Bundestag approves 500 billion euros for climate protection and infrastructure!

Bundestag approves 500 billion euros for climate protection and infrastructure!

In spring 2025, the Bundestag decided to set up a new special fund for infrastructure and climate neutrality. The federal government is thus reacting to the existing investment backlog and the need to modernize the infrastructure for the future. The basis for this was an expansion of the Basic Law to include Article 143h, which regulates the constitutional circumstances for such a project, as the WWF reports. The goal of the special fund is clearly defined: a total of 500 billion euros is to be invested over the next twelve years.

This amount is divided specifically: 100 billion euros are available for states and municipalities, another 100 billion go to the Climate and Transformation Fund (KTF), while the remaining 300 billion euros are planned for additional federal programs and measures. The focus here is not only on achieving climate goals, but also on promoting innovation and strengthening economic strength.

Protection of the climate and the natural foundations of life

A central aspect of the special fund is the consideration of climate protection. Article 20a of the Basic Law protects the natural foundations of life, including the climate, which obliges the federal government to give corresponding measures priority. This was also emphasized by the Federal Constitutional Court, which underlined the urgency of CO2 reduction. Accordingly, the Climate Protection Act (KSG) defines emission paths with the requirement to submit a climate protection program by March 25, 2026.

The infrastructure that is to be supported with these funds must be climate-oriented and socially just. The annual allocation of 10 billion euros to the KTF until 2035 is one of the planned measures to reduce structural deficits and promote sustainable investments. A clear restriction is that investments must not contradict climate goals; this precludes the extraction of obsolete fossil structures.

Concrete measures and use of resources

The use of the funds has not yet been finally determined as coalition negotiations between the CDU/CSU and SPD are ongoing. However, experts believe that there is a high need for financing in various areas, particularly in transport infrastructure, healthcare and education. For Deutsche Bahn, 148 billion euros were registered from the special fund, with the total investment requirement by 2034 estimated at 290 billion euros, as Taylor Wessing reports.

A fundamental part of the planned measures includes, among other things, energy-saving renovation, the promotion of the rail network and the expansion of waterways and inland ports. The investments must be “additional”, which means that the investment share in the federal budget must exceed 10% of the total expenditure without the special fund.

The Federal Council has already approved the debt package to set up the special fund, which also means a restriction on the debt brake. In the future, certain expenses, such as those for civil and civil protection as well as defense, will no longer be counted towards the debt brake. This offers the federal states the opportunity to use 100 billion euros for infrastructural projects.

In order to continue pursuing the ambitious climate goals, efficient control and evaluation of the use of funds is crucial. The WWF estimates the annual investment requirement up to 2030 to be between 50 and 84 billion euros, which highlights the need for these investments to be integrated into the planning process not only in a sensible but also legally binding manner.

The government has therefore drawn up a comprehensive plan to overcome the challenges of the time and at the same time make an important contribution to climate protection. It remains to be seen what the specific details of implementation will look like and what course the future federal government will set.

WWF reports about the fundamental aspects of the special fund, while Taylor Wessing provides detailed information on usage and financial conditions.