Germany is taking a huge step towards making its transportation sector pollution-free by phasing out combustion-engine cars from the market by 2030.

The decision was finalized during the Bundesrat meeting. The government plans to support zero-emission vehicles only in the next three decades.

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"If the Paris agreement to curb climate-warming emissions is to be taken seriously, no new combustion engine cars should be allowed on roads after 2030," Oliver Krischer of Green Party said.

This resolution puts companies and laborers in Germany's auto industry at risk since the process of manufacturing electric cars only requires a tenth of the staff of combustion-engine cars. Vehicles running on hydrogen fuel cell are another alternative to complying with the demands of the federal council.

The Bundesrat also urged the European Commission to carry out the same approach across the European Union. The council also asked the commission to conduct a review of its taxation policies to assess its impact on the "stimulation of emission-free mobility."

The Bundesrat is composed of representatives from 16 states of the country. Any resolution from the council does not carry the force of law and requires the enactment of the European Commission.

Germany is known for its world-class car manufacturing companies including Audi, Porsche, Mercedes, and BMW.