BMWI Sets up New Funding Scheme Promoting Energy-Efficiency in SME

To better tap the energy efficiency potential of industry and trade – accounting for one third of Germany’s energy consumption –  the Federal Ministry of Economics and Technology (BMWi) has set up a new support programme.

The support scheme will be administered by the Federal Office of Economics and Export Control (BAFA). Small and medium-sized enterprises and companies with up to 500 employees and an annual turnover of up to EUR 100 million can apply for grants for individual energy savings measures, such as the exchange of energy-intensive equipment, e.g. motors and pumps, against energy-efficient appliances. Besides, the programme sponsors more complex energy efficiency measures, which are based on an individual energy savings concept.

The new support programme will enter into effect on 1 October 2012.

Meanwhile Germany is still waiting for the Act on Fiscal Measures Promoting Energy-Efficient Renovations of Residential Buildings (Gesetz zur steuerlichen Förderung von energetischen Sanierungsmaßnahmen an Wohngebäuden) to enter into force. It was the only bill of the 2011 energy legislative package, which the Bundesrat (Federal Council) did not approve of. It aims to promote the energy-efficient renovation of residential buildings older than 1995 by giving tax incentives. A majority of federal states represented in the Bundesrat opposed the bill for fear of tax losses, which they demanded to be compensated for by the Federation. So far, the Mediation Committee of the Bundesrat and the Bundestag (Parliament) has not reached a compromise on the matter.

Source: Federal Ministry of Economics and Technology; BAFA