Commission approves €1.3bn for rewetting of peatlands in Germany

Some €1.3bn in funding has been approved by the European Commission under EU state aid rules for the rewetting of drained peatlands in Germany.

The aim of the scheme is to reduce greenhouse gas emissions by increasing carbon storage in peatlands, the Commission said.

Currently, 7% of Germany’s greenhouse gas emissions come from the draining of peatlands being used for agriculture and forestry.

The German government hopes to restore peat soils as natural carbon sinks with this scheme, preventing further decomposition of the peatland.

“The scheme will support measures for the permanent and extensive rewetting of peatlands and for the subsequent agricultural and forestry use of peatlands at elevated water levels in so-called paludicultures,” the Commission has stated.

Grants

Under the scheme, participants can avail of direct grants covering up to 100% of eligible costs.

Participants who join the scheme within one year are eligible for a 20% speed bonus to encourage uptake.

The Commission has said that eligible participants “are stakeholders for the implementation of extensive rewetting projects in Germany such as landowners, land managers and owners of drainage infrastructure”.

Executive vice-president for the EU strategy 'Clean, Just and Competitive Transition' Teresa Ribera commented: “The rewetting of drained peatlands in the EU is an important step towards reaching our climate goals, but it also comes with challenges for farmed land.

“The scheme that we approved today sets important incentives to develop new, sustainable value chains while taking all relevant stakeholders on board.”

The scheme is set to run until 31 December 2029.