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Supporting the energy efficient rehabilitation of the building stock – The German experience

Explore the German experience in supporting energy-efficient rehabilitation of the building stock. Learn about promotional programs, CO2 reduction targets, and the impact on the housing sector. Discover how the German Energy Conservation Ordinance and KfW's programs are driving energy-efficient construction and rehabilitation. Find out about promotional loans, grants, and special support available for owners of single and two-family houses. Understand the benefits of higher energy efficiency and the KfW Efficiency House standards. Gain insights into the volumes, impacts, and success factors of Germany's energetic renovation program.

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Supporting the energy efficient rehabilitation of the building stock – The German experience

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  1. Supporting the energy efficient rehabilitation of the building stock – The German experience Brussels, 16.11.2010

  2. Information and Consulting Promotional Programmes climate action plan 50% share of KfW‘s programmes 15% CO2 reduction targets 2008 - 2012 housing sector 28% 7% 27,5% EnEV German Energy Conservation Ordinance Energy Prices Framework

  3. Energy Efficient Construction and Rehabilitation New building Building stock Energy-Efficient Construction Energy-Efficient Rehabilitation • promotional loans • max. 75.000 EUR per housing unit • KfW-Efficiency House standard • five promotional stages • partial debt relief possible • grants as an alternative for ownersof single and two family houses • additional special support available • promotional loans • max. 50.000 EUR per housing unit • KfW-Efficiency House standard • three promotional stages • partial debt relief possible Higher energy efficiency means better conditions

  4. KfW Efficiency House Standard Primary Energy Demand (kWh/a) KfW-115 = 115 % of NL ca.108-63 kWh/a KfW-100 ca. 94-55 kWh/a = 100 % of NL KfW-85 ca. 80-47 kWh/a = 85% of NL KfW-70 ca. 66-39 kWh/a = 70 % of NL KfW-55 ca. 52-30 kWh/a = 55 % of NL KfW-40 ca. 38-22 kWh/a = 40 % of NL Abbreviations: NL = New Building Level according EnEV

  5. KfW ‘s On-Lending-Principle Capital market refinancing loan (maturity e.g. 20 years) loan to homeowner (maturity e.g. 20 years) Funding Bank Individual homeowner AAA-Rating Interest rate: 1.90%* Interest rate: 2.65%* max. Interest subsidy Margin for credit risk and handling 0.75%* max. German Government or KfW * p.a. eff.

  6. Volumes and Impacts Capability of energetic renovation in Germany • 39 m housing units • 75% built before 1979 • potential of renovation 20 m housing units Programme started in 2001 • More than 520.000 loans • Commitment volume of 31 billion euros • 1,5 m housing units Macroeconomic Evaluation since 2006 • Sustained CO2 reduction of 3,9 m tons p.a. • Investments of 51 bn euros • On average 200.000 jobs per year safeguarded or created • Accumulated Savings in heating costs of 950 m euros

  7. Factors of success Open to all investor groups Focus on long term loans A brand for energy efficiency Higher energy efficiency is rewarded Distributional network and Funding

  8. Thank you very much! Gudrun Gumb Vice President, Business Policy EuropeTel.: ++49 69 7431 3831 gudrun.gumb@KfW.de

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