BAFA Grant

Get a 20% rebate now for upgrading your heating system

Outdated technology and incompatible system components often lead to excessive energy consumption. However, many homeowners are reluctant to upgrade their heating systems because they fear the high costs involved.

Against this backdrop, the Federal Ministry for Economic Affairs and Export Control (BAFA) has launched a subsidy program for heating system optimization. The program aims to encourage homeowners to upgrade their heating systems by offering attractive, non-repayable grants. Among other things, this is intended to make a significant contribution to environmentally friendly heat supply in Germany.

Central heating systems that distribute heat to various rooms using a liquid medium, for example, are not covered by this regulation.

BAFA Grant: Step 1
BAFA Grant: Step 2
BAFA Grant: Step 3

You can find the latest information on content, procedures, and terms and conditions here.

What is eligible for funding? And does the funding also apply to alre products?

In January 2021, the grant program for individual measures under the Federal Funding for Efficient Buildings (BEG EM) took effect, allowing applicants to now submit applications for individual measures to the BAFA.

Under the BAFA subsidy program, two heating optimization measures are eligible for a 20 percent government subsidy:

  • Climate-friendly heating systems that use renewable energy (e.g., heat pumps, pellet heating systems, hybrid heating systems, or solar thermal systems) –> 20 to 45 percent grant
  • Measures to optimize heating systems (e.g., hydraulic balancing, including replacement of heating pumps) –> 20 percent grant

When optimizing your heating system through hydraulic balancing, you can also have our energy-saving alre controllers (from the FTR-101 to the b@home system) installed by a qualified professional. The purchase and installation costs are also subsidized at a rate of 20 percent.

All applications for funding must be submitted to the BAFA before the project begins! (This means that you may solicit bids and carry out planning work, but the contract with the contractor must not yet have been awarded.) Information, fact sheets, and the application form can be found here.

KfW Subsidized Loan

Anyone who needs a low-interest loan in addition to the BAFA grant when installing an eco-friendly heating system can apply for one through KfW under the “Energy-Efficient Renovation – Supplementary Loan” program.