Climate

Germany suspects “serious environmental crime” from fake Big Oil carbon offset projects

Published by

German environment minister Steffi Lemke is demanding clarification from the Federal Environment Agency (UBA) following allegations of fraudulent emission reduction projects in China used by fossil fuel giants like Shell and TotalEnergies to fulfil climate protection requirements in Germany, public broadcaster ZDF reported.

“It is possible that we are dealing with a case of serious environmental crime here,” said Lemke.

The UBA is currently examining 40 out of a total of 69 projects that it approved in China and that had been validated and verified by German inspection bodies, but possibly based on false information.

ZDF claims that more than a quarter of the so-called upstream emission reduction projects (UER) are fake, and has estimated the value of the allegedly fraudulent schemes at more than 600 million euros.

The UBA has commissioned an international law firm that also operates in China to carry out an on-site inspection. It has also filed a criminal complaint with the Berlin public prosecutor’s office, which has launched an initial investigation.

Oil companies can use UER certificates to fulfil greenhouse gas reduction quotas in Germany by reducing CO2 emissions during oil production.

While the government has shut down the UER system due to inadequate controls, trading of UER certificates continues and cannot be stopped, according to the environment t ministry.

Companies involved in trading have to take into account that acquired UER certificates could turn out to be fake, however. The UBA has in the wake of the fraud allegations also suspended a senior employee who was responsible for the approval of the UER projects.

Clean Energy Wire. Reproduced with permission.

Share
Published by

Recent Posts

Australia’s biggest energy users are being lined up to break the wind drought in its most coal dependent state

Data centres and the country's biggest aluminium smelter will finally get to break the long…

18 August 2026

The $2.5 billion wind project getting ready for take-off: But what about the crashed Cessna?

After more than two decades of planning, this huge wind project is edging closer to…

18 August 2026

One of Australia’s biggest wind projects seeks green light to add solar and battery

The developers behind a mammoth proposed 1.4 gigawatt (GW) wind farm is seeking federal environmental…

18 August 2026

What federal and state rebate changes mean for C&I solar and batteries – in 8 charts

Eight charts show how two big policy announcements in the space of a fortnight have…

18 August 2026

Safeguard will short-change climate targets, study says, rules should be tougher on fossil fuels

Australian investors are pushing for big changes to Australia's major pollution policy and they could…

18 August 2026

Bigger than Godzilla: Fortescue receives second shipment of turbine parts to top “self-lifting” towers

A second shipment of some of the biggest wind turbine parts yet seen in Australia,…

18 August 2026