CO2 tax on heating in Germany 2026: your cost
Enter your fuel and yearly use: the calculator shows the CO₂ released and what the carbon price has cost you in each year since 2021.
Worked through by Radif Partners · Editorial policy · How we calculate
CO₂ cost a year
€281
3,628 kg CO₂, 1.4 ct/kWh incl. VAT
| 2021: 25 €/t | €108 |
|---|---|
| 2022: 30 €/t | €130 |
| 2023: 30 €/t | €130 |
| 2024: 45 €/t | €194 |
| 2025: 55 €/t | €237 |
| 2026: €55 to €65/t | €237 to €281 |
| 2027: €55 to €65/t (passed, not in force) | €237 to €281 |
Step-by-step calculation
- 20,000 kWh × 3.2508 GJ/MWh × 0.0558 t/GJ = 3,628 kg CO₂ (EBeV 2030, Annex 2).
- 3.63 t × €65 × 1.19 (VAT) = €281.
- From 2028 the EU ETS2 is due to replace the German price; there is no fixed price for it. Your own value in the “CO₂ price” field runs a scenario.
Estimate under the funding guideline and the law as of October 2026, not advice. Only the bank’s grant approval is binding. How we calculate
What people call Germany’s CO₂ tax on gas and heating oil is legally not a tax but the price of emission certificates under the Fuel Emissions Trading Act (Brennstoffemissionshandelsgesetz, BEHG). Suppliers must surrender a certificate for each tonne of CO₂ in the fuel they sell and build the cost into their prices. The fixed price rose from €25 a tonne in 2021 to €55 in 2025. Since 2026 certificates are auctioned within a corridor of €55 to €65, so far at €65 on average. Including VAT that is 1.40 cents per kWh of gas and 20.7 cents per litre of heating oil. A house using 20,000 kWh of gas a year pays €281 in CO₂ cost, against €108 in 2021. With 2,000 litres of oil it is €414 instead of €159. For 2027 the Bundestag has passed the same corridor, but the law is not yet published. From 2028 the EU ETS2 is due to take over, with no fixed price.
Who actually pays the carbon price
Since 2021 every tonne of CO₂ from heating oil, natural gas and LPG has carried a price. Under section 10 of the Fuel Emissions Trading Act, the duty lies not with households but with the companies that bring the fuel onto the market. They buy the certificates and pass the cost down the supply chain. Prices were fixed until 2025; in 2026 certificates are auctioned within a corridor. According to the sales report of the German Emissions Trading Authority, the average up to August was €65, the top of the range.
| Year | Price per tonne | Oil 2,000 l | Gas 20,000 kWh |
|---|---|---|---|
| 2021 | €25 | €159 | €108 |
| 2022 | €30 | €191 | €130 |
| 2023 | €30 | €191 | €130 |
| 2024 | €45 | €287 | €194 |
| 2025 | €55 | €350 | €237 |
| 2026 | €55 to €65 | €350 to €414 | €237 to €281 |
| 2027 (passed, not yet law) | €55 to €65 | €350 to €414 | €237 to €281 |
The 2027 row shows the corridor the Bundestag passed on 15 October 2026 (Bundestag). The Bundesrat and publication are still pending. What applies until then, and what the ETS2 brings from 2028, is under CO₂ price 2027.
How the calculator works it out
The amount of CO₂ comes from the default values in the EBeV 2030 regulation: one litre of heating oil weighs 0.845 kg, holds 42.8 MJ per kg and emits 0.074 kg of CO₂ per MJ. For gas we start from the kWh on your bill, which German suppliers state on a gross calorific basis, and convert with 3.2508 GJ per MWh. That conversion is our own reading; the regulation does not spell it out. Tonnes times price gives the cost, and 19 % VAT is added.
An example: 2,000 litres of oil at €65 gives €414, or 20.7 cents a litre. How large that share is in the pump price is on CO₂ price for heating oil. For gas it is 1.40 cents per kWh, which you can set against the averages under gas prices.
Reading a German gas or oil bill
Bills come in German only. Section 3 of the CO₂ Cost Allocation Act requires the supplier to list the emissions in kg of CO₂ (Brennstoffemissionen), the emission factor per kWh, the energy content and the CO₂ price component including VAT (Preisbestandteil der Kohlendioxidkosten). For 2026 invoices the law uses the middle of the corridor, €60; from 2027 the average of auctions from 1 July to 30 November of the previous year. So your bill may differ slightly from the calculator at €65.
CO₂ cost in 2026, 2027 and after
2027, passed, not in force
€237 to €281
| 2026 (55 to 65 €/t) | €237 to €281 |
| Your 2028 scenario (€100/t) | €432 |
VAT included. There is no fixed price for 2028: the value is your assumption.
Tenants, landlords and the way out
In a rented flat the law divides the cost by emissions per square metre: see CO₂ cost split. If you own the house and want the cost gone for good, you need heating that burns no fossil fuel. The grant for that is worked out under heat pump grant, the running costs afterwards in the heating cost calculator. For a bonus, the home must be your main residence.