Lusatia becomes Europe's first Net Zero Valley

The Federal State of Saxony's Economics Minister Dirk Panter emphasizes: "Net Zero Valley Lusatia is creating a model region for the industry of the future. We are creating planning security, stimulating investment and giving Lusatia a clear direction - towards becoming a strong, sustainable business location. This decision is another milestone on the way to a climate-neutral and sustainable Lusatia."

"Lusatia shows that we cannot postpone the transition to a climate-friendly industry, but must start now. We have a historic opportunity to establish the region as a global center for green technologies and at the same time create a stable, sustainable working environment for people. The city of Cottbus and the district of Görlitz have been in charge of the project from the outset. I would like to express my sincere thanks for this exemplary initiative from Lusatia for Lusatia," said Panter.

The decision by the Saxony cabinet is part of the EU Net Zero Industry Act, which enables member states to designate so-called Net Zero Valleys. These acceleration valleys serve to implement industrial projects in the field of climate-neutral technologies more quickly and efficiently - from green energy and storage technologies to components for the electricity grid and hydrogen technologies.

Lusatia is now the first transnational Net Zero Valley region within the EU. Saxony and Brandenburg are thus creating a joint foundation for future-oriented growth and technological sovereignty.

The concept for Net Zero Valley Lusatia was developed by the region itself. Local authorities, companies and scientific institutions founded the Net Zero Valley Lusatia task force back in summer 2024. In a broad participation process - coordinated by the city of Cottbus and the district of Görlitz - the focus areas and measures for implementation were developed. In March 2025, the application was officially submitted to the Ministries of Economic Affairs in the German Federal States of Saxony and Brandenburg. Following the completion of the Strategic Environmental Assessment (SEA) in November 2025, all legal requirements for the designation decision have now been met.

The designation will target investors for climate-neutral technologies. At the same time, companies, municipalities and research institutions in Lusatia will benefit from clear procedures and reliable framework conditions - without exceptions or special regulations. The Net Zero Valley is based entirely on current building and environmental law.

With today's decision, Saxony and Brandenburg are sending a strong signal for the joint restart of Lusatia. The region will become a European showcase project for sustainable industrial policy. In the afternoon, Minister of Economic Affairs Dirk Panter from Saxony and Minister of Economic Affairs Daniel Keller from Brandenburg will ceremonially sign the designation decision in Cottbus.

• Background

According to the EU Net Zero Industry Act (2024), the term Net Zero Valley refers to regional clusters in which processes for the establishment of climate-neutral industries are specifically accelerated. With this act, the EU has taken an important step towards the decarbonization of industry. The aim is to accelerate the transition to sustainable technologies and establish climate neutrality as a guiding principle for the EU's entire industrial policy.

Net Zero Valleys are geographical regions that are characterized by innovative approaches to reducing CO₂ emissions and promoting green technologies. These regions are intended to act as pioneers for the climate-friendly transformation of the economy and serve as role models for other European regions. They are also key to reducing dependence on fossil fuels and strengthening the competitiveness of industry in the global market.

Lusatia will play a leading role in this. Regional cooperation between Saxony and Brandenburg will leverage existing infrastructure and skilled labor potential to enable a faster transition to green energy, hydrogen production and sustainable industrial processes. The creation of Net Zero Valley Lusatia will make the region a center for research and innovation in the fields of renewable energy, CO₂ storage, green hydrogen and e-mobility. The project is also an important part of the European climate strategy and will help the EU achieve its climate targets for 2030 and 2050.