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Energy efficiency in production – KfW’s promotion harnesses potentials

Press Release from 2018-02-20 / Group, Sustainability

KfW’s Energy Efficiency Programme – Production Facilities and Processes has a remarkable impact:

  • Financed enterprises benefit from energy cost savings worth EUR 131 million per year
  • Annual reduction of 413,000 tonnes of greenhouse gas emissions in Germany
  • Financed investments secure some 19,000 jobs for a year

The energy transition in Germany cannot succeed without significant increases in energy efficiency. The results of an evaluation of the KfW Energy Efficiency Programme – Production Facilities and Processes conducted by Prognos AG for the years 2015 and 2016 show that the programme makes an important contribution to achieving the national energy reduction targets. KfW financed around 700 energy efficiency projects in commercial enterprises between 2015 and 2016. The financed projects lead to annual energy end-use savings of 1,110 GWh, of which 130 GWh through projects financed abroad. The financed enterprises benefit from energy cost savings of EUR 131 million per year.

“Industrial production processes account for around one fourth of Germany’s total final energy consumption. The financed projects are impressive proof that the industrial sector still has a number of levers that it can deploy to improve energy efficiency”, said Dr Jörg Zeuner, Chief Economist of KfW Group, adding: “The KfW Energy Efficiency Programme supports enterprises in harnessing their energy saving potentials while at the same time strengthening Germany’s international competitiveness.”

Machinery, equipment and process technology took the highest share of investments promoted by the KfW Energy Efficiency Programme, with around 94%. Combined heat and power generation plants followed with a share of 4%. The projects located in Germany which KfW financed in 2015 and 2016 reduce greenhouse gas emissions permanently by a total of 413.000 tonnes of CO2 equivalent per year. The investments financed abroad over the same period avoid a further 62,000 tonnes per year.

The KfW programme also has positive effects on employment in Germany. The investments financed in 2015 and 2016 secured or newly created around 19,000 jobs in Germany for a year – around half of them in small and medium-sized enterprises.

Under the KfW Energy Efficiency Programme – Production Facilities and Processes, KfW Group provides low-interest loans to support commercial enterprises in implementing energy efficiency measures. It promotes investments in production facilities, process technology, cross-cutting technologies, heat recovery and waste heat utilisation as well as combined heat and power plants. The programme also finances measures abroad in addition to projects in Germany. The KfW Energy Efficiency Programme – Production Facilities and Processes was launched on 1 July 2015.

The Prognos AG study entitled “Ermittlung der Förderwirkungen des KfW-Energieeffizienzprogramms Produktionsanlagen/-prozesse für die Förderjahrgänge 2015–2016” is available in German at www.kfw.de/evaluationen.


Portrait Dr. Charis Pöthig 2014

Dr Charis Pöthig


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