Decarbonisation of industry

In parallel with the ongoing energy transition in the partner countries, the International Climate Initiative (IKI) is supporting the decarbonisation of industry as a key component of global mitigation of greenhous gases.

Industry is a rather new – but increasingly central – topic for the IKI. In cooperation with the relevant partner ministries, the IKI will focus on sectors in which decarbonisation entails considerable costs, in which technologies are not yet sufficiently available, and which are also of great economic importance. There is considerable potential for this, especially in the IKI priority countries.

Central starting points for policy advice include

• the development of sustainable industrialisation strategies with a view to integration into international markets of the future,
• the support of decarbonisation pathways for certain industries,
• the setting of standards and accounting frameworks,
• policy development,
• reference to the Carbon Border Adjustment Mechanism (CBAM),
• green procurement, and
• CO₂ pricing instruments for industry as an incentive for decarbonisation measures.

In terms of piloting and scaling up specific approaches, in addition to promoting measures to increase renewable energy and energy efficiency, the aim is to promote the mobilisation of private sector investments and strengthen the circular economy and resource efficiency.

The Climate Club, which was initiated by Germany as part of the G7, is an international forum at the highest political level as well as an important reference point for the activities of the IKI in this field of action. 

Funding area: Mitigating greenhouse gas emissions