BERLIN: There will be no cutbacks in state subsidies for green construction and renovation next year, Germany’s Economy Ministry said on Monday.

German news agency dpa quoted a spokesperson as saying that that the building subsidies will remain fully in place, including a support scheme to partially compensate energy-intensive companies for higher electricity prices.

Germany’s Climate and Transformation Fund, a multi-year budget to finance climate and energy transition measures, has earmarked pound 14.4 billion (US$15.9 billion) to fund the energy-efficient renovation of buildings in 2025.

This year, pound 16.7 billion is planned. Previously, the ministry had forecast that funding of around pound 14.5 billion was needed in 2025. The installation of more energy-efficient electric heat pumps to replace gas and oil boilers are subsidised via this federal funding, for example.

In regards to electricity price compensation for companies, pound 3.3 billion is expected to be needed next year, around pound 600 mil
lion less than this year.

Funding requirements are recalculated and updated annually, depending on how many commitments from previous years will be paid out in the next year.

Source: Emirates News Agency