The plans for more climate-friendly heating systems became a crucial test for the federal government. They should be decided in September. But questions are still open.
The planned subsidy program for replacing the heating system is scheduled to start in early 2024. This emerges from the answers of the federal government to a request from the CDU/CSU parliamentary group in the Bundestag, which the German Press Agency has received.
The government is therefore examining transitional rules that will enable a smooth transition between the existing and new funding framework. “We are currently examining whether and to what extent there will be transitional regulations for individual parts of the program,” the ministry said.
It is also said that the state development bank KfW is planning to offer the planned additional, income-related low-interest loans with long terms from January 1, 2024. These are provided for in a motion for a resolution by the traffic light groups.
Coalition: Fundamental Changes
The Building Energy Act (GEG), the so-called Heating Act, is to be passed in the Bundestag at the beginning of September. Previously there had been long conflicts in the traffic light coalition of SPD, Greens and FDP. The coalition then agreed on fundamental changes.
The law aims to make heating in Germany more climate-friendly by gradually replacing oil and gas heating systems. It is scheduled to come into force at the beginning of 2024 – but will initially only apply to new development areas. For existing buildings, the linchpin should be mandatory and comprehensive municipal heat planning. This should be available in municipalities with more than 100,000 inhabitants from mid-2026 and for the remaining municipalities from mid-2028.
The installation of new heating systems such as heat pumps is already being subsidized by the state. The traffic light factions have plans for a new funding program. Accordingly, there should be a basic subsidy of 30 percent of the investment costs for more climate-friendly heating systems for all residential and non-residential buildings. In addition, an income bonus of 30 percent of the investment costs should be introduced – this should apply to all owner-occupiers with a taxable income of up to 40,000 euros per year, whereby the respective household must be considered.
The federal government is now writing that around 40 to 45 percent of owner-occupied households have taxable household income below the income limit of 40,000 euros.
Speed bonus as an incentive
According to traffic light plans, there should also be a speed bonus of 20 percent of the investment costs as an incentive for conversion as early as possible. From 2028 onwards, funding is to be reduced by 3 percentage points every two years.
This speed bonus is to be granted to all owner-occupiers whose gas heating is at least 20 years old at the time the application is submitted, or who have oil, coal, gas or night storage heating.
In response to the question from the CDU/CSU parliamentary group as to why the speed bonus should not also be granted to owners who rent out, the federal government writes that owner-occupiers are particularly burdened when exchanging, which is why they should be given special support in the case of old, inefficient heating systems.
“In the housing industry, on the other hand, it can be assumed that old heating systems will be replaced anyway.” In the case of landlords, there are also depreciation and apportionment options in addition to funding. In larger buildings, the costs per party are also significantly lower due to the economies of scale.
The ministry also expects the cost of heat pumps to drop significantly if they are sold more frequently. In the medium term, cost reductions including installation of around 40 percent can be expected, writes the ministry with reference to the industry.
Source: Stern