million euros.

Federal states will participate with 30 percent for projects with a volume of 15 million euros or more. The funding primarily targets energy-intensive industries such as steel, glass, ceramics, paper, and cement, as well as the controversial carbon capture and storage (CCS) technology, with a focus on hard-to-avoid CO2 emissions in lime, cement, thermal waste treatment, basic chemicals, glass, and ceramics.

The goal is to reduce CO2 emissions and promote sustainable practices. The funding aims to complement existing climate protection agreements and is not compatible with other forms of funding.

The CCS technology, which involves capturing and storing CO2, remains a topic of debate, with proponents seeing it as a crucial tool for achieving climate goals, while critics express concerns about its potential to delay the transition away from fossil fuels.