How Bavaria Is Strategically Advancing Its Approach to CO₂—From Concept to Implementation
An Interview with the Carbon Management Coordination Office
September 10, 2026
Carbon management is increasingly becoming a strategic issue for the future in Bavaria. So how can we rethink our approach to CO₂ from a strategic, economic, and technological perspective?
Ms. Birke, why does Bavaria need a coordination office for carbon management right now?
Anja Birke: We need to bring together industrial value creation, technological innovation, and climate neutrality. Key industrial sectors generate CO₂ emissions that cannot be completely avoided, despite more efficient processes, the use of renewable energy, and the transition away from fossil fuels. These so-called hard-to-avoid or process-related emissions occur, for example, in the cement, lime, and chemical industries. At the same time, this is a highly complex field. It involves the interplay of technologies for capturing, utilizing, or storing CO₂, as well as transportation infrastructure, permits, regulatory frameworks, financing, public acceptance, and new value chains. Thanks in part to the initiative launched by the Federal Ministry for Economic Affairs in May 2026, the topic of carbon management is really gaining momentum.
What specific role does the Coordination Office play in this context?
Anja Birke: With the new Carbon Management Coordination Office, the Bavarian State Ministry of Economic Affairs, Regional Development, and Energy is establishing a central point of contact for the strategic handling of CO₂ under the umbrella of Bayern Innovativ. Our mission is to provide technical and organizational support for the implementation of the Bavarian CCU/CCS Action Plan and to strengthen cooperation between industry, academia, associations, policymakers, and government agencies. Specifically, this means bringing together the right stakeholders to accelerate the development of projects toward practical application. This includes, for example, specialized events, workshops, and webinars. We also help identify suitable contacts and support services, such as assistance with funding applications.
For which target groups and stakeholders is the Coordination Office particularly relevant?
Anja Birke: The focus is on companies with CO₂ emissions that are difficult to avoid or are biogenic in origin, technology providers for capture and processing, plant manufacturers, logistics companies, infrastructure and network operators, as well as companies that can use CO₂ as a raw material. Equally important are research institutions, universities, associations, municipalities, government agencies, environmental organizations, and stakeholders in the fields of financing and funding. Carbon management cannot be viewed in isolation from a single perspective. The interaction among these stakeholders is crucial.
“Carbon management” is a term that is used in various ways. What exactly does the Coordination Office mean by it?
Anja Birke: Carbon management refers to the systematic and holistic management of CO₂, meaning all measures for capturing, reducing, utilizing, and storing carbon dioxide. As the Carbon Management Coordination Office, we focus on emissions that are difficult to avoid. This means that where reductions are not possible—or are possible only with great effort—other options are needed to keep carbon in the cycle, sequester it long-term, or offset emissions.
What role does carbon management play on the path toward a climate-neutral yet competitive industry?
Anja Birke: To achieve this major goal, we must adjust all levers simultaneously. This means creating carbon sinks while simultaneously reducing emission sources. For the transition and the unavoidable residual CO₂, we need carbon management to achieve climate neutrality. Economic opportunities can then arise from this. Captured CO₂ can be used as a carbon source in certain applications, such as chemical products, synthetic energy carriers, or building materials. This can give rise to new material cycles, products, and value chains. For Bavaria as a hub for industry and innovation, it is therefore important to build up technological expertise, infrastructure, and suitable partnerships at an early stage.
Why is it not enough in certain areas to focus exclusively on emissions avoidance?
Anja Birke: Strengthening natural carbon sinks, as well as technological, organizational, and strategic approaches to process optimization—and thus to emissions avoidance—should always be prioritized. However, there are also industrial processes in which CO₂ emissions arise not from the energy source used, but from the chemical transformation of the raw materials. One example is the production of cement clinker. In this process, limestone is calcined. The material itself contains chemically bound CO₂, which is released during the calcination process. Even if less clinker were used and the energy required for this were supplied entirely from renewable sources, these process-related emissions would still remain.
What questions or concerns are companies, research institutions, or other stakeholders currently bringing to you most frequently?
Anja Birke: Many companies, research institutions, and other stakeholders are currently reaching out to us in search of suitable research and technology partners, project consortia, or potential suppliers or buyers of captured CO₂. There is also frequent interest in funding and financing opportunities for pilot, demonstration, and subsequent scaling projects. In addition, we receive inquiries regarding the European Union Emissions Trading System (EU ETS) as well as the opportunities and requirements of the voluntary carbon market, particularly with regard to the recognition, marketing, and financing of CO₂ reduction and CO₂ removal credits. Overall, there is a high demand for guidance on how to integrate carbon management into the respective decarbonization and transformation strategies.
Where do you currently see the greatest challenges in implementing carbon management solutions in Bavaria and Germany?
Anja Birke: The main challenges lie in scaling up innovative approaches to a pilot plant or industrial scale. This requires investments, reliable framework conditions, and suitable partnerships along the entire value chain. In addition, the capture, processing, and compression of CO₂ for transport and storage, in particular, are energy-intensive process steps that require sufficient renewable energy to be available. Funding mechanisms, regulatory frameworks, and questions regarding the role of the EU Emissions Trading System and voluntary carbon markets are also evolving and influence the economic viability of many projects.
How important are networking, knowledge transfer, and collaboration between industry, academia, policymakers, and government agencies to the success of this initiative?
Anja Birke: For many companies, CO₂ is primarily a byproduct of industrial processes. Developing solutions for managing CO₂ is often not part of their core business. Consequently, they frequently lack the resources, expertise, or incentives to delve deeply into the potential of carbon management. Furthermore, it is currently very difficult to map out a complete CO₂ value chain on one’s own. Emitters need technology providers, infrastructure partners, potential users, and storage solutions. Research and science constantly provide new methods and insights; companies bring them into industrial application; and policymakers and government agencies shape the necessary framework conditions. Our task is to bring these different perspectives together, identify needs, and create a shared knowledge base.
What specifically do you hope to achieve with the Coordination Office in the coming years?
Anja Birke: The goal is to establish the Coordination Office as a reliable point of contact for carbon management in Bavaria. We want to build a Bavaria-wide network so that when stakeholders have questions or needs, the answer is just a phone call or an email away.
And finally: What advice would you give to companies and other stakeholders in Bavaria who haven’t yet engaged more deeply with carbon management?
Anja Birke: Even if no project is planned yet or there isn’t a specific need at this time, it’s worth focusing on the topic and understanding your own processes and CO₂ flows. Where do emissions originate, and how can they be reduced or even avoided? Are there residual emissions that are difficult to reduce or unavoidable? Could they be captured, utilized, or transported? And which partners would be needed for that? Precisely because everything in this field is currently evolving dynamically, now is a good time to build expertise, establish contacts, and explore possible courses of action. The Coordination Office provides guidance, information, and access to relevant networks. Companies can reach out to us with an initial question, a project idea, or simply to request information.
All information about the Coordination Office and the Bavarian CCU/CCS Action Plan