Overview
- The cabinet, which approved the draft Wednesday, scrapped the 65% renewables rule and lifted the 2045 ban on fossil boilers.
- New gas and oil heaters can still be installed, but from 2029 they must blend in green fuels such as biomethane or bio‑oil at 10%, rising to 60% by 2040 in a stepped “bio ladder.”
- From 2028, landlords and tenants will split the CO2 charge and gas network fees, and from 2029 they will also split the extra cost of the required green fuel blend.
- Industry group BDI backed the clearer rules but urged a review by 2029, while climate groups, unions and city utilities warned of weaker climate action, scarce and costly green fuels, and higher infrastructure bills.
- The draft now goes to the Bundestag for passage before the summer break, without Bundesrat consent, and key details on fuel supply, funding and the exact review date remain unresolved.