Heat Pumps Are Eligible For Funding

House builders, owners of single- and multi-family dwellings, housing associations and small or medium-size commercial firms can obtain funding from national and regional government in Germany. These can take the form of low-interest loans or grants.

The national German Environment Ministry has issued a new guideline for the funding of schemes for the exploitation of renewable energy sources, which came into force at the beginning of 2008. Anyone who heats his home or commercial property with ambient heat can expect to be eligible for funding. What is important is that the application must be made to the Federal Office of Economics and Export Control (BAFA) six months at the latest after the eligible heat pump system goes into operation. Eligible are efficient heat pumps for a building’s hot water and heating needs.

For air-to-water heat pumps in new buildings, this amounts to 5 euros/m² (850 euros maximum). For more than two dwelling units, 10% of the documented net investment.
For air-to-water heat pumps installed in existing buildings, the figure is 10 euros/m² (1500 euros maximum). For more than two dwelling units, 10% of the documented net investment.

Under its Ecological Building programme, the KfW Förderbank offers low-interest loans equal to 100% of the investment cost (max. 50,000 euros per dwelling unit). Regional energy suppliers such as the Stadtwerke Düsseldorf AG support the installation of heat pumps at a rate of 75 euros/kW of heating capacity (750 euros maximum) for private individuals who have been customers for 12 months. Important here is that the air-to-water heat pump must have a coefficient of performance (COP) of at least 3.3 or 3.5 (existing/new buildings). Deutsche Energie-Agentur GmbH (dena) helps owners of single- and multi-family dwellings with the funding of planned modernization.

Local Funding

The local energy supplier usually also grants special rates for heat pumps, which are usually 50% below the normal electricity charge.