Heating expenses are set to increase under the new EU law, according to a study, with certain locations anticipated to bear the brunt of these costs

In an effort to combat climate change, the German federal government has announced plans to increase the price of CO2 emissions on fuels, reaching up to 65 euros per ton of CO2 by 2026. This move, aimed at reducing greenhouse gas emissions, will have a significant impact on households across the country.

The additional costs households can expect depend on the type of heating and the energy efficiency of their buildings. For instance, households with oil heating in Efficiency Class C can anticipate additional costs of 161.98 euros and up to 736.25 euros per year. The situation is more severe for households in Class G, with costs ranging from 404.94 euros to 1,840.63 euros per year.

Gas heating households are not immune to these costs either. In the lower energy efficiency class C, costs rise to 125.40 euros and can reach up to 570 euros in the highest scenario. In Class G, the costs are even higher, ranging from 313.50 to 1,425 euros per year.

It's important to note that the federal government plans to introduce a climate allowance to relieve citizens, but it has not been implemented yet. The price of CO2 from 2027 will be decided by the market through the trading of emission certificates.

The federal government has also decided to transfer the national emissions trading in Germany to a European-wide system from 2027. This transition aims to create a unified approach to combating climate change across the continent.

While these changes may seem daunting, there are ways for property owners to significantly reduce their CO2 costs. Energetic renovation, heat pumps, better insulation, or solar panels can all help reduce costs. For tenants, a portion of the costs for energetic renovation must be covered by landlords, depending on the building's energy condition.

It's also worth mentioning that some cities are more affected than others. High oil heating shares can be found in Schwäbisch Gmünd (28.1%), Offenburg (26.4%), and Bergheim (25.4%). Cities with a high gas share such as Wilhelmshaven, Oldenburg, and Neuwied are particularly affected.

Research by Correctiv has found that a fivefold increase in the price of CO2, as claimed in social networks, is considered unrealistic. Projections suggest a price of around 100 to 250 euros per tonne by 2030.

Citizens in Germany have been indirectly paying for CO2 emissions since 2021, with companies charging a CO2 price for heating oil, natural gas, gasoline, and diesel. The federal government plans to gradually reduce these certificates, and the introduction of the climate allowance is expected to further alleviate these costs for households.

In conclusion, while the increased CO2 prices will undoubtedly impact households, there are ways to mitigate these costs through energy-efficient renovations and the use of renewable energy sources. The federal government's plans to introduce a climate allowance and gradually reduce these certificates are also expected to provide relief for citizens.

Heating expenses are set to increase under the new EU law, according to a study, with certain locations anticipated to bear the brunt of these costs