Forecast: Tax Expenditure on Coal for Electricity Generation in Germany

In 2023, Germany's tax expenditure on coal for electricity generation was estimated at a benchmark preceding the forecast period. The projected tax costs from 2024 to 2028 reveal a downward trend, reducing from $1.41 billion to $1.02 billion. Each year registers consistent year-on-year declines reflecting a strategic shift away from coal dependency, with average annual decreases indicating a Compound Annual Growth Rate (CAGR) reflective of broader shifts towards sustainable energy.

Future trends to watch for include:

  • Increasing push towards renewable energy sources and policy shifts catalyzing the transition.
  • Potential regulatory changes impacting cost structures.
  • Technological advancements improving energy efficiency and reducing coal dependency.

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