Germany: Parliament removes legal obstacles to carbon dioxide export and storage

Why should I read this?

The German Federal Parliament has adopted a bill to remove obstacles under international law to exports of carbon dioxide and offshore storage. In addition to the Carbon Dioxide Storage and Transport Act (“Kohlendioxid-Speicherung- und -Transportgesetz”, KSpTG), which Act entered into force on 28 November 2025 (please refer to our briefing[1]), this bill clears the way for cross-border cooperation in carbon capture and storage (CCS) as well as carbon capture and utilisation (CCU). The Government considers CCS and CCU as essential for Germany’s strategy to achieve climate neutrality by 2045 and net-negative emissions thereafter.

What do I need to know?

To date, export of carbon dioxide for offshore storage qualifies as illegal export and dumping of waste under applicable international treaties. The German Federal Parliament has voted for the following changes:

• Ratification of Resolutions on the London Protocol: Germany ratifies Resolutions LP.3(4) on the Amendment to Article 6 of the London Protocol of 1996 to the ‘Convention on the Prevention of Marine Pollution by Dumping of Wastes and Other Matter’ of 1972 (“the Convention”) and LP.5(14) on the Provisional Application of the 2009 Amendment to Article 6 of the London Protocol.

Resolution LP.3(4) is intended to allow exports of carbon dioxide for insertion into the sea, as an exception to the Convention, subject to an agreement between contracting parties of the London Protocol or an agreement with a non-party in compliance with the standards of the London Protocol. This Resolution has not yet come into force, as too few contracting parties have acceded to it yet. Resolution LP.5(14) allows contracting parties to provisionally apply Resolution LP.3(4).

• Amendments to the Statute on Insertion of Waste and other Substances and Objects into the High Seas (“Hohe See-Einbringungsgesetz”, HSEG): Insertion of carbon dioxide in accordance with the KSpTG is exempted from the prohibition of inserting waste or other substances into the High Seas. Exports of carbon dioxide to other countries for insertion in the High Seas are permitted (1) subject to the laws of the European Union or (2) an agreement between Germany and the destination country in line with Resolution LP.3(4) for amending the London Protocol, and notified to the International Maritime Organization. “High Seas” in the meaning of the HSEG comprises the sea, except for German coastal waters or waters of other countries, but including the German Exclusive Economic Zone.

Export for storage in the North Sea will, according to experts, be the only available solution for possibly 90 % of the carbon dioxide that may be captured and stored in Germany pursuant to the KSpTG. The federal states may decide for or against onshore storage in their territories, and CCS in the country, so-to-say the backyard of voters, is unlikely to be popular. Facilities in the German Exclusive Economic Zone and the continental shelf must still be planned and built.

German constitutional law foresees that Germany accedes to international treaties and implements them in domestic laws by way of a statute voted by Federal Parliament. The same applies to amendments to such treaties. – The approval by the Second Chamber (“Bundesrat”) is outstanding, but to be expected.

What does this mean for stakeholders?

Emitters of carbon dioxide, namely in the cement, chemical, limestone, steel and waste incineration industries, should consider whether CCS is a useful and economic option for reducing CO₂ emissions. Aid for funding pursuant to a climate protection agreement (“Klimaschutzvertrag”) or under the Federal Funding Industry and Climate Protection programme (“Förderrichtlinie Bundesförderung Industrie und Klimaschutz”) may be achievable.

The European Commission has closed the public consultation on its Legislative initiative on CO₂ transportation infrastructure and markets on 9 January 2026.[2] It plans to adopt legislative and other measures for subjects such as cross-border interoperability of CO₂ transport infrastructures, access to infrastructure and compensation for access, as well as cooperation with non-EU countries in the third quarter of 2026.

What should I do next?

Utilities, stakeholders in industries with unavoidable carbon dioxide emissions, project developers and investors should further monitor the legislative and political process on both the European Union and the German level.

[1] Germany: Government adopts bill for commercial carbon capture and storage | Eversheds Sutherland

[2] https://ec.europa.eu/info/law/better-regulation/have-your-say/initiatives/14804-Legislative-initiative-on-CO2-transportation-infrastructure-and-markets_en