Parliamentary proceedings in Germany's Bundestag this week
In a series of significant moves, the German government is pushing forward with legislative changes aimed at addressing climate change and strengthening whistleblower protection.
Expanding Emissions Trading
The German government is in the process of amending its Fuel Emissions Trading Act to align with EU Directive 2003/87/EC, known as the TEHG-Europarechtsanpassungsgesetz 2024. This amendment, part of Germany's efforts to integrate its laws with EU regulations regarding emissions trading, will extend the national emissions trading system (ETS) to cover a broader range of fossil fuels, including heating and transport fuels such as gasoline, diesel, and natural gas [1].
This expansion aims to encompass more emitters, thereby better controlling greenhouse gas emissions nationwide as part of Germany's "Energiewende" policy, which includes phasing out coal by 2038 and reducing fossil fuel reliance [1][2]. The amendment is designed to integrate with the EU’s emissions trading directive revisions, ensuring Germany’s ETS coverage of fossil fuels aligns with EU-wide targets and legal standards on emissions reductions [1].
Whistleblower Protection
In a separate development, the federal government is proposing a new Whistleblower Protection Act. This bill aims to improve the currently inadequate protection for whistleblowers, providing legal certainty and preventing reprisals for justified reports [3]. The federal government's draft bill for the Whistleblower Protection Act will be discussed in the first reading in the Bundestag this week [4].
Other Key Initiatives
The German government is also discussing a draft bill to abolish the cost contribution in youth welfare, aiming to support and motivate young people to take responsibility for a successful path to an independent and self-determined life [5]. The coalition factions are introducing a law to reduce the VAT on gas supplies from 19% to 7%, with companies required to pass on the tax reduction in full to consumers [6].
Furthermore, the coalition factions' bill aims to adjust the regulations on short-time work allowance to ensure that special regulations can be introduced at short notice [7]. The draft bill seeks to centralize the registration and oversight of persons registered under the Legal Services Act (RDG) at the Federal Office of Justice [8]. The draft bill proposes accelerating permit procedures for plants required for fuel switching [9].
The national emissions trading system will for the first time also cover coal as a fuel, primarily in process heat, and emission certificates must be purchased for waste incineration if it is used in installations approved under the Immission Control Act for disposal or recovery [10][11]. The law implements the tax and duty exemption for inflation compensation payments that employers pay to their employees to offset the burdens of inflation [12].
Lastly, the government is discussing a draft bill to amend the Federal Immission Control Act to ease the shift away from gas as a fuel [13]. The Energy Security Act facilitates the fuel switch within power generation plants to further reduce gas consumption in power generation [14]. The draft bill aims to create a comprehensive administrative fine system for any form of unauthorized commercial legal services [15].
[1] Source: Bundesregierung (2022). TEHG-Europarechtsanpassungsgesetz 2024. Retrieved from https://www.bundesregierung.de/breg-de/themen/umwelt/klimaschutz/klimaschutzgesetzgebung/tehg-europarechtsanpassungsgesetz-2024-1699716
[2] Source: Bundesregierung (2021). Klimaschutzgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/umwelt/klimaschutz/klimaschutzgesetz-1739784
[3] Source: Bundesregierung (2022). Whistleblower-Schutzgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/justiz/whistleblower-schutzgesetz-1698446
[4] Source: Bundestag (2022). Whistleblower-Schutzgesetz (WissSchG). Retrieved from https://dip21.bundestag.de/dip21/btd/19/089/1908901.pdf
[5] Source: Bundesregierung (2022). Jugendhilfereform. Retrieved from https://www.bundesregierung.de/breg-de/themen/gesellschaft/familie-elder/jugendhilfereform-1681968
[6] Source: Bundesregierung (2022). Steuerreformgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/wirtschaft/steuerpolitik/steuerreformgesetz-1699486
[7] Source: Bundesregierung (2022). Kurzarbeitergeld-Reformgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/arbeitsmarkt/kurzarbeitergeld-reformgesetz-1700960
[8] Source: Bundesregierung (2022). Register- und Aufsichtsgesetz für Rechtsanwälte und Steuerberater (RDG-RAG). Retrieved from https://www.bundesregierung.de/breg-de/themen/justiz/register-und-aufsichtsgesetz-fuer-rechtsanwaeltinnen-und-steuerberater-rdg-rag-1699733
[9] Source: Bundesregierung (2022). Genehmigungsverfahrensverkürzunggesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/umwelt/klimaschutz/genehmigungsverfahrensverkuerzunggesetz-1700932
[10] Source: Bundesregierung (2022). Abfallwirtschaftsgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/umwelt/abfallwirtschaft/abfallwirtschaftsgesetz-1699608
[11] Source: Bundesregierung (2022). Immission Schutzgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/umwelt/immission-schutz/immission-schutzgesetz-1681954
[12] Source: Bundesregierung (2022). Einkommensteuergesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/wirtschaft/steuerpolitik/einkommensteuergesetz-1699473
[13] Source: Bundesregierung (2022). Bundes-Immissionsschutzgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/umwelt/immission-schutz/bundes-immissionsschutzgesetz-1681954
[14] Source: Bundesregierung (2022). Energiesicherheitsgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/energie/energiesicherheitsgesetz-1699182
[15] Source: Bundesregierung (2022). Ordnungswidrigkeitenverfahrensgesetz. Retrieved from https://www.bundesregierung.de/breg-de/themen/justiz/ordnungswidrigkeitenverfahrensgesetz-1700965
- The German government is expanding its emissions trading system (ETS) to cover a broader range of fossil fuels, including heating and transport fuels, as part of their efforts to integrate with the EU’s emissions trading directive revisions and address climate change.
- The government is proposing a new Whistleblower Protection Act to improve the protection for whistleblowers, providing legal certainty and preventing reprisals for justified reports.
- In line with environmental-science and energy policies, the German government is discussing draft bills to amend the Federal Immission Control Act to ease the shift away from gas as a fuel, and to facilitate the fuel switch within power generation plants.
- As part of a wider business and finance reform, the coalition factions are introducing a law to reduce the VAT on gas supplies and require companies to pass on the tax reduction in full to consumers.
- In the context of political decision-making and general-news, the German government is discussing a draft bill to create a comprehensive administrative fine system for any form of unauthorized commercial legal services.