As of: February 29, 2024, 11:42 a.m
By: Michel Guddat
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Government help to switch to climate-friendly heating: From February 27th, heating subsidies can be applied for for newly installed heating systems.
Munich – “Switch to climate-friendly heat now!” advertises the Federal Ministry for Economic Affairs and Climate Protection (BMWK).
The Building Energy Act passed by the Bundestag and Bundesrat is intended to initiate the energy transition in the building sector in Germany.
The goals of the so-called Heating Act are to strengthen climate protection, reduce dependence on the import of fossil energy and protect consumers from sudden cost increases.
The law stipulates that from 2024 every newly installed heating system must be powered by 65 percent renewable energy.
If you violate the new heating law, you could face a fine of up to 50,000 euros.
From February 27th: Heating subsidy for newly installed heating systems comes into force
From February 27th, homeowners can apply for a heating subsidy from the Kreditanstalt für Wiederaufbau (KfW) to replace their heating system.
According to energy expert Alexander Steinfeldt, this can be “a whopping 70 percent,” as he
is quoted by
Bild .
“Landlords have to continue to wait – until May or even August 2024.”
Climate-friendly heat – these options are available:
Connection to a heating network
Heat pump
Biomass heating
Direct electricity heating
Heating based on solar thermal energy
Gas or oil heating, if powered by renewable energy
Hybrid heating systems based primarily on renewable energies and a proportion of fossil fuels
Any combination of technologies that uses at least 65 percent renewable energy
Basic funding, income bonus, speed bonus: What are the funding rates?
But what exactly are the funding rates?
First of all, the basic funding of 30 percent should be mentioned.
This applies to the investment costs for replacing old, fossil heating systems with new, energy-saving heating systems.
Private homeowners, landlords, companies, non-profit organizations and municipalities can benefit from this.
For heat pumps that use water, soil or wastewater as a heat source or use a natural refrigerant, there is an efficiency bonus of five percent, as the Federal Ministry for Economic Affairs and Climate Protection reports.
There is a further surcharge of 2,500 euros for biomass heating systems if they comply with a dust emission limit of 2.5 mg/m3.
From February 27th, homeowners in Germany can apply for a heating subsidy from the Kreditanstalt für Wiederaufbau (KfW).
© onemorepicture / Thorsten Wagner/Imago
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Furthermore, an income bonus of 30 percent of the investment costs is provided.
Homeowners with a taxable household annual income of up to 40,000 euros are allowed to receive this.
The house must be used by yourself.
Last but not least, there is a speed bonus amounting to 20 percent of the investment costs.
And it's worth being quick: From 2029 onwards, this bonus is expected to fall by three percent every two years until it no longer exists in 2037.
All important details at a glance
Grant funding for heating replacement |
percent of the cost |
|---|---|
Basic funding |
30 |
Income-dependent bonus |
30 |
Speed bonus |
20 (decreasing by three percent every two years from 2029) |
Innovation bonus |
5 |
Surcharge |
2500 euros |
Instead of applying to the Federal Office of Economics and Export Control (BAFA), the subsidy must be applied for from the state development bank KfW.
Work that began before February 27th can also be taken into account retroactively.
A concluded delivery or service contract must be presented with every application.
Incidentally, a general ban on heating with fossil fuels will only apply from 2045.
The rush for the heating surcharge is said to have been very large.
There were
long queues on the
KfW portal .
And further funding plans are already presented on the website: Applications for owners of existing apartment buildings and homeowners' associations will begin in May 2024.
The application for landlords, municipalities and companies is planned for August 2024.
(mg)