The Carbon Contracts for Difference (CCfD) program in Germany, initiated on March 12, 2024, with a first bidding round of €4 billion, aims to support energy-intensive industries in transitioning to climate-friendly production processes by compensating for additional costs compared to conventional methods. The program is expected to reduce greenhouse gas emissions by up to 20 megatonnes annually, contributing significantly to Germany's industrial sector's 2030 climate target, while fostering innovation and competitiveness in German industry.

Fifteen CCfDs were signed in October 2024, closing the first bidding round. The preparatory procedure for the second bidding round was initiated on 6 October 2025, with the second bidding phase likely to take place in the second half of 2026. Changes were made relating to the possibility of greater deviations from planned emission reductions due to unforeseen events and developments, reduced barriers to the use of hydrogen, including projects that use CO2 capture technologies for later storage or use (CCUS) to reduce greenhouse gas emissions.