News that German greenhouse gas emissions fell by 21% last year has led to an interesting debate within the country, as the Financial Times reports.

The Berlin-based think-tank Agora Energiewende came up with the figure, which in absolute terms is a 673 million tonne of carbon dioxide-equivalent drop. It estimates that around 15% of this drop (hence 3.2% of 2022 emissions) came from technological improvements such as energy efficiency and the use of cleaner power, while half of it came from falling industrial activity. (It appears most of the remaining came from changing fuels.) German vice-chancellor Robert Habeck put a positive spin on the news, highlighting the finding that more than half of the country’s electricity had been generated from renewables in 2023, but also acknowledged the slowdown in industrial activity, pointing the finger of blame at the Russian invasion of Ukraine, which has raised energy prices.

Taking a different view was the president of the Federation of German Industries, Siegfried Russwurm, who argued high energy prices and industrial longevity cannot coexist, and that increased governmental support is required. “We are no longer talking about short-term economic dips that will correct themselves, but rather about structural problems in Germany as a location. Concrete measures that actually improve the situation of companies in global competition are unfortunately still missing,” he said. Agora’s own take on the findings – based on the estimate that while German economic output contracted by 0.3% in 2023, that of energy-intensive industry dropped 11% – was that even if German GHG emissions reduced, it would mean nothing for the climate if those emissions “relocated abroad” to potentially more carbon-intensive production.

It is a conundrum that the German government will need to have at the forefront of its thinking as the new year unfolds.