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May 2019: New Competitive Energy Efficiency Funding Program

May 2019

Germany’s Federal Ministry for Economic Affairs and Energy (BMWi) has launched a new competitive energy efficiency funding program for businesses. In Germany, the industrial, commercial and trade sectors are responsible for over 40% of final energy consumption. There is considerable potential for savings. Many companies do not implement possible efficiency measures because the amortization periods can be long. The ministry’s new “energy efficiency competition” aims to address this issue. The program is open to companies from all sectors and of all sizes, utilities and energy service providers. The program is mainly meant for projects with relatively high energy-related investment costs that would not be economical without funding.

The first round runs from April 15th until June 30th. The key aspects of the competitive funding program are:

  • Funding for energy-related optimization of industrial or commercial plants and processes, irrespective of technology or sector (for instance waste heat recovery, supply of process heat from renewable energy) based on a savings concept;
  • Grant for up to 50% of the eligible costs;
  • Energy-related amortization period (without funding) of at least 4 years;
  • Maximum funding of EUR 5 million per project;
  • Continuous application process with several deadlines per year.

The subsidy is allocated based on the financial efficiency of the project, i.e. the projects offering the greatest annual CO2 savings per euro of funding will win the grant.

NB: This information is provided as a courtesy only. No claim is made to completeness, accuracy, or timeliness. Further terms and conditions apply. Refer to the original funding conditions for official information.

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