Economic opportunities arising from the transition to greenhouse gas neutrality and greater environmental protection

This project comprehensively analyses and highlights the economic opportunities arising from the transition towards greenhouse gas neutrality and greater environmental protection. The aim is to position the ecological transition not as a cost factor, but as a relevant, forward-looking economic factor. Through systematic analyses, international comparisons and a clear presentation of the findings, the project aims to demonstrate that climate protection, resource efficiency and innovation are key drivers of competitiveness, employment and the resilience of the German economy. The work is based on a combination of scientific literature reviews, empirical studies and model-based analyses. On this basis, the economic benefits of the transition are quantified – for example, through cost savings and productivity gains resulting from greater energy and material efficiency, reduced dependence on fossil fuel imports, avoided environmental and health costs, and positive effects on employment and value creation. The calculations are based on the macro-econometric model PANTA RHEI, which consistently models the interactions between energy, emissions and the economy, as well as other analytical tools. In addition, success stories from industry, mobility and other areas of transformation are analysed to identify key factors in successful transformation processes. These include, for example, effective regulatory approaches, framework conditions that foster innovation, first-mover advantages, and successful combinations of funding and pricing instruments. Deriving concrete policy recommendations helps to increase the efficiency and acceptance of environmental and climate policy and to strategically harness its positive economic effects.

More information about the project

Status of project

Project is ongoing

Project manager

Project staff

Commissioned by

German Environment Agency (UBA)

Project partners

Institute of Economic Structures Research (GWS)