The Federal Climate Change Act (Bundes-Klimaschutzgesetz, KSG) is Germany's key instrument for meeting national climate targets and fulfilling commitments under the Paris Agreement and the European Climate Law. It was first enacted in 2019 and comprehensively revised in 2021. The law aims to reduce greenhouse gas emissions to net zero by 2045, thereby achieving climate neutrality. An interim target sets a 65% reduction in emissions by 2030 compared to 1990 levels.
The KSG establishes binding annual emissions budgets for various sectors, including energy, transportation, industry, agriculture, and buildings. If these budgets are exceeded, the responsible ministries are required to present immediate action programs to comply with the targets. Progress is monitored by an independent expert commission.
In the building sector, the law specifically calls for measures to improve energy efficiency, increase the use of renewable energy, and reduce fossil fuel consumption. Owners and operators of commercial real estate are encouraged to lower CO₂ emissions through energy retrofitting, optimized technical building systems, and digital operational optimization. The law thus provides a strong incentive to implement sustainable technologies and invest in climate-friendly buildings, enabling compliance with legal requirements while also realizing economic benefits through higher energy efficiency and lower operating costs.
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