After funding stop: It is unclear when KfW funding for new buildings will be resumed

Created: 03/22/2022, 21:07

Development bank KfW © Frank Rumpenhorst / dpa

Almost two months after the abrupt end of the KfW subsidy for energy-efficient new buildings, there is still no sign of a restart of the subsidy.

Berlin – The consultations within the federal government on the temporary resumption of new construction funding according to the KfW efficiency standard EH40 are ongoing, as a spokeswoman for the Federal Ministry of Economics explained on Tuesday when asked by AFP.

She could not give a time frame for the restart of the program "since several departments are involved in the implementation".

On January 24, the federal government announced that the energy efficiency subsidies from the state-owned KfW would be stopped with immediate effect.

In addition to the new construction subsidy according to the EH55 efficiency standard, this also affected the KfW subsidy programs for the higher EH40 standard and energy-saving renovations of buildings, which led to clear criticism from the construction industry and consumer protection groups.

According to Economics Minister Robert Habeck (Greens), the reason for the funding stop was that the funds for the continuation of the programs had already been exhausted.

He promised a rapid reorganization of funding.

After the funding stop, KfW began processing all eligible old applications that were received before January 24 in a first step at the beginning of February.

Three weeks later, the refurbishment subsidy started again.

The new funding for new buildings according to the EH40 standard should be limited to the end of the year and capped at one billion euros, as the Ministry of Economic Affairs said in mid-February.

For 2023, the federal government is planning a fundamental realignment of funding.

bfi/hcy