Germany’s federal cabinet has approved amendments to two national sustainability ordinances, implementing the European Union’s revised Renewable Energy Directive (RED III) into domestic law and granting authorities new powers to combat certificate fraud in the biofuels market.
The cabinet’s approval on 28 October targets the Biofuel Sustainability Ordinance (Biokraft-NachV) and the Biomass Electricity Sustainability Ordinance (BioSt-NachV). Led by the environment ministry (BMUKN), the revisions do not require approval from the Bundesrat, Germany’s upper house, and will take effect the day after their publication in the Federal Law Gazette.
Dismantling the Trust Rule After High-Stakes Fraud
The regulatory overhaul responds partly to years of fraud involving supposedly advanced biofuels.
A central measure is abolishing the so-called “protection of trust” rule. Previously, this rule meant sustainability certificates could not be withdrawn retroactively if fraud was discovered after they were issued.
Certification bodies also face stricter requirements. The framework also makes the use of the EU’s Union Database, designed to track liquid and gaseous fuels across the supply chain, mandatory once it is operational.
Elmar Baumann, managing director of the German Biofuels Industry Association (VDB), welcomed the decision.
Raising the Bar for Bioenergy Power Plants
Existing plants that received EEG support before that date remain under the previous RED II GHG rules. In most cases, they will not need to carry out GHG calculations until the end of 2030.
A transitional period applies for certification. The amendments also clarify sustainability requirements for wood-based residues. However, it criticised the lack of additional default values and simplified GHG calculation methods.
Managing Transposition Delays and Missing Strategies
Germany’s deadline for transposing RED III’s bioenergy sustainability provisions passed in May 2025.
That strategy was intended to prioritise the use of limited biomass across power, heat, transport and materials.
