Energy Renovation: Overview of Government Funding Programs

The energy renovation of buildings is a key to increasing energy efficiency and reducing CO₂ emissions. To support owners with these often costly projects, the government offers a variety of funding programs. These facilitate financing, make sustainable modernizations more attractive, and contribute to the energy transition.

1. KfW Funding Programs for Renovations

The Reconstruction Loan Corporation (KfW) offers attractive funding products for energy renovations. These include low-interest loans and direct grants.

• Efficiency House Standards: The better the efficiency house standard (e.g., Efficiency House 55 or 40), the higher the funding amount. A lower value indicates less energy consumption.

• Renewable Energies: If systems such as heat pumps or solar thermal energy are installed as part of the renovation that cover at least 65% of energy needs, the funding amounts increase.

• Heating Replacement: Installation of heat pumps, biomass heating systems, or solar thermal systems.

2. BAFA Funding for Individual Measures

The Federal Office for Economic Affairs and Export Control (BAFA) supports targeted measures to increase energy efficiency:

• Hydraulic Balancing: Optimization of existing heating systems.

• Building Envelope: Insulation of roofs, walls, and ceilings, as well as the replacement of windows and doors.

Funding is provided in the form of grants. The exact amount depends on the measure and specific conditions.

3. Tax Incentives for Renovation Measures

For owner-occupied properties, renovation costs can be claimed for tax purposes:

• Deductibility: Up to 20% of the costs, a maximum of 40,000 euros, can be deducted from tax liability over three years.

• Combination with Funding Programs: Tax incentives and grants cannot be used for the same measure but can be combined for different projects.

➡ Note: Seek early advice to develop the best funding strategies for your renovation measures.

4. Financial Assistance and Renovation Loans

In addition to government funding programs, many banks offer special renovation loans with favorable conditions. An individual renovation roadmap (iSFP), created by an energy consultant, serves as a valuable basis for planning and secures additional funding.

➡ Our Offer: The Bauhow Energy Consulting helps you develop the optimal financing strategy and utilize all relevant funding sources.

5. Promotion of Renewable Energies

The integration of renewable energies into building technology is particularly supported. Examples:

• Photovoltaics: Grants or loans for electricity generation through solar panels.

• Solar Thermal Energy: Support for the use of solar energy for hot water preparation.

• Biomass: Funding programs for pellet or wood chip heating systems.

These measures reduce energy consumption and actively contribute to climate protection.

6. Specific Funding for Older Buildings

Older buildings present special challenges, particularly regarding monument protection or structural conditions. Therefore, there are special programs that promote energy improvements in older buildings. These include measures such as:

• Internal Insulation: For monument-protected facades.

• Window Renovation: Energy improvements while preserving historical windows.

• Heating Renewal: Integration of modern heating systems while considering structural constraints.

7. Funding Calculator and Planning Aids

Various online tools, such as the KfW Renovation Calculator, provide quick insights into funding options. With just a few inputs, owners can calculate the potential costs and savings of various measures.

8. Conclusion

Utilizing government funding programs is a crucial step in financing energy renovations and implementing sustainable modernizations. From KfW and BAFA funding to tax advantages – the possibilities are vast. However, careful planning and individual consultation are essential to fully leverage the potential of these programs.

➡ Your Next Step: Have comprehensive consultations with Bauhow Energy Consulting to identify the appropriate funding sources for your renovation project and develop a tailored renovation strategy.