Germany Proposes Fast Track Law to Expand Geothermal Energy and Clean Heating
BERLIN: In a major push toward climate-friendly heating, Germany’s economy ministry unveiled a draft law on Friday to accelerate the development of geothermal energy and other clean heat systems. The move is part of the country’s goal to eliminate fossil fuels from heating systems by 2045.
The proposed legislation streamlines approval processes for geothermal plants, heat pumps, thermal storage, and heating pipelines by labeling them projects of “overriding public interest” a status already granted to wind and solar energy. It also aims to speed up permitting procedures by updating mining, environmental, and water laws.
One of the key changes includes giving mining authorities fixed deadlines for project approvals and allowing them to waive certain operational requirements under specific conditions. Authorities will also gain the right to demand financial security from companies to cover any potential mining related damages.
Germany holds one of Europe’s largest geothermal reserves, which a 2023 Fraunhofer Institute study estimated could meet over 25% of the country’s annual heating needs. However, development has historically faced delays due to strict regulations and local opposition.
The law comes amid renewed interest in geothermal investment, driven by the energy crisis triggered by Russia’s 2022 invasion of Ukraine and Germany’s pressing need to cut emissions in its building sector where heating is the top contributor.
If approved by the federal cabinet and both houses of parliament, the new geothermal law is expected to take effect at the beginning of next year.
