Invest in energy efficiency measures in Germany with these two grants

The Federal German government has several funding schemes to enhance energy reduction and the transition to a more sustainable energy source. We have selected two of these schemes which apply to both SMEs and large companies and aim to support investment projects in energy efficiency measures:

  1. The Förderwettbewerb Energieeffizienz (Funding competition for energy efficiency)
  2. The Bundesförderung für Energieeffizienz in der Wirtschaft – Zuschuss – Modul 4: Energiebezogene Optimierung von Anlagen und Prozessen (Federal funding for energy efficiency in the industry – Module 4: Energy-related optimization of plants and processes)

Is your organisation based in Germany and are you looking for new ways to invest in sustainable measures? Continue reading to learn whether these grants are of interest to your project.

Type of eligible investments | Energy efficiency measures

Investments can be made in high-efficiency technologies as well as technologies to expand the use of renewable energies (for instance process heat). When the pay-back period of such an investment is more than 2 years, up to 40% of the investment can be eligible for funding. When the pay-back period is even longer, over 4 years, the contribution can be up to 50%. The maximum amount of subsidy is € 5 – 10 million per project. Examples of eligible investments are:

  • Process conversions to efficient technologies;
  • Energy optimisation of industrial and commercial plants and processes;
  • Measures to increase electricity or heat efficiency;
  • Conversion of waste heat into electricity or external use of waste heat;
  • Process heat supply from renewable energies;
  • Acquisition and installation of sensor, measurement and control technology.

Good to note is that it makes no difference whether an outdated technology is renewed, a system is replaced before end-of-life or new components are added. Energy savings is key!

Key features of the grant schemes

Bundesförderung für Energieeffizienz in der Wirtschaft – Modul 4 Förderwettbewerb Energieeffizienz
For whom All companies All companies
Type Grant Competition
Grant percentage Up to 30% for large corporations, 40% for SMEs. Up to 50%
Minimum pay-back period 2 years 4 years
Maximum grant € 10 million € 5 million

Submitting your application | Einsparkonzept

At the heart of the application is a so-called “Einsparkonzept”. Within this document, a description of the current and new situation is mandatory, which results in a calculation regarding the carbon-emission reduction. Based on the pay-back period and the expected CO2 savings, Hezelburcht can advise you on the right funding scheme for your situation and may even suggest a back-up funding strategy.

Applications can be submitted throughout the year. Please be aware that costs are eligible for funding only after approval. Costs for the creation of the Einsparkonzept are the exception to this rule since this document is part of the application itself.

More information

Interested in learning more about these German funding schemes? Please don’t hesitate to contact us. We would be pleased to inform you about the grant possibilities for your project or organisation.

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