The construction sector is responsible for around 40 per cent of global CO₂ emissions and about 30 per cent in Germany, making it central to achieving climate goals. At the same time, the sector is facing a prolonged crisis, with low investment due to political uncertainty and a lack of long-term strategies. Scalable, economically viable solutions for CO₂ reduction in construction are still scarce.
One approach that is increasingly being discussed is the introduction of a building-specific CO₂ cap. Countries like France and Denmark have already implemented mandatory CO₂ limits for new buildings. These set clear guidelines, create transparency, and encourage investments in innovative, sustainable construction methods like circular building. In Germany, however, there is currently no equivalent measure.
A CO₂ cap could also work as a regulatory tool in Germany. It would be technology-neutral and non-discriminatory since it doesn’t prescribe specific solutions but sets emission targets. This would align with market principles by balancing entrepreneurial freedom with clear regulatory conditions. Such planning security is crucial to stimulate investments in sustainable technologies.
Furthermore, a CO₂ cap would not contradict the emissions trading system (ETS); rather, it could complement it. While the CO₂ price encourages efficiency through the trading of certificates, the CO₂ cap in the construction sector would provide targeted incentives where the current CO₂ price is still too low to have a significant impact. Over time, the cap could be phased out if the CO₂ price increases sufficiently.
It is also important that the implementation of such a cap is accompanied by regulatory relief. Simplifying building regulations and approval processes would be necessary to fully unlock the potential of this measure. A regulatory moratorium at the EU level could help reduce planning barriers as well.
Therefore, a building-specific CO₂ cap is not in opposition to CO₂ pricing but is a complementary measure to accelerate the transformation of the construction sector. It enhances investment security, fosters innovation, and contributes to achieving climate goals without undermining competitiveness.
Read the entire analysis: ‘CO₂-Grenzwerte im Bausektor – Ein ordnungspolitisch gerechtfertigter Eingriff?’ here as a PDF. Please note, to date the analysis is only available in German.
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The series informs in a concentrated form about important positions of the Konrad-Adenauer-Stiftung on current topics. The individual issues present key findings and recommendations, offer brief analyses, explain the Foundation's further plans and name KAS contact persons.