Germany drafts law to meet RED III fuel targets, boosting green hydrogen’s role


Germany has drafted a new law designed to strengthen its greenhouse gas reduction targets for fuel, in line with the EU’s Renewable Energy Directive (RED III) and ReFuelEU.

The proposed legislation raises the country’s GHG reduction quota for transport fuels to 53% by 2040, equivalent to over 77% renewable energy use in the sector. For the first time, the quota will apply across all modes of transport, including aviation and shipping.

The draft law introduces binding targets for renewable fuels of non-biological origin (RFNBOs), such as green hydrogen, requiring fuel suppliers to incorporate a rising share, starting at 0.1% in 2026 and reaching 12% by 2040.

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