Munich, December 12, 2024 – Last Wednesday, a public hearing on falsified UER (Upstream Emission Reduction) certificates was held in the German Bundestag. Dr. Wolfgang Heinze, partner at SNP Schlawien Partnerschaft mbB, participated in the meeting of the Committee for the Environment, Nature Conservation, Nuclear Safety and Consumer Protection as a legal expert. The hearing was entitled: “Investigate possible fraud with fake climate certificates thoroughly – revoke wrongly issued certificates.”
The focus of the meeting was the greenhouse gas quota (THG-Quote), a key instrument for reducing CO₂ emissions from transportation. Since 2020, the GHG quota can be partially fulfilled by ERUs that come from climate protection projects in the oil and gas extraction sector. Indications of irregularities in ER projects in China (see also our report “SNP involved in investigating fraud allegations against Chinese climate projects” of August 19, 2024), particularly with regard to the origin of biodiesel, have given rise to the meeting. There is a suspicion that biodiesel from palm oil was declared as certified sustainable, although the use of palm oil has been banned in the EU since 2023.
Dr. Heinze explained that it is legally possible to withdraw unlawfully issued UER certificates or “GHG quota fulfillment notices” based on them. Administrative acts can be withdrawn within one year of becoming aware of violations if there is no protection of legitimate expectations. In cases of deception, a withdrawal period of up to ten years is conceivable for the GHG quota fulfillment notices, analogous to tax law regulations. This assessment opens up the possibility of retroactively punishing older violations as well.
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Dr Wolfgang Heinze
Attorney
Certified specialist in commercial and corporate law
Certified specialist in procurement law
Partner
+49 89 28634-280
wolfgang.heinze@snp.law
Peter Muth, M.A.
Attorney
Certified specialist in inheritance law
Certified specialist in commercial and corporate law
Partner
Attorney
Certified specialist in commercial and corporate law
Certified specialist in procurement law
Partner