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German Federal Support for Heat Pumps Confirmed to Continue

The program, tied to the 2024 Building Energy Act, ensures subsidies for renewable heating systems remain available despite political uncertainties.

  • The German government has confirmed ongoing federal subsidies for heat pump installations under the 'Federal Support for Efficient Buildings' program.
  • Homeowners and landlords can apply for funding to replace oil and gas heating systems with renewable alternatives, with subsidies covering up to 70% for low- and middle-income households.
  • Since the program's launch in February 2024, demand has surged, with 35,800 applications submitted in early 2025 and 227,000 in total during 2024.
  • The subsidies are linked to the Building Energy Act, which mandates that new heating systems use at least 65% renewable energy, with transitional rules for existing buildings.
  • The continuation of funding is guaranteed regardless of potential changes in government after the upcoming Bundestag elections.
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