With the new federal subsidy for efficient buildings (BEG), the government is simplifying subsidies in Germany. It has been in effect since 1. January 2021 and brings together current BAFA and KfW programs for energy-efficient refurbishment and energy-efficient new construction. We are continuously updating our content. To get an initial overview of the new heating and ventilation system funding options, you can read more here:
KfW offers an additional attractive subsidy for packages of measures
More and more redevelopers take advantage of the higher subsidy in the package
With the heating package and ventilation package, the Kreditanstalt fur Wiederaufbau (KfW) gives better funding conditions when consumers combine several renovation measures on the house. The packages are part of the KfW program "Energy-efficient renovation" and are becoming increasingly popular. For example, the 2018 KfW funding report shows that the number of applications for heating and ventilation packages is increasing year on year.
Growing interest in the support packages
A recent analysis of KfW subsidies awarded in 2018 shows that subsidies in the heating and ventilation package are becoming increasingly popular. This is how the bank supported a total of 47 in 2018.867 projects – about 5 percent more than the year before. A comparison of loan and grant subsidies shows that the share of subsidized loans for heating and ventilation packages has increased from 22 percent in 2016 to 35 percent in 2019. The situation is similar for the grant option: here, too, the share of grant applications in the heating and ventilation pact rose from 22 percent in 2016 to 33 percent in 2018. The following tables show an overview of the most important figures:
| Distribution of applications in KfW Program 152 | 2016 | 2017 | 2018 |
| Heating and ventilation package | 22% | 32 % | 35 % |
| Heating | 17 % | 11 % | 11 % |
| Thermal insulation | 37 % | 34 % | 36 % |
| Windows | 24 % | 23 % | 18% |
| Distribution of applications in the KfW 430 program | 2016 | 2017 | 2018 |
| Heating and ventilation package | 27 % | 33 % | 33 % |
| Heating | 28 % | 28 % | 30 % |
| Thermal insulation | 11 % | 9 % | 9 % |
| Windows | 31 % | 28% | 26 % |
| Efficiency house | 2 % | 2 % | 2 % |
Reasons for the increasing interest in a subsidy in the heating and ventilation package are the better conditions offered by KfW. These partially compensate for higher investments and ensure lower heating costs at the end of the day.
How much is the subsidy?
Borrowers receive funding in the form of a repayment subsidy of 12.5 percent, maximum 6 percent, for the heating package and the ventilation package in addition to a low-interest loan in Program 152 "Energy-efficient renovation – loan".250 euros. The maximum subsidy amount is 50.000 euros per residential unit. Applicants who prefer to pay themselves can receive an investment grant of 15 percent of the eligible costs in Program 430, up to a maximum of 7.500 Euro. The KfW subsidy for the heating and ventilation package is thus more attractive than the subsidy for individual measures. The funding application for the loan variant can be submitted to the house bank, the funding application for the grant variant directly via the KfW grant portal. In both cases, renovators must submit the application documents to KfW before starting the project.
Promotion heating package
The heating package comprises the renewal of the heating system in combination with the coordinated optimization of the entire heat distribution system. The following conditions apply for a subsidy in the heating package:
- A heating system using fossil fuels is decommissioned that does not yet use condensing technology
- The old heating system must not be subject to the statutory replacement obligation under Section 10 of the Energy Saving Ordinance (EnEV)
- The newly installed heating system must be eligible under the guidelines of this program
- The complete heating system must receive a new, optimized setting. Renovators must have uncontrolled pumps, thermostatic valves that cannot be preset, and incorrectly dimensioned radiators replaced.
Promotion of ventilation package
The ventilation package comprises the renewal or first-time installation of an eligible ventilation system in combination with at least one eligible modernization measure on the building envelope. This includes work such as insulating the facade or replacing old windows.
Combination with individual measures to improve energy efficiency is possible with both packages. Here, the higher redemption subsidy for the heating/ventilation package applies. Also eligible for funding are:
- Ancillary construction costs
- Restoration costs
- Consulting, planning and construction support services