Germany's plan for green gas and oil in home heating faces industry criticism

The German government plans to embed a quota for climate-neutral fuels—biomethane, bio-oil, green hydrogen, low-carbon hydrogen and synthetic methane—into the heating market for private households, starting in 2028 and rising over time. The measure is part of the new building-renovation law that succeeded the previous heating law under one outlet coalition. The Federal Ministry for Economic Affairs and Energy argues that domestic and European potential can meet the expected demand.

However, Ingbert Liebing, chief executive of the municipal utilities association, says the government has yet to explain how additional green gas volumes will be secured, calling for a concrete biomethane expansion plan. Greenpeace’s Noemi Mundhaas calls the reliance on green hydrogen and methane “inefficient and costly,” urging a focus on heat pumps and renewable heat networks. Green Party MP Alaa Alhamwi adds that unanswered questions about price and availability, as well as a possible “free-buy” clause, undermine confidence in the proposal.