Published: September 18th, 2024,
Last updated: January 30th, 2025

A draft on the German government’s Carbon Management Strategy (CMS) from the Federal Ministry for Economic Affairs and Climate Action (BMWK) postpones the issue of public funding for a privately operated CO2 pipeline network until next year. The draft, which has yet to be coordinated between the ministries and is available to Table.Briefings, states that „the need for security mechanisms for investors in the ramp-up phase“ is being examined. In addition to existing funding instruments such as Carbon Contracts for Difference – which, however, tend to benefit large manufacturing companies rather than grid operators – the German government will „probably examine options for state guarantees for financing infrastructure in the first half of 2025.“ Instruments from the German investment and development bank KfW might be considered.