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Press Release from 2015-12-02 / Group

KfW "Energy-Efficient Refurbishment" programme expanded from 1 January 2016

  • German federal budget funds of EUR 165 million for the energy efficiency incentive programme for efficient combination solutions
  • Investment grant programme: 15% investment grant for the installation of heating or ventilation packages
  • Lending programme: attractive interest rates and 12.5% repayment bonus for the installation of heating or ventilation packages

KfW is expanding its promotional offerings in its "Energy-Efficient Refurbishment" programme from 1 January 2016. For the first time, the focus will be on promoting efficient combination solutions. To finance these measures, the German Federal Ministry for Economic Affairs and Energy is providing total funding of EUR 165 million under the energy efficiency incentive programme for preferential interest rates and grants.

The additional funding will be available to builders wishing to replace their heating or install a ventilation system. At the same time, combination solutions will also be eligible for funding for the first time. The installation of ventilation systems (ventilation package) in combination with refurbishment work on the building shell prevents structural damage such as mould and enhances living comfort. The heating package encourages the installation of particularly efficient heating systems; in this connection, the heating system as a whole (i.e. production and distribution) is optimised. The inclusion of package solutions lowers the barriers between proven individual measures and the KfW Efficiency House standards.

The Federal Minister for Economic Affairs and Energy, Sigmar Gabriel says: "With the new programme for promoting combination solutions, we specifically want to tap additional savings potential in the heating cellar, where there is still ample scope for improvement. This is why we are taking specific steps to encourage the replacement of old heating systems with modern and efficient ones."

Dr Ingrid Hengster, member of the KfW Executive Board says: "The success of the energy turnaround hinges materially on the extent to which savings potential can be harnessed. To create additional incentives for builders to implement energy-saving measures, we are now introducing improved investment grants and repayment bonuses covering the replacement and installation of heating and ventilation systems. With this improved funding, KfW is continuously supporting the Federal Government in reaching its target of achieving a climate-neutral building stock in 2050."

Borrowers receive a repayment bonus of 12.5% up to a maximum of EUR 6,250 on the maximum loan amount of EUR 50,000 per residential unit for the package in question. In the future, builders using their own equity will be able to claim an investment grant of 15% of the eligible costs of EUR 50,000, up to a maximum of EUR 7,500 per residential unit.

The purpose of the "Energy-Efficient Refurbishment" promotion programme is to finance measures for saving energy and for reducing CO2 emissions in existing residential buildings by offering long-term loans with preferential interest rates or grants.

Information regarding promotion opportunities can be found on the web page www.kfw.de or obtained from KfW's Information Centre by calling +49 (0)800 539 9002 free of charge.