German coalition deal backs EU’s 90% climate target — with caveats

By Zia Weise, Karl Mathiesen | 04/15/2025 07:04 AM EDT

The incoming government wants the EU to let countries count emissions cuts paid for abroad toward domestic climate goals.

This picture taken on November 28, 2023 shows the lignite-fired power station operated by German energy giant RWE.

The agreement’s energy policy sections are largely unchanged from a March draft, with the new government planning 20 gigawatts of additional gas power plant capacity while pushing ahead with the expansion of renewable energy. Ina Fassbender/AFP via Getty Images

BRUSSELS — Germany’s incoming government will throw its weight behind an ambitious EU climate target for 2040, but only if the European Commission allows countries to offset a portion of their planet-warming emissions instead of slashing them.

The stance was revealed Wednesday in a coalition agreement between the center-right Christian Democrats (CDU), which won February’s snap election, and the center-left Social Democrats (SPD). The SPD’s 300,000-plus members must still approve the 144-page deal.

In the agreement, the two parties recommit to Germany’s 2045 climate neutrality target and give contingent backing to the EU executive’s recommended 90 percent emissions-cutting goal for 2040. Brussels has delayed legislation to enshrine the new target after struggling to find sufficient support from governments and lawmakers.

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Yet Berlin’s support comes with the radical condition that EU countries must be allowed to incorporate international carbon credits in their climate efforts — meaning that instead of reducing pollution at home, they could pay for emissions cuts in non-EU countries and count those toward their own climate balance.

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