Franziska Brantner, the co‑chairwoman of Germany’s Green Party, rejected Chancellor Friedrich Merz’s (CDU) proposal to revise the EU’s existing CO₂ trading system and, if necessary, postpone further steps because of the fragile economic climate.
During an interview on RTL’s „Frühstart” and on ntv, Brantner said, “This is wrong. Our goal is to preserve and renew our prosperity, but without destroying the planet”. She added that Germany should develop and profit from the technologies needed for this, rather than leaving it to China.
Brantner emphasized that predictability must be maintained and that climate protection should be rewarded. “It is a market mechanism that Mr Merz has always supported” she explained. “What now matters is to increase, accelerate and simplify European competitiveness, and to protect our industry where there is unfair competition”.
According to the Green leader, the government could lower the electricity tax, stabilize the wage‑related costs of production and invest in innovation. “Searching for a future in the past, claiming that we won’t follow the path of sustainable prosperity, is absurd” she said. “China makes a lot of money from this, and I want us to earn good money as well”.
The two CO₂ emissions‑trading schemes are considered the EU’s most important climate‑protection tools. They cap the amount of CO₂ that can be emitted in the regulated sectors by limiting the number of certificates issued. Currently, the number of certificates in the emissions trading system for energy and industry (EU‑ETS‑1) is cut by 4.4 % annually, meaning that by 2039 the certificates will run out. Companies receive some certificates for free, but this free allocation is set to be sharply reduced from this year onwards.
Revenue from the CO₂ trading system flows into Germany’s Climate and Transformation Fund. The fund finances, among other things, the expansion of renewable energy, promotion of e‑mobility, energy‑efficient building renovations, hydrogen projects, and the transition to climate‑friendly industrial processes.
