Table.Briefing: Climate (English)

German-Colombian climate partnership + Food made from CO2 + Forest targets a long way off

Dear reader,

In a week and a half, Colombia will host the UN Biodiversity Conference COP16. The country is also an important partner for Germany on climate issues. Despite economic difficulties and a national budget heavily dependent on oil and coal export revenues, the country is pursuing ambitious goals. Alexandra Endres analyzes how the German government supports the country – financially and through the Colombian-German Partnership for Climate and a Just Energy Transition.

We are also introducing our new series: “Ideas for the Climate,” which will feature reports about progress, possible solutions, and innovations for the future at irregular intervals. To kick things off, Nick Nuttall reports on food made from CO2, water and renewables, an approach that more and more start-ups are pursuing.

In the news section: Disillusionment with the goal of halting global deforestation by 2030, a mixed interim assessment of efforts to triple renewable energies and praise for Chile’s climate policy.

Your
Lukas Bayer
Image of Lukas  Bayer

Feature

Colombia: How Germany supports climate action and the fossil fuel phase-out

A kitesurfer at Cabo de la Vela, Guajira, Colombia. The region is considered particularly favorable for generating wind power and is therefore important for Colombia’s energy transition.

Colombia is pursuing ambitious climate policy goals. The government under President Gustavo Petro aims to phase out fossil fuels and completely convert to a green economy – even though the emerging country has historically been heavily dependent on state revenues from oil and coal exports. Colombia is also campaigning for a global fossil fuel exit at UN climate summits. In a recent interview with Table.Briefings, Environment Minister Susana Muhamad said that her country will probably take around 15 years to abandon oil and coal completely. Without help from developed countries, it will hardly be possible.

Germany has promised to help Colombia in this endeavor. “As an Amazon neighbor country and one of the countries with the highest biodiversity,” Colombia is an important and reliable partner in climate action, the German Foreign Office said. “Colombia wants to drive forward its own energy transition. We support this with the Colombian-German partnership for Climate and a Just Energy Transition agreed in 2023.” During bilateral consultations in mid-September, the Foreign Office reported “significant progress.” It said implementing the bilateral climate and energy partnership was a high priority for both sides.

Partnership for renewables, hydrogen, biodiversity, climate finance

In addition to the Federal Foreign Office, the partnership involves the Ministry for Economic Affairs and Climate Action (BMWK), the Federal Ministry for the Environment (BMUV) and the Federal Ministry for Economic Cooperation and Development (BMZ) on the German side. Five working groups are at the center of the partnership:

  • Climate action,
  • the expansion of renewables and the development of hydrogen production for a “just energy transition,”
  • the protection of the environment and biodiversity,
  • sustainable urban development
  • and climate finance.

For a while, particular focus was placed on green hydrogen from Colombia. The Colombian government hopes to replace current fossil fuel exports with exports of green hydrogen in the future – and Germany will need hydrogen imports. The German government plans to facilitate investment in Colombian hydrogen projects for German companies. A steering group coordinates cooperation between the BMWK and the Colombian Ministries of Energy and Industry.

Money from the BMZ for renewables, forest conservation and climate-resilient cities

Under the partnership, Germany also provides financial aid. In late 2023, the BMZ pledged a low-interest loan of up to 200 million euros to support Colombia in implementing its climate goals – primarily through expanding renewables and climate adaptation measures. According to its Nationally Determined Contribution (NDC), Colombia aims to cut its emissions by 51 percent by 2030 compared to a “business-as-usual” scenario. Decarbonizing the energy sector and tackling deforestation are particularly important.

According to a ministry spokeswoman, two additional loans for improved climate action and adaptation in Colombian cities have also been pledged for 2024. In response to a question from Table.Briefings, she said that there was “great potential to contribute to global climate and environmental protection through climate-resilient urban development”. The BMZ also supports the “Expert Panel on Climate, Debt and Nature” set up at Colombia’s initiative.

IKI for coal phase-out and energy communities

The International Climate Initiative (IKI) provides further financial support. Colombia is a priority country for the initiative. The BMUV states, “The German government’s cooperation with Colombia under the IKI currently comprises seven ongoing bilateral projects with a funding volume of 65.1 million euros.”

One example is the “IKI JET” project, co-funded by the European Union, which is working towards a Just Energy Transition in Colombia’s coal regions of La Guajira and Cesar. As part of this program, the German Development Cooperation (GIZ) supports local communities, authorities, companies and trade unions in developing joint plans for the post-coal era. The aim is to clarify how the region intends to expand renewables and organize the coal phase-out in a socially just way. A new IKI Call for Proposals is currently underway for projects in two areas to be funded by the BMWK and BMUV with 20 to 25 million euros each: The “Roll-out of renewable energies and economic diversification for a just coal phase-out” and the “Landscape-scale restoration as an economic and multifunctional nature-based solution for peace.”

COP16 vital for ‘peace with nature’ – and for climate action

Colombia clearly shows that climate action, biodiversity conservation, economic transformation and peace policy go hand in hand. For example, preserving the Amazon rainforest and the Pacific coast reduces Colombia’s greenhouse gas emissions and improves the country’s ability to adapt to the effects of the climate crisis. The current Colombian government also hopes that the rainforest will become a foundation for a future green economy, for example through sustainable tourism.

Conversely, resolving land conflicts, providing people with a sustainable livelihood, and enabling communities to live together more peacefully help improve the management of nature conservation areas, as well as climate action.

This is also reflected in the motto of the UN Biodiversity Conference COP16, which begins on 21 October in Cali: “Paz con la Naturaleza,” peace with nature. The BMUV considers the conference “of central importance for overcoming the dual crisis of climate and biodiversity,” a spokesperson said. The Ministry hopes that COP16 will bring “decisive progress to advance the integration of biodiversity and climate change” and agree on tangible measures to tackle both crises.

Colombia’s government has promised the population to achieve “total peace” (paz total) in the country. The next presidential elections in two years will decide whether the people will continue to support their plans – and whether the country’s fossil fuel phase-out will continue.

  • BMZ
  • Climate diplomacy
  • Coal phase-out
  • Kohleausstieg
  • Transformation

Agriculture: Food from CO2, water and renewables

Das Start-Up Green-On stellt Fette, Käse und andere Lebensmittel ohne den Einsatz von Ackerland her.
The start-up Green-On produces fats, cheese, and other foods without using arable land.

A wide range of food ingredients that are made from products such as palm and coconut oil or fats from the dairy industry could soon disappear from the menu. Around the world, new companies are entering the market that utilizes CO2 captured from power plants to create new ingredients that have never been near a cow or a farm. The developers claim that their products – including butter and oils used for baking and cooking – taste and work just as well as conventional products.

Start-ups want to reduce the negative impact of the food industry

“I couldn’t believe I wasn’t eating real butter,” said billionaire Bill Gates after participating in a taste test. Gates has invested in a Californian start-up that produces a milk alternative. The Swedish start-up Green-on also claims that people would not notice any difference. Annette Graneli, a former employee of the RISE research institute and now CEO of Green-On, tells Table.Briefings: “Our raw materials are green electricity, water and carbon dioxide.”

The Gothenburg-based company plans to have a pilot plant up and running by the end of the year, which will use carbon dioxide that possibly comes from a paper mill. Graneli says her goal is to stop deforestation, reverse biodiversity loss and reduce water scarcity linked to palm and other oil plantations.

The company’s head of technology has received an award from the Swedish Chemical Society for producing food without using arable land. The company has secured venture capital for expansion and is supported by AKK, a company that makes oil and fats.

Soy and palm oil have a large ecological footprint

A recent article in Nature Sustainability entitled “Food Without Agriculture” examined this new food technology trend and the potential benefits: “Oilcrops such as soy and palm have an enormous environmental footprint globally.” The article states that around 300 million hectares of land are currently used to produce these foods, accounting for an estimated 20 percent of greenhouse gas emissions from agriculture and land use.

Other companies in this emerging field include Solar Foods in Finland, which conducts a pilot project to produce proteins, and Savor in California, which uses CO2 and hydrogen to make butter.

  • Agriculture
  • Climate crisis
  • Klimakrise
  • Nutrition
  • Raw materials

Events

October 15, 9 a.m., Berlin
Congress BDI Climate Congress
The Federation of German Industries (BDI) is hosting this congress under the central question: Which transformation paths will lead to the future of the German industrial hub? Topics include the risk of deindustrialization in Germany. Info

October 15-16, Paris/Online
Forum 11th OECD Forum on Green Finance and Investment
The Forum on Green Finance and Investment (GFI) is the OECD annual flagship event on green and sustainable finance. This year, the Forum will be convened as a series of high-level plenaries and parallel sessions around the theme “Shifting the financial system and strengthening enabling environments to mobilize trillions.” Info

October 16, 9 a.m., Online
Online conference Integration of e-mobility into the electricity system
At this digital conference, the “Franco-German Office for the Energy Transition” will discuss the challenges, potential and business models for integrating e-mobility into the German and French power systems. Info

October 16
Publication World Energy Outlook IEA
The International Energy Agency (IEA) publishes its annual “World Energy Outlook” report. Info

News

Climate in Numbers: Deforestation trend points in the wrong direction

Several international treaties agree to halt and reverse global deforestation by 2030. However, the target path was missed by 45 percent in 2023. Instead of limiting annual deforestation to 4.38 million hectares, 6.37 million hectares of forest were destroyed. As the Forest Declaration Assessment, which annually reviews progress towards the target, concludes, the trend is pointing in the wrong direction.

Among other things, the Glasgow Leaders Declaration 2021 at COP26 agreed to the 2030 target to halt deforestation. In the Forest Pledge, heads of state and government have committed to preserving forests and fighting wildfires. In addition, they aim to promote sustainable agriculture and support indigenous communities. Funding for these goals is also to be increased “significantly.” Wealthy countries pledged twelve billion dollars in climate finance for forest conservation between 2021 and 2025.

In the previous year, the target was already missed by 21 percent, and now the gap has doubled to 45 percent. The report cites the deforestation of tropical rainforests (61 percent above the target), more frequent and more intense wildfires and the increasing degradation of forests into grasslands and steppes as the main reasons. The area of newly degraded land in 2022 was ten times greater than the total deforestation in the same period. lb/kul

  • Wald

CCS in Europe: Up to €140 billion in subsidies needed

The construction and operation of CCS projects planned in Europe could require up to €140 billion in subsidies. This is the conclusion of a study by the think tank Institute for Energy Economics and Financial Analysis (IEEFA), which is to be published today. The study found that most planned CCS projects are too expensive, making commercial operation impossible. According to the IEEFA, the costs are likely to rise even further due to recurring problems in the operation of CCS projects.

“If Europe relies on CCS as a solution to the problem of climate change, European governments will be forced to introduce horrendous subsidies for a technology that has already failed in the past,” says Andrew Reid, energy finance expert at IEEFA. Just a few days ago, the UK pledged more than £21 billion in subsidies for three CCS projects and infrastructure.

Europe’s timetable ‘too optimistic’

The IEEFA warns:

  • For Europe to achieve its climate targets, 90 of the 200 CCS projects planned in Europe would have to be completed by 2030. Only three CCS projects are currently in operation in the EU. “Over 90 percent of the proposed emissions capture is from projects that are only at the prototype or demonstration stage,” the analysis states, labeling the timeline too optimistic.
  • The necessary laws and standards on which many CCS applications depend are still not in place.
  • The planned CCS applications are based on an “exceptionally complex value chain that relies on many technically and economically challenging individual projects to work simultaneously in project clusters.” Any problems in a single project would affect many other aspects of the CCS value chain (capture, transportation, storage).

The IEEFA analysis urges the EU not to rely on CCS as a climate solution. If CCS fails, “it may be too late to change track and mitigate or reduce emissions through alternative measures”, says Reid. nib

  • carbon capture
  • CCS
  • Climate & Environment
  • CO2-Speicher
  • EU climate policy
  • Europe
  • Klimaziele
  • Subsidies

Renewables: Displacement of fossil fuels still too slow

The global expansion of renewable energies is not yet going fast enough to replace coal, oil and gas from the electricity mix in time to achieve global climate targets. This is the conclusion of the “Renewable Energy Tracker” published today by the NGO network CAN International. It states that the developed countries must achieve 100 percent renewable energy by 2040 and the rest of the world by 2050.

However, the report found that most countries are not on the right path to achieving these goals. Developed countries would have to support developing and emerging countries through financial subsidies, technology transfer and knowledge transfer. CAN calls for an end to the financing of fossil fuels as soon as possible.

Rapid renewables growth imminent

However, the global community is well on the way to achieving the target set at COP28 of tripling renewable energies by 2030. According to new calculations by the International Energy Agency (IEA), the countries will fall just short of the target. However, rapid growth is set to occur over the next few years. Renewable capacity is set to increase by a factor of 2.7 by 2030. In June, the IEA had still assumed a 2.5-fold increase.

According to the new IEA forecast:

  • countries worldwide will add more than 5,500 gigawatts of electricity generation capacity from renewable energies between 2024 and 2030. This would be almost three times as much as the period from 2017 to 2023 and, according to IEA chief Fatih Birol, “roughly equal the current power capacity of China, the European Union, India and the United States combined”;
  • renewables will cover half of global electricity demand by 2030;
  • China will account for almost 60 percent of new renewables capacity. However, the People’s Republic must also replace the world’s largest share of coal-fired power with renewables;
  • photovoltaic production capacities in the USA and India will triple by 2030, which could contribute to diversification away from China;
  • solar power will account for 80 percent of new renewable energy installations by 2030. The IEA also expects the wind sector to achieve new growth and overcome the crisis of recent years.

The IEA calls on countries to set ambitious expansion targets and support developing and emerging countries in their Nationally Determined Contributions for 2035. This, they say, would allow capacities to be tripled. The NDCs must be submitted by February 2025. nib

  • NDC

Energy sector: CO2 emissions close to peak

Global CO2 emissions from the energy sector are expected to peak this year and then fall permanently. A report published on Wednesday by the Norwegian consultancy DNV shows that the lower cost of solar energy and batteries will lead to less use of coal-fired power plants and oil.

CO2 emissions rose to a record high just last year. DNV estimates that a slow decline after a peak this year means that warming of 2.2 degrees Celsius is the most likely scenario this century. “Solar PV and batteries are driving the energy transition, growing even faster than we previously forecasted,” said Remi Eriksen, DNV’s Group President and CEO. However, he added that the energy transition must be further accelerated to achieve the climate targets.

In its annual energy report, oil company BP, which recently scaled back its climate targets, had still assumed that CO2 emissions from energy consumption, industrial processes and land use would not peak before 2030. rtr/lb

  • Energiewende

Climate finance: EU finance ministers call for more transparency

All countries that already contribute to international climate financing should disclose their figures. This is what the EU finance ministers are demanding, and they are probably looking at China in particular. As a former developing country, China is not obliged to contribute to climate financing. However, according to a study, it already pays an average of $4.5 billion per year.

At the Economic and Financial Affairs Council (Ecofin) on Tuesday, the EU ministers and their deputies set out their negotiating position for the UN Climate Change Conference this November. The framework for international climate financing from 2025 is to be decided at COP29 in Baku. The Western industrialized countries are calling for the circle of donor countries to be expanded. So far, these demands have been directed primarily at China and the oil and gas-producing Gulf states.

If these countries, which are in an economic position to contribute to climate financing, are already paying, they must now disclose this, the EU ministers demand. This would improve transparency and could leverage further climate financing, according to the conclusions.

The Ecofin has not yet decided what contribution Europe will make in the future. The EU does not want to negotiate the amount of European climate financing from 2025 until Baku. Next week, the environment ministers in charge of COP29 will determine their negotiating position. luk

  • Climate & Environment
  • Climate financing
  • COP29
  • COP29
  • EU climate policy

Chile: Why its climate policy is ‘almost sufficient’

Chile’s climate policy is showing results and is now rated as “almost sufficient” to contribute to achieving the 1.5-degree target. This is the conclusion of the Climate Action Tracker (CAT) in its updated assessment of the country.

Following the adoption of a new Climate Change Framework Law in 2022, there has been strong progress in climate action. These include:

  • the rapid expansion of renewables and the transmission grid,
  • a plan to phase out coal, which is to be implemented even faster than expected,
  • the goal of a net-zero industry by 2040,
  • an action plan for green hydrogen and
  • a plan for the development of electromobility.

The CAT estimates that Chile’s emissions have already peaked in 2021 – four years before the target date. Nevertheless, the country will not achieve its NDC for 2030 (minus 45 percent net emissions compared to 2016) with the current policy as emissions from industry, agriculture and the waste sector will increase slightly in the coming years. There is also a risk that the coal phase-out in the country will lead to greater consumption of natural gas and thus only to small emission reductions. In addition, the implementation of measures in the transport sector is proceeding too slowly, CAT analysts criticize.

Despite some deficiencies: Only a handful of countries worldwide receive an “almost sufficient” rating for their climate policy. This means that no country’s climate policy is compatible with the Paris Climate Agreement. kul

  • NDC

Must-Reads

Deutschlandfunk Nova: Climate and global warming: “It’s not getting any better”. The Potsdam Institute for Climate Impact Research (PIK) observes that the vital signs of our Earth’s ecosystem are declining. The diagnosis: Humanity is on the brink of an irreversible climate disaster. To the article

El Pais: More hurricanes due to climate change. Scientists have long warned that man-made climate change is making hurricanes more destructive. According to the research, climate change has increased the likelihood of such intense hurricanes occurring in the region by 2.5 times compared to the pre-industrial era. To the article

Süddeutsche Zeitung: Poor apple harvest due to capricious weather. This year, some German apple growers fear a complete crop loss. The trees began to blossom unusually early in the spring, with unexpected frost in April. The farmers see this as an effect of climate change. To the article

Swiss Info: Dry air leads to lower harvests. The “vapor pressure deficit” (VPD), which measures the effects of humidity on the growth and development of plants, increases exponentially as temperatures rise. This increase was only recently discovered by researchers. This “drying power” of the air accelerates soil evaporation and is associated with an increased risk of wildfires and lower agricultural crop yields. To the article

t3n: Holidays in the cold. The state-owned Swedish tourism company Visit Sweden has created the new marketing term “Coolcation.” According to a study by the EU’s Joint Research Center, tourism advertisers are on the right track with this marketing. The study concludes that Europeans will continue to spend their vacations in the north in the future due to climate change. To the article

Opinion

Why we urgently need a European steel pact

By Dennis Radtke
Dennis Radtke has been a member of the Group of the European People’s Party (EPP) in the European Parliament since 2017.

A competitive steel industry in the European Union is essential for prosperity, the resilience of industrial value chains, employment, economic security and the green transformation. It offers more than 300,000 employees good industrial jobs with collective bargaining protection and co-determination. Steel is systemically relevant as the foundation of industrial value creation in Europe. Numerous integrated value chains need steel as a basic material. What’s more, as a high-tech material, steel paves the way for the green transformation. Without steel, no wind turbine would turn. Not a single kilowatt hour of electricity could be transported. Without steel, no electric car would drive even one kilometer.

As a basic material for the mobility and energy transition, green steel in particular will ensure a secure and sustainable supply of basic materials in the future. European steel producers have therefore begun to invest billions in low-carbon steel production with government support and to implement innovative decarbonization concepts.

The steel industry is already shrinking

Nevertheless, the European steel industry is in a historic crisis. A creeping deindustrialization is underway. Europe is the only region in the world with a shrinking steel industry. In the last ten years, the EU has lost a fifth of its production capacity and more than 20,000 jobs. Instead of a trade surplus (16 million tons in 2012), the EU now has a large deficit (10 million tons in 2023). Capacity utilization in European steelworks is now below 65%.

There are many reasons for this development. Increasing import pressure from countries with overcapacity plays a key role. The overcapacity from China alone exceeds total European production by a factor of 5. The combination of unfair trade practices and the lack of a European response to this makes this a toxic mix for the steel industry.

A mix of different measures can help

Some of the instruments used to support the European steel industry are already working. One example is minimum import prices, such as for grain-oriented electrical steel. However, price adjustments are urgently needed here. A follow-up solution is also urgently needed for the Steel Safeguards, which expire in 2026.

In addition, the existing trade defense instruments (anti-dumping and anti-subsidy procedures) must be used more quickly and effectively against unfair trade practices. To this end, WTO and EU legal leeway must be used. As a first step, the new European Commission should clearly identify this scope in the first quarter of 2025.

CBAM and cheap green energy are urgent construction sites

Before the CBAM (Carbon Border Adjustment Mechanism) is launched in 2026, the EU urgently needs to correct the obvious design flaws. So far, there has been no solution to relieve the burden on steel exports to third countries. To ensure that products that are essentially made of steel cannot only be produced economically in non-European countries after the introduction of CBAM, we are calling for the scope of application to be reviewed, taking into account bureaucratic, economic and trade policy hurdles. This applies above all to downstream products for which competitiveness in Europe would deteriorate massively because they do not fall within the scope of application.

The development of energy costs is another key issue. In the short term, the EU should enable member states to establish temporary relief mechanisms such as industrial electricity prices. In the long term, however, a competitive energy supply can only be ensured through a genuine European energy market. To achieve this, the energy transport infrastructure must be consistently expanded across national borders.

A steel action plan must be forged

In order to make green steel competitive, the EU must play its part in developing lead markets for green steel. In addition to a revision of the Public Procurement Directive, which includes issues relating to the Paris climate targets and collective agreements, an early review of the CO2 fleet limits for cars can also play an important role. We need to move away from a pure consideration of what comes out of the exhaust pipe to an overall CO2 balance of a vehicle. This would make green steel more attractive for manufacturers.

The EU Commission is now called upon to quickly bring the stakeholders to the table and agree on a binding steel action plan with companies, trade unions and works councils. Politicians must finally get into action mode. Continuing to stand idly by and watch developments would mean accepting the collapse of entire value chains and authoritarian regimes determining in the future whether retrofitting and the energy transition are still possible at all in Europe and, if so, at what price.

Dennis Radtke has been a Member of the European Parliament since 2017. He sits on the Committee on Employment and Social Affairs for the CDU/EPP. He has also recently become Chairman of the Christian Democratic Workers’ Association (CDA). Previously, Radtke was trade union secretary at IG BCE.

  • CBAM
  • Energie
  • Energiewende
  • Steel
  • Steel production
  • Transformation

Climate.Table editorial team

CLIMATE.TABLE EDITORIAL OFFICE

Licenses:
    Dear reader,

    In a week and a half, Colombia will host the UN Biodiversity Conference COP16. The country is also an important partner for Germany on climate issues. Despite economic difficulties and a national budget heavily dependent on oil and coal export revenues, the country is pursuing ambitious goals. Alexandra Endres analyzes how the German government supports the country – financially and through the Colombian-German Partnership for Climate and a Just Energy Transition.

    We are also introducing our new series: “Ideas for the Climate,” which will feature reports about progress, possible solutions, and innovations for the future at irregular intervals. To kick things off, Nick Nuttall reports on food made from CO2, water and renewables, an approach that more and more start-ups are pursuing.

    In the news section: Disillusionment with the goal of halting global deforestation by 2030, a mixed interim assessment of efforts to triple renewable energies and praise for Chile’s climate policy.

    Your
    Lukas Bayer
    Image of Lukas  Bayer

    Feature

    Colombia: How Germany supports climate action and the fossil fuel phase-out

    A kitesurfer at Cabo de la Vela, Guajira, Colombia. The region is considered particularly favorable for generating wind power and is therefore important for Colombia’s energy transition.

    Colombia is pursuing ambitious climate policy goals. The government under President Gustavo Petro aims to phase out fossil fuels and completely convert to a green economy – even though the emerging country has historically been heavily dependent on state revenues from oil and coal exports. Colombia is also campaigning for a global fossil fuel exit at UN climate summits. In a recent interview with Table.Briefings, Environment Minister Susana Muhamad said that her country will probably take around 15 years to abandon oil and coal completely. Without help from developed countries, it will hardly be possible.

    Germany has promised to help Colombia in this endeavor. “As an Amazon neighbor country and one of the countries with the highest biodiversity,” Colombia is an important and reliable partner in climate action, the German Foreign Office said. “Colombia wants to drive forward its own energy transition. We support this with the Colombian-German partnership for Climate and a Just Energy Transition agreed in 2023.” During bilateral consultations in mid-September, the Foreign Office reported “significant progress.” It said implementing the bilateral climate and energy partnership was a high priority for both sides.

    Partnership for renewables, hydrogen, biodiversity, climate finance

    In addition to the Federal Foreign Office, the partnership involves the Ministry for Economic Affairs and Climate Action (BMWK), the Federal Ministry for the Environment (BMUV) and the Federal Ministry for Economic Cooperation and Development (BMZ) on the German side. Five working groups are at the center of the partnership:

    • Climate action,
    • the expansion of renewables and the development of hydrogen production for a “just energy transition,”
    • the protection of the environment and biodiversity,
    • sustainable urban development
    • and climate finance.

    For a while, particular focus was placed on green hydrogen from Colombia. The Colombian government hopes to replace current fossil fuel exports with exports of green hydrogen in the future – and Germany will need hydrogen imports. The German government plans to facilitate investment in Colombian hydrogen projects for German companies. A steering group coordinates cooperation between the BMWK and the Colombian Ministries of Energy and Industry.

    Money from the BMZ for renewables, forest conservation and climate-resilient cities

    Under the partnership, Germany also provides financial aid. In late 2023, the BMZ pledged a low-interest loan of up to 200 million euros to support Colombia in implementing its climate goals – primarily through expanding renewables and climate adaptation measures. According to its Nationally Determined Contribution (NDC), Colombia aims to cut its emissions by 51 percent by 2030 compared to a “business-as-usual” scenario. Decarbonizing the energy sector and tackling deforestation are particularly important.

    According to a ministry spokeswoman, two additional loans for improved climate action and adaptation in Colombian cities have also been pledged for 2024. In response to a question from Table.Briefings, she said that there was “great potential to contribute to global climate and environmental protection through climate-resilient urban development”. The BMZ also supports the “Expert Panel on Climate, Debt and Nature” set up at Colombia’s initiative.

    IKI for coal phase-out and energy communities

    The International Climate Initiative (IKI) provides further financial support. Colombia is a priority country for the initiative. The BMUV states, “The German government’s cooperation with Colombia under the IKI currently comprises seven ongoing bilateral projects with a funding volume of 65.1 million euros.”

    One example is the “IKI JET” project, co-funded by the European Union, which is working towards a Just Energy Transition in Colombia’s coal regions of La Guajira and Cesar. As part of this program, the German Development Cooperation (GIZ) supports local communities, authorities, companies and trade unions in developing joint plans for the post-coal era. The aim is to clarify how the region intends to expand renewables and organize the coal phase-out in a socially just way. A new IKI Call for Proposals is currently underway for projects in two areas to be funded by the BMWK and BMUV with 20 to 25 million euros each: The “Roll-out of renewable energies and economic diversification for a just coal phase-out” and the “Landscape-scale restoration as an economic and multifunctional nature-based solution for peace.”

    COP16 vital for ‘peace with nature’ – and for climate action

    Colombia clearly shows that climate action, biodiversity conservation, economic transformation and peace policy go hand in hand. For example, preserving the Amazon rainforest and the Pacific coast reduces Colombia’s greenhouse gas emissions and improves the country’s ability to adapt to the effects of the climate crisis. The current Colombian government also hopes that the rainforest will become a foundation for a future green economy, for example through sustainable tourism.

    Conversely, resolving land conflicts, providing people with a sustainable livelihood, and enabling communities to live together more peacefully help improve the management of nature conservation areas, as well as climate action.

    This is also reflected in the motto of the UN Biodiversity Conference COP16, which begins on 21 October in Cali: “Paz con la Naturaleza,” peace with nature. The BMUV considers the conference “of central importance for overcoming the dual crisis of climate and biodiversity,” a spokesperson said. The Ministry hopes that COP16 will bring “decisive progress to advance the integration of biodiversity and climate change” and agree on tangible measures to tackle both crises.

    Colombia’s government has promised the population to achieve “total peace” (paz total) in the country. The next presidential elections in two years will decide whether the people will continue to support their plans – and whether the country’s fossil fuel phase-out will continue.

    • BMZ
    • Climate diplomacy
    • Coal phase-out
    • Kohleausstieg
    • Transformation

    Agriculture: Food from CO2, water and renewables

    Das Start-Up Green-On stellt Fette, Käse und andere Lebensmittel ohne den Einsatz von Ackerland her.
    The start-up Green-On produces fats, cheese, and other foods without using arable land.

    A wide range of food ingredients that are made from products such as palm and coconut oil or fats from the dairy industry could soon disappear from the menu. Around the world, new companies are entering the market that utilizes CO2 captured from power plants to create new ingredients that have never been near a cow or a farm. The developers claim that their products – including butter and oils used for baking and cooking – taste and work just as well as conventional products.

    Start-ups want to reduce the negative impact of the food industry

    “I couldn’t believe I wasn’t eating real butter,” said billionaire Bill Gates after participating in a taste test. Gates has invested in a Californian start-up that produces a milk alternative. The Swedish start-up Green-on also claims that people would not notice any difference. Annette Graneli, a former employee of the RISE research institute and now CEO of Green-On, tells Table.Briefings: “Our raw materials are green electricity, water and carbon dioxide.”

    The Gothenburg-based company plans to have a pilot plant up and running by the end of the year, which will use carbon dioxide that possibly comes from a paper mill. Graneli says her goal is to stop deforestation, reverse biodiversity loss and reduce water scarcity linked to palm and other oil plantations.

    The company’s head of technology has received an award from the Swedish Chemical Society for producing food without using arable land. The company has secured venture capital for expansion and is supported by AKK, a company that makes oil and fats.

    Soy and palm oil have a large ecological footprint

    A recent article in Nature Sustainability entitled “Food Without Agriculture” examined this new food technology trend and the potential benefits: “Oilcrops such as soy and palm have an enormous environmental footprint globally.” The article states that around 300 million hectares of land are currently used to produce these foods, accounting for an estimated 20 percent of greenhouse gas emissions from agriculture and land use.

    Other companies in this emerging field include Solar Foods in Finland, which conducts a pilot project to produce proteins, and Savor in California, which uses CO2 and hydrogen to make butter.

    • Agriculture
    • Climate crisis
    • Klimakrise
    • Nutrition
    • Raw materials

    Events

    October 15, 9 a.m., Berlin
    Congress BDI Climate Congress
    The Federation of German Industries (BDI) is hosting this congress under the central question: Which transformation paths will lead to the future of the German industrial hub? Topics include the risk of deindustrialization in Germany. Info

    October 15-16, Paris/Online
    Forum 11th OECD Forum on Green Finance and Investment
    The Forum on Green Finance and Investment (GFI) is the OECD annual flagship event on green and sustainable finance. This year, the Forum will be convened as a series of high-level plenaries and parallel sessions around the theme “Shifting the financial system and strengthening enabling environments to mobilize trillions.” Info

    October 16, 9 a.m., Online
    Online conference Integration of e-mobility into the electricity system
    At this digital conference, the “Franco-German Office for the Energy Transition” will discuss the challenges, potential and business models for integrating e-mobility into the German and French power systems. Info

    October 16
    Publication World Energy Outlook IEA
    The International Energy Agency (IEA) publishes its annual “World Energy Outlook” report. Info

    News

    Climate in Numbers: Deforestation trend points in the wrong direction

    Several international treaties agree to halt and reverse global deforestation by 2030. However, the target path was missed by 45 percent in 2023. Instead of limiting annual deforestation to 4.38 million hectares, 6.37 million hectares of forest were destroyed. As the Forest Declaration Assessment, which annually reviews progress towards the target, concludes, the trend is pointing in the wrong direction.

    Among other things, the Glasgow Leaders Declaration 2021 at COP26 agreed to the 2030 target to halt deforestation. In the Forest Pledge, heads of state and government have committed to preserving forests and fighting wildfires. In addition, they aim to promote sustainable agriculture and support indigenous communities. Funding for these goals is also to be increased “significantly.” Wealthy countries pledged twelve billion dollars in climate finance for forest conservation between 2021 and 2025.

    In the previous year, the target was already missed by 21 percent, and now the gap has doubled to 45 percent. The report cites the deforestation of tropical rainforests (61 percent above the target), more frequent and more intense wildfires and the increasing degradation of forests into grasslands and steppes as the main reasons. The area of newly degraded land in 2022 was ten times greater than the total deforestation in the same period. lb/kul

    • Wald

    CCS in Europe: Up to €140 billion in subsidies needed

    The construction and operation of CCS projects planned in Europe could require up to €140 billion in subsidies. This is the conclusion of a study by the think tank Institute for Energy Economics and Financial Analysis (IEEFA), which is to be published today. The study found that most planned CCS projects are too expensive, making commercial operation impossible. According to the IEEFA, the costs are likely to rise even further due to recurring problems in the operation of CCS projects.

    “If Europe relies on CCS as a solution to the problem of climate change, European governments will be forced to introduce horrendous subsidies for a technology that has already failed in the past,” says Andrew Reid, energy finance expert at IEEFA. Just a few days ago, the UK pledged more than £21 billion in subsidies for three CCS projects and infrastructure.

    Europe’s timetable ‘too optimistic’

    The IEEFA warns:

    • For Europe to achieve its climate targets, 90 of the 200 CCS projects planned in Europe would have to be completed by 2030. Only three CCS projects are currently in operation in the EU. “Over 90 percent of the proposed emissions capture is from projects that are only at the prototype or demonstration stage,” the analysis states, labeling the timeline too optimistic.
    • The necessary laws and standards on which many CCS applications depend are still not in place.
    • The planned CCS applications are based on an “exceptionally complex value chain that relies on many technically and economically challenging individual projects to work simultaneously in project clusters.” Any problems in a single project would affect many other aspects of the CCS value chain (capture, transportation, storage).

    The IEEFA analysis urges the EU not to rely on CCS as a climate solution. If CCS fails, “it may be too late to change track and mitigate or reduce emissions through alternative measures”, says Reid. nib

    • carbon capture
    • CCS
    • Climate & Environment
    • CO2-Speicher
    • EU climate policy
    • Europe
    • Klimaziele
    • Subsidies

    Renewables: Displacement of fossil fuels still too slow

    The global expansion of renewable energies is not yet going fast enough to replace coal, oil and gas from the electricity mix in time to achieve global climate targets. This is the conclusion of the “Renewable Energy Tracker” published today by the NGO network CAN International. It states that the developed countries must achieve 100 percent renewable energy by 2040 and the rest of the world by 2050.

    However, the report found that most countries are not on the right path to achieving these goals. Developed countries would have to support developing and emerging countries through financial subsidies, technology transfer and knowledge transfer. CAN calls for an end to the financing of fossil fuels as soon as possible.

    Rapid renewables growth imminent

    However, the global community is well on the way to achieving the target set at COP28 of tripling renewable energies by 2030. According to new calculations by the International Energy Agency (IEA), the countries will fall just short of the target. However, rapid growth is set to occur over the next few years. Renewable capacity is set to increase by a factor of 2.7 by 2030. In June, the IEA had still assumed a 2.5-fold increase.

    According to the new IEA forecast:

    • countries worldwide will add more than 5,500 gigawatts of electricity generation capacity from renewable energies between 2024 and 2030. This would be almost three times as much as the period from 2017 to 2023 and, according to IEA chief Fatih Birol, “roughly equal the current power capacity of China, the European Union, India and the United States combined”;
    • renewables will cover half of global electricity demand by 2030;
    • China will account for almost 60 percent of new renewables capacity. However, the People’s Republic must also replace the world’s largest share of coal-fired power with renewables;
    • photovoltaic production capacities in the USA and India will triple by 2030, which could contribute to diversification away from China;
    • solar power will account for 80 percent of new renewable energy installations by 2030. The IEA also expects the wind sector to achieve new growth and overcome the crisis of recent years.

    The IEA calls on countries to set ambitious expansion targets and support developing and emerging countries in their Nationally Determined Contributions for 2035. This, they say, would allow capacities to be tripled. The NDCs must be submitted by February 2025. nib

    • NDC

    Energy sector: CO2 emissions close to peak

    Global CO2 emissions from the energy sector are expected to peak this year and then fall permanently. A report published on Wednesday by the Norwegian consultancy DNV shows that the lower cost of solar energy and batteries will lead to less use of coal-fired power plants and oil.

    CO2 emissions rose to a record high just last year. DNV estimates that a slow decline after a peak this year means that warming of 2.2 degrees Celsius is the most likely scenario this century. “Solar PV and batteries are driving the energy transition, growing even faster than we previously forecasted,” said Remi Eriksen, DNV’s Group President and CEO. However, he added that the energy transition must be further accelerated to achieve the climate targets.

    In its annual energy report, oil company BP, which recently scaled back its climate targets, had still assumed that CO2 emissions from energy consumption, industrial processes and land use would not peak before 2030. rtr/lb

    • Energiewende

    Climate finance: EU finance ministers call for more transparency

    All countries that already contribute to international climate financing should disclose their figures. This is what the EU finance ministers are demanding, and they are probably looking at China in particular. As a former developing country, China is not obliged to contribute to climate financing. However, according to a study, it already pays an average of $4.5 billion per year.

    At the Economic and Financial Affairs Council (Ecofin) on Tuesday, the EU ministers and their deputies set out their negotiating position for the UN Climate Change Conference this November. The framework for international climate financing from 2025 is to be decided at COP29 in Baku. The Western industrialized countries are calling for the circle of donor countries to be expanded. So far, these demands have been directed primarily at China and the oil and gas-producing Gulf states.

    If these countries, which are in an economic position to contribute to climate financing, are already paying, they must now disclose this, the EU ministers demand. This would improve transparency and could leverage further climate financing, according to the conclusions.

    The Ecofin has not yet decided what contribution Europe will make in the future. The EU does not want to negotiate the amount of European climate financing from 2025 until Baku. Next week, the environment ministers in charge of COP29 will determine their negotiating position. luk

    • Climate & Environment
    • Climate financing
    • COP29
    • COP29
    • EU climate policy

    Chile: Why its climate policy is ‘almost sufficient’

    Chile’s climate policy is showing results and is now rated as “almost sufficient” to contribute to achieving the 1.5-degree target. This is the conclusion of the Climate Action Tracker (CAT) in its updated assessment of the country.

    Following the adoption of a new Climate Change Framework Law in 2022, there has been strong progress in climate action. These include:

    • the rapid expansion of renewables and the transmission grid,
    • a plan to phase out coal, which is to be implemented even faster than expected,
    • the goal of a net-zero industry by 2040,
    • an action plan for green hydrogen and
    • a plan for the development of electromobility.

    The CAT estimates that Chile’s emissions have already peaked in 2021 – four years before the target date. Nevertheless, the country will not achieve its NDC for 2030 (minus 45 percent net emissions compared to 2016) with the current policy as emissions from industry, agriculture and the waste sector will increase slightly in the coming years. There is also a risk that the coal phase-out in the country will lead to greater consumption of natural gas and thus only to small emission reductions. In addition, the implementation of measures in the transport sector is proceeding too slowly, CAT analysts criticize.

    Despite some deficiencies: Only a handful of countries worldwide receive an “almost sufficient” rating for their climate policy. This means that no country’s climate policy is compatible with the Paris Climate Agreement. kul

    • NDC

    Must-Reads

    Deutschlandfunk Nova: Climate and global warming: “It’s not getting any better”. The Potsdam Institute for Climate Impact Research (PIK) observes that the vital signs of our Earth’s ecosystem are declining. The diagnosis: Humanity is on the brink of an irreversible climate disaster. To the article

    El Pais: More hurricanes due to climate change. Scientists have long warned that man-made climate change is making hurricanes more destructive. According to the research, climate change has increased the likelihood of such intense hurricanes occurring in the region by 2.5 times compared to the pre-industrial era. To the article

    Süddeutsche Zeitung: Poor apple harvest due to capricious weather. This year, some German apple growers fear a complete crop loss. The trees began to blossom unusually early in the spring, with unexpected frost in April. The farmers see this as an effect of climate change. To the article

    Swiss Info: Dry air leads to lower harvests. The “vapor pressure deficit” (VPD), which measures the effects of humidity on the growth and development of plants, increases exponentially as temperatures rise. This increase was only recently discovered by researchers. This “drying power” of the air accelerates soil evaporation and is associated with an increased risk of wildfires and lower agricultural crop yields. To the article

    t3n: Holidays in the cold. The state-owned Swedish tourism company Visit Sweden has created the new marketing term “Coolcation.” According to a study by the EU’s Joint Research Center, tourism advertisers are on the right track with this marketing. The study concludes that Europeans will continue to spend their vacations in the north in the future due to climate change. To the article

    Opinion

    Why we urgently need a European steel pact

    By Dennis Radtke
    Dennis Radtke has been a member of the Group of the European People’s Party (EPP) in the European Parliament since 2017.

    A competitive steel industry in the European Union is essential for prosperity, the resilience of industrial value chains, employment, economic security and the green transformation. It offers more than 300,000 employees good industrial jobs with collective bargaining protection and co-determination. Steel is systemically relevant as the foundation of industrial value creation in Europe. Numerous integrated value chains need steel as a basic material. What’s more, as a high-tech material, steel paves the way for the green transformation. Without steel, no wind turbine would turn. Not a single kilowatt hour of electricity could be transported. Without steel, no electric car would drive even one kilometer.

    As a basic material for the mobility and energy transition, green steel in particular will ensure a secure and sustainable supply of basic materials in the future. European steel producers have therefore begun to invest billions in low-carbon steel production with government support and to implement innovative decarbonization concepts.

    The steel industry is already shrinking

    Nevertheless, the European steel industry is in a historic crisis. A creeping deindustrialization is underway. Europe is the only region in the world with a shrinking steel industry. In the last ten years, the EU has lost a fifth of its production capacity and more than 20,000 jobs. Instead of a trade surplus (16 million tons in 2012), the EU now has a large deficit (10 million tons in 2023). Capacity utilization in European steelworks is now below 65%.

    There are many reasons for this development. Increasing import pressure from countries with overcapacity plays a key role. The overcapacity from China alone exceeds total European production by a factor of 5. The combination of unfair trade practices and the lack of a European response to this makes this a toxic mix for the steel industry.

    A mix of different measures can help

    Some of the instruments used to support the European steel industry are already working. One example is minimum import prices, such as for grain-oriented electrical steel. However, price adjustments are urgently needed here. A follow-up solution is also urgently needed for the Steel Safeguards, which expire in 2026.

    In addition, the existing trade defense instruments (anti-dumping and anti-subsidy procedures) must be used more quickly and effectively against unfair trade practices. To this end, WTO and EU legal leeway must be used. As a first step, the new European Commission should clearly identify this scope in the first quarter of 2025.

    CBAM and cheap green energy are urgent construction sites

    Before the CBAM (Carbon Border Adjustment Mechanism) is launched in 2026, the EU urgently needs to correct the obvious design flaws. So far, there has been no solution to relieve the burden on steel exports to third countries. To ensure that products that are essentially made of steel cannot only be produced economically in non-European countries after the introduction of CBAM, we are calling for the scope of application to be reviewed, taking into account bureaucratic, economic and trade policy hurdles. This applies above all to downstream products for which competitiveness in Europe would deteriorate massively because they do not fall within the scope of application.

    The development of energy costs is another key issue. In the short term, the EU should enable member states to establish temporary relief mechanisms such as industrial electricity prices. In the long term, however, a competitive energy supply can only be ensured through a genuine European energy market. To achieve this, the energy transport infrastructure must be consistently expanded across national borders.

    A steel action plan must be forged

    In order to make green steel competitive, the EU must play its part in developing lead markets for green steel. In addition to a revision of the Public Procurement Directive, which includes issues relating to the Paris climate targets and collective agreements, an early review of the CO2 fleet limits for cars can also play an important role. We need to move away from a pure consideration of what comes out of the exhaust pipe to an overall CO2 balance of a vehicle. This would make green steel more attractive for manufacturers.

    The EU Commission is now called upon to quickly bring the stakeholders to the table and agree on a binding steel action plan with companies, trade unions and works councils. Politicians must finally get into action mode. Continuing to stand idly by and watch developments would mean accepting the collapse of entire value chains and authoritarian regimes determining in the future whether retrofitting and the energy transition are still possible at all in Europe and, if so, at what price.

    Dennis Radtke has been a Member of the European Parliament since 2017. He sits on the Committee on Employment and Social Affairs for the CDU/EPP. He has also recently become Chairman of the Christian Democratic Workers’ Association (CDA). Previously, Radtke was trade union secretary at IG BCE.

    • CBAM
    • Energie
    • Energiewende
    • Steel
    • Steel production
    • Transformation

    Climate.Table editorial team

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