Stricter environmental criminal law: what the reform means for businesses

On 26 May 2026, the Federal Government introduced a draft bill into the German Bundestag to transpose EU Directive 2024/1203 on the protection of the environment through criminal law. The aim of the Directive is to prevent and prosecute environmental crime more effectively within the European Union by harmonising minimum requirements for criminal offences and sanctions.

For Germany, this entails a comprehensive overhaul of environmental criminal law. The changes will result in a structural tightening of the law, significantly expanding both the substantive scope of application and the enforcement under criminal procedure, and placing environmental crime firmly in the spotlight for the long term.

A key feature of the reform is the significant expansion of the range of criminal offences. Numerous existing offences in the Criminal Code (StGB) and in ancillary criminal law, such as the Federal Nature Conservation Act or the Chemicals Act, are being revised or expanded, for example in the areas of water, soil and air pollution, as well as in the management of waste. In addition, new criminal offences are being introduced, in particular relating to the unauthorised implementation of projects requiring a permit (Section 327a StGB-E).

Of particular significance here is the systematic shift towards earlier criminal liability. In many provisions, it will in future be sufficient merely for an act to be capable of causing significant damage to environmental media or other protected interests. The actual occurrence of damage is no longer strictly required.

Added to this is the introduction of the ‘ecosystem’ as a distinct object of protection. The draft defines this as a complex interplay of biological and abiotic components. This fundamental extension of the scope of protection under environmental criminal law is likely to give rise to numerous new questions regarding demarcation and assessment, including the determination of when damage to such an ‘ecosystem’ is to be regarded as ‘significant’ or ‘far-reaching’.

Finally, enforcement through criminal proceedings is being strengthened. The draft provides for particularly serious environmental offences to be included in the list of offences subject to telecommunications surveillance. This means that investigative authorities will in future have access to more intrusive instruments, which is likely to increase the likelihood of detection and the intensity of criminal proceedings in this area. 

The draft bill is still at the early stages of the parliamentary process. However, given the obligation to transpose it under EU law, it is to be expected that the key elements of the reform will come into force in the near future.

It is already clear that environmental criminal law will in future be shaped by

• a broader scope of criminal behaviour,
• an earlier intervention in criminal risks and
• more intensive state investigative measures.

Industrial and other companies with links to environmentally sensitive sectors should therefore prepare for a change in the risk landscape. For instance, failures during the planning and approval phases alone could entail significant criminal liability risks, making early regulatory support for every environmentally sensitive project essential. 

Furthermore, companies are facing increasing pressure to investigate suspected cases of environmental crime at an early stage and in a structured manner. This is all the more true in view of the general tightening of corporate sanctions law, which is also provided for in the draft bill. An early internal investigation can be crucial for managing risks, understanding the facts and responding appropriately to regulatory proceedings.

Companies’ own compliance structures should already be adequately addressing the risks associated with their respective businesses arising from breaches of environmental regulations. However, with the forthcoming changes, the practical significance of this area will increase further.

For companies operating in environmentally sensitive sectors, this is the time to subject their environmental compliance structures to a critical review. The issue of environmental crime is coming under renewed scrutiny as part of an EU criminal law initiative. The issue is increasingly being perceived and treated as a sub-sector of internationally organised crime, including the use of corresponding investigative methods. 

In view of the rising risks of criminal liability and corporate sanctions, robust processes for the early identification and management of environmental risks are essential. With our comprehensive expertise in developing and optimising bespoke compliance management solutions and conducting specialised forensic investigations to clarify indications of misconduct, we can help you prepare your organisation for the new requirements. Please contact us.