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Federal Ministry of Construction Launches New Construction Funding: Climate-Friendly Building Program Extended

In 2023, the Federal Ministry of Construction launched new construction funding with which the federal government supports both climate-friendly construction and the creation of home ownership. The “Climate-Friendly New Building” funding program was so well received that it was extended at the end of May 2023 888 million euros increased

has. Around two billion euros were available for both new construction programs in 2023.

Applications for new building funding again from 2024

Around 46,000 new apartments were funded with a total of 1.98 billion euros. Since the funds for 2023 have been exhausted, no new applications for new construction and home ownership support can be submitted since December 14, 2023.

New applications at the Kreditanstalt für Wiederaufbau (KfW). possible again, as soon as the 2024 federal budget comes into force.

The two programs for new building funding:

Funding for climate-friendly new buildingsOpenMinimize

Since March 1, 2023, the federal government has been promoting the construction of particularly climate-friendly buildings with cheaper loans. The new regulation helps to reduce CO2 emissions in the building sector and achieve Germany’s climate goals.

The standard for funding is the Efficiency House 40. There is even higher funding for buildings with this Quality seal “Sustainable Building” (QNG)

. This means that, for the first time, the entire life cycle of buildings is taken into account when it comes to funding. Greenhouse gas emissions should be reduced from construction to operation and potential dismantling.

New home ownership support for familiesOpenMinimize

The new home ownership promotion started on June 1, 2023 The family

who want to build or purchase a new climate-friendly home. Requirement: A taxable income of up to 90,000 euros per year (since October 16, 2023) and at least one underage child in the household.

Legal new building standard according to the Building Energy Act

has been the EH-55 standard since January 1, 2023. The federal government has thus increased the requirements for the permissible primary energy requirements of new buildings. A further increase in the standard of new construction is no longer planned in this legislative period due to the difficult situation in the construction and housing industry.

A Efficiency house is an energy standard for residential buildings. Two criteria are important for the corresponding classification: the total energy requirement and the thermal insulation of the property. The efficiency house level is a benchmark for energy-saving buildings: the key figure for an efficiency house level indicates how energy efficient a building is compared to a reference building. You can find more information on the KfW website.

Renovate and save energy costs in the long term

The federal government wants to support more people in the energy-efficient renovation of their buildings. The climate protection effect and funding efficiency are highest when renovating existing buildings. The renovation funding also helps citizens save money on expensive energy in the long term. Because old windows, old external doors or old heating systems are energy guzzlers – and therefore cost factors.

At the beginning of 2023, the application process was simplified and new funding bonuses were introduced to increase the incentives for renovations. The funding efficiency of the program has been increased in order to be able to support as many applicants as possible. To achieve this, the funding rates for individual construction projects had to be reduced slightly. Overall, the federal government provided more renovation funds in 2023 than in previous years.

Key points for promoting efficiency measures from 2024

The revised federal funding for energy-efficient buildings (BEG) provides for the following key points for renovation funding from 2024. The new BEG comes into force on January 1, 2024.

The Funding rate for efficiency measures will continue to be in the future up to 20 percent:

  • There is still a basic subsidy of 15 percent.
  • There is also a five percent bonus if an individual renovation plan has been created.
  • The maximum eligible expenditure for building efficiency measures is 60,000 euros per residential unit if an individual renovation plan is available. Without a renovation plan, a maximum of 30,000 euros is eligible for funding.

+++2024: Support for energy renovation and heating replacement remains+++
The individual funding programs are part of the Federal funding for energy-efficient buildings (BEG). The funds for BEG funding are provided by the Climate and Transformation Fund (KTF). After the political agreement on the 2024 federal budget, BEG funding and support for heating replacement will remain. Likewise, the electricity price relief through the abolished EEG Renewable Energy Act levy remains.

+++Important information about heating replacement here

and further information energiewechsel.de

+++

New heating systems: reducing the energy requirements of buildings

Anyone who replaces their heating and switches to 65 percent renewable energy receives state funding. The new law for renewable heating – the Building Energy Act (GEG—Building Energy Act) comes into force on January 1, 2024.

The heating replacement is supported with a basic subsidy of 30 percent. There is a speed bonus for quick heating replacement and additional money for households with lower incomes. The maximum funding can be 70 percent of the investment costs.

Serial renovation saves time and money

Serial renovation is an innovative method for comprehensive energy-related renovation of the building shell and technology. The use of prefabricated facade or roof elements is encouraged. In this way, the on-site manual effort and costs can be significantly reduced.

Further information at Energy efficiency funding guide

.

2023-12-23 00:52:24
#Building #renovating #climate #protection #Federal #Government

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