Revised Renewable Energy Incentive Programme

The Federal Ministry for the Environment announced improved funding conditions under the Renewable Energy Incentive Programme (Marktanreizprogramm für erneuerbare Energien – MAP) for 2011. As BMU State Secretary Ursula Heinen-Esser pointed out, additional progress in  the area of heating and cooling based on renewable energy was necessary to reach the environmental targets defined by the government’s Energy Concept, in particular with regard to energy efficiency.

The MAP is the government’s main promotion tool for renewable energy in the heat sector. The funding conditions are laid down in guidelines which are continuously amended taking account of the current state of technology and market developments.

MAP comprises of two funding schemes:

  1. The Federal Office of Economics and Export Control (BAFA) provides investment grants for smaller investments which are mostly carried out by private investors in one and two-family homes.
  2. The state-owned KfW development bank provides loans at reduced rates with additional repayment grants for larger investments which are mostly effected by commerical enterprises and municipalities.

BMU explicitly stresses that a budget freeze on the MAP programme as it occured last year is not to be expected again. The information emphasises that installations in new buildings are not elegible for funding. The Act on the Promotion of Renewable Energies in the Heat Sector already prescribes the use of environmentally friendly and energy efficient technologies for new buildings. On the whole MAP funds amount to EUR 312 provided by the federal budget plus an additional EUR 40 from the new Energie- und Klimafonds (Energy and Climate Fund).

The following provides an overview of some important MAP incentives:

1.  Solar collectors

  • Limited increase of basic funding for solar collectors for combined hot water production and heating to EUR 120/sqm until 30 December 2011; after that date funding is lowered again to EUR 90/sqm
  • The limited bonus for an exchange of an old boiler against a condensing boiler will extended for an indefinite period. However, a degression will apply. The bonus will increase to EUR 600 (previously EUR 400) until 30 December 2011. After that date the bonus will decrease to EUR 500.
  • The combination bonus for a solar thermal installation plus a heat pump or a biomass installation will also increase to EUR 600 (previously EUR 400) until 30 December 2011 and then decrease to EUR 500.

2. Biomass boilers

  • Funding for low-emission wood-fired boilers (Scheitholzvergaserkessel) is reintroduced. Boilers elegible for funding have to comply with very low dust emission limit values of 15 mg/m3 (previously 50 mg/m3). The limit value is derived from the value 12th Ordinance supplementing the Federal Imission Control Act, which will apply as of 2017. Funding amounts to EUR 1.000.

3. Heat pumps

  • Technical generation requirements have been updated. The required annual performance coefficient (Jahresarbeitszahl) was lowered.
  • The essential parameter for the funding of heat pumps is no longer the floor space, but the heating performance. The amount of support remains approximately the same.

4. KfW funding

  • Large heat pumps will now also be sponsored under the KfW promotion scheme.
  • Funding for biogas pipelines is discontinued.
  • Funding for the small biogas treatment plant, which ran out in 2010, will be continued.

State Secretary Heinen-Esser also pointed out that she expects energy-efficient heating, climatisation and ventilation systems will be greatly affected by the EU Ecodesign Directive for heating boilers and combined boilers for hot water production and air conditioning devices in private homes this year. Wichtige Impulse für energieeffiziente Produkte der Heizungs-, Klima- und Lüftungstechnik seien noch in diesem Jahr von der EU-Ökodesign-Richtlinie für Heizkessel und Kombiboiler, für Warmwasserbereiter und für Klimageräte im Wohnbereich zu erwarten.

Source: Federal Ministry for the Environment, Nature Protection and Nuclear Safety

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