German businesses invested around €4.15 billion in solutions to reduce emissions or promote more sustainable resource use in 2021, which represents an increase of 74.3% in climate protection investments over the course of a decade, new data from the Federal Statistical Office (Destatis) has found.
In 2011, climate protection investments stood at around €2.38 billion, it noted.
The increased investment is attributed to both legal regulations and government incentives, Destatis noted, with the German government supporting the energy transition, as well as investment in more environmentally friendly technologies.
Renewable energy
Almost half (49.2%) of the total investment in 2021 was directed towards measures promoting the use of renewable energy (€2.04 billion), including investment in wind and solar power installations.
Additionally, approximately €1.63 billion (39.2%) was allocated to enhancing energy efficiency and energy conservation, covering aspects such as building insulation and combined heat and power systems.
Investments in measures to reduce greenhouse gas emissions totalled €480 million (11.6%), with much of the investment focused around upgrading refrigeration systems to more environmentally friendly refrigerants.
Sustainable business
The increased investment in sustainable solutions has led to increased revenues for companies involved in associated sectors, Destatis said, with companies in the manufacturing and service sectors in Germany achieving a turnover of approximately €52.8 billion from climate protection products in 2021, a 11.9% increase compared to the previous year.
The most significant growth was observed in the solar energy sector, which saw a 24% increase (or €920 million), with this sector seeing a turnover of €4.8 billion.
More than half of the 2021 revenue (54.2%), amounting to around €28.6 billon, was attributed to measures aimed at increasing energy efficiency and saving energy, including building insulation (€10.2 billion).
The growing importance of environmental protection is also reflected in the job market. In Germany, the number of employees (measured in full-time equivalents) in so-called ‘green jobs’, reached approximately 341,200 in 2021. This marked a 9.7% increase compared to the previous year and a 44.3% increase over the past decade.
