Why was the GHG quota introduced?
The transport sector is responsible for a significant share of CO₂ emissions. Reducing these emissions requires fossil fuels to be replaced gradually by lower-emission alternatives.
The GHG quota creates an economic incentive to support this transition.
Companies that place fossil fuels on the market must reduce their greenhouse gas intensity. Electricity used for electric vehicles can be credited as a lower-emission alternative.
The GHG quota therefore combines climate policy with a market-based mechanism.
Put simply:
Companies that place fossil fuels on the market must reduce emissions. Those who provide or use eligible lower-emission energy can benefit financially.
How does the GHG quota work?
The GHG quota is based on a trading mechanism.
Electric vehicle owners do not directly sell emission rights. What matters is the eligible amount of electricity used for eMobility.
The process can be simplified into four steps:
How does eMobility become a tradable GHG quota?
With all-electric vehicles, a unique situation arises: The amount of electricity actually charged by a single vehicle cannot always be clearly measured or attributed to a specific vehicle. For example, an electric car can be charged at home, at work, or at public charging stations. For this reason, lawmakers use flat-rate electricity amounts for certain vehicles. These are set once per calendar year based on the respective vehicle class. This allows the GHG quota to be utilized without having to document every single charging session for a vehicle.
It is important to note that the flat-rate vehicle allowance generally applies to battery-electric vehicles only. Plug-in hybrids are treated differently in this context.
How does the GHG quota work for public charging stations?
For publicly accessible charging stations, the billing works differently. Here, the actual amount of electricity supplied can be taken into account. As a result, the potential GHG compensation depends more heavily on how much electricity is charged via a qualified charging station. A heavily used public charging station can generate a correspondingly higher amount of eligible electricity than a charging station with few charging sessions. This creates an additional revenue stream for operators in addition to their actual charging revenues.
What does “publicly accessible charging point” mean?
Not every charging station that can be used by multiple people is automatically considered publicly accessible. The decisive factor is whether the charging point is available to an open or generally definable group of users.
Typical examples can include:
- charging points in publicly accessible car parks
- charging infrastructure at hotels or retail locations
- charging points in customer car parks
- publicly usable charging points on company premises
Charging points that are available only to a clearly defined and individually known group of people are generally not considered publicly accessible.
The exact classification depends on the specific usage situation.
What role does the German Environment Agency play?
The German Environment Agency plays a central role in the crediting of electricity under the GHG quota scheme.
It reviews the submitted data and certifies the eligible electricity volumes and the resulting greenhouse gas reductions. This does not mean that the German Environment Agency pays a GHG premium itself. The financial remuneration arises only when the certified volumes are subsequently marketed to companies subject to the quota obligation. This is one reason why the achievable revenues can change over time.
Why does the value of the GHG quota fluctuate?
GHG revenue is not a permanently fixed state subsidy.
Its value depends on several factors, including:
- demand for GHG quotas
- how many eligible quantities are available on the market
- the applicable regulatory framework
- developments in the GHG quota market
As a result, revenue may vary from year to year or even within a single year. Current amounts should therefore always be checked at the time of application.
What is the difference between the vehicle quota and public charging infrastructure?
Both models are based on the same basic principle, but differ in their calculations.
Electric Vehicles
For pure battery electric vehicles, a standard electricity volume is applied per vehicle and calendar year. Individual charging sessions do not need to be documented separately.
Publicly accessible charging points
For public charging points, the calculation is based on the actual eligible electricity supplied. The higher the eligible charging volume, the higher the potential GHG revenue. Companies with electric vehicles and publicly accessible charging infrastructure may therefore, in principle, be affected by both forms of GHG offsetting.
Who can benefit from the GHG quota?
The GHG quota is relevant for different groups.
These can include:
- Companies with all-electric vehicles in their fleets
- operators of publicly accessible charging infrastructure
- companies with charging points for customers or visitors
- Fleet operators
- private individuals with pure battery electric vehicles
The type of GHG credit that is available depends on the vehicle, the charging infrastructure, and the applicable legal requirements.
What are the benefits of the GHG quota?
The GHG quota creates an additional economic incentive for electric mobility.
Electric vehicle owners and charging infrastructure operators can generate additional revenue without having to create any additional emission reductions beyond the eMobility already in use.
For operators of public charging points, the GHG quota can also help offset part of the ongoing costs associated with operating, maintaining or expanding charging infrastructure.
At the same time, the system supports the broader policy objective of gradually replacing fossil fuels with lower-emission alternatives.
What should companies check before using the GHG quota?
Before applying, companies should clarify:
- Which vehicles can be counted toward the GHG quota?
- who the vehicles are registered to
- whether charging points qualify as publicly accessible
- whether the required registrations and evidence are in place
- what current revenues apply
- What deadlines must be taken into account for submission?
For charging infrastructure in particular, careful assessment is useful because public accessibility and legal requirements can depend on the specific operating model.
Conclusion: The GHG quota combines eMobility with an economic incentive
The GHG quota is more than a premium for electric cars. It is part of a system designed to reduce greenhouse gas emissions in the transport sector and support lower-emission energy sources through economic incentives.
There are two main approaches to electric mobility: the flat-rate crediting of certain all-electric vehicles and the crediting of the actual amount of electricity delivered at publicly accessible charging stations.
For current revenues, eligibility requirements and details on how companies can use the GHG quota with reev, visit our overview page.