Germany has been labelled the world's greenest country after it cut its energy use by more than any other state in 2007.

German use of oil, gas and coal in 2007 fell by 5.6 per cent compared with 2006, according to a new report from BP. Global energy consumption, driven by China, America and India, rose by 2.4 per cent in the same year.

The report emerged as the German government passed a new round of environmental laws designed to ensure the country meets ambitious carbon dioxide reduction targets.

German Chancellor Angela Merkel described the laws as "crucial for climate protection" and said they would help Germany reduce its 1990 level of emissions by 40 per cent come 2020.

The laws, which target high polluting lorries and make energy saving designs compulsory for homes built after 2009, should allow Germany to shave 35 per cent off 1990 emissions.

German Environment Minister Sigmar Gabriel said the extent of the laws was "the largest worldwide" and said that, with rising energy costs they amounted to "a money-saving programme, a piggy bank". He said Germany was looking at ways of cutting the final five per cent of carbon emissions to reach its 40 per cent goal by 2020.

Nonetheless, Germany's Green party and environmental campaigners said the package did not go far enough, and criticised the shelving of proposals to tie car taxes to how much individual models pollute.

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