Germany’s New Government: Bold Strategies for Climate Action in 2025

In recent years, Germany has faced several pressing issues like the war in Ukraine, rising energy prices, and a struggling economy, all overshadowing the climate crisis. Despite the increasing urgency of environmental concerns, climate change barely came up in discussions during the February elections. This left many wondering how the new coalition government would address climate action.

After extended negotiations, the three ruling parties—the Christian Democratic Union (CDU), Christian Social Union (CSU), and Social Democrats (SPD)—have finally begun outlining their climate agenda. They’ve committed to reaching climate neutrality by 2045, according to their coalition agreement. However, Claudia Kemfert, an economist from the German Institute for Economic Research, notes that environmental issues aren’t a top priority for the new government.

Christoph Bals, chief policy officer at the environmental organization Germanwatch, highlights the challenges ahead. He senses a lack of urgency in addressing climate policies among some government members. “It feels like they aren’t yet ready to tackle these issues,” he pointed out.

Germany’s economy has been struggling, and the new government seems to favor economic stability over aggressive climate measures. The last administration shifted climate policy under the Federal Ministry for Economic Affairs, led by Green party member Robert Habeck. Now, however, climate policy will return to the environment ministry, a move that has mixed reviews. Kemfert sees potential benefits in this change, as it consolidates expertise, but worries it could reignite conflicts between economic and environmental priorities.

New Chancellor Friedrich Merz has made clear that he is hesitant to phase out coal and gas plants if it poses a risk to the economy. Bals warns that this could lead to neglect in climate initiatives, especially since most ministries are controlled by conservative party members. He emphasizes the need for a cohesive strategy to factor in climate issues across all decision-making.

Jörg-Andreas Krüger, president of the conservation group NABU, is adamant that climate, environment, and biodiversity must be central to all policies. The new environment minister, Carsten Schneider, has taken on a significant challenge. He’s relatively new to the environmental arena and will need to push for a 65% reduction in greenhouse gas emissions by the decade’s end. Kemfert believes there is much room for improvement in Germany’s current emissions strategies for buildings and energy.

Schneider will also oversee Germany’s role in international climate agreements, a task previously held by the foreign ministry. Experts like Dennis Tänzler from the Berlin-based think tank Adelphi warn that Germany needs to lead the way in international climate talks, especially with the U.S. stepping back from commitments. “It’s crucial for Germany to not only meet its own targets but also foster global partnerships for climate finance,” he argues.

With the new policies still in the early stages, the pressure is on for Germany to fulfill its climate commitments. Kemfert insists that the country cannot afford to lose its hard-earned reputation in the global climate arena. “We must approach these challenges with urgency. Our leadership is critical, and we cannot waste this opportunity,” she concluded.

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