Engel & Völkers Licence Partner Commercial Berlin > Blog > New heating system: mandatory replacement, subsidies and heating system replacement bonus

New heating system: mandatory replacement, subsidies and heating system replacement bonus

Does your heating system need an update?

Certain old boilers must be removed by law, while others are becoming increasingly expensive to operate. In this environment, the federal government has reorganized heating subsidies. We give you an overview of the most important rules.


Most homeowners who have an old heating system are probably thinking about replacing it these days. That's because gas and oil prices are skyrocketing, and there's no end in sight to the spiraling costs. In addition, legislators are putting pressure on people to finally replace their oldest boilers - in order to lower CO₂ emissions and reduce dependence on Russian fuels.


But the cost of new heating is high and rising. Supply chain problems and a shortage of skilled workers are to blame. At least the government supports heating system replacement with subsidies if certain conditions are met.


Compulsory replacement of old boilers

As early as this year, oil and gas boilers built in 1992 or earlier may no longer be operated. Exceptions apply to owners who have used the house themselves for at least 20 years. Who buys such a house now, has two years time for the heating system change.


The acquisition of a new, pure oil or gas heating system should be considered carefully. Because after the will of the government new heating systems are to be operated starting from 2025, possibly already starting from 2024 to at least 65 per cent with renewable sources of energy. Then existing pure oil or gas heatings may be still continued to 2045 operated.


No more subsidies for gas heating systems

The new regulations for federal subsidies for efficient buildings, which go into effect in mid-August, eliminate subsidies for new gas condensing and gas hybrid heating systems, as well as for gas-fired heat pumps. Oil-fired heating systems were already not eligible for incentives.


New subsidies for heating system replacement

Some of the subsidies for other types of heating will be reduced as of August 15, but additional bonuses will be available under certain conditions. According to the Federal Office of Economics and Export Control (BAFA), owners will receive a subsidy of 25 percent for solar thermal energy, heat pumps, so-called innovative heating technology (which includes fuel cell heating systems, for example), so-called RE hybrid heating systems without biomass heating and connection to a heating network. The subsidy is ten percent for biomass heating and 20 percent for RE hybrid heating with biomass heating.


Heat pump bonus and heating exchange bonus

On top of that, there is a "heat pump bonus" of five percent for pure heat pump heating systems and RE hybrid heating systems that use such technology.


A "heating exchange bonus" of an additional ten percent is given to anyone who replaces a functioning oil, coal, night storage or gas floor heating system with one of these types of heating. Other gas heating systems must be at least 20 years old to qualify for the bonus.


So depending on the concept, the government will cover up to 40 percent of the cost of a new heating system. Together with the savings in operation over the years, this takes much of the horror out of the high initial costs. And the knowledge that you are doing something for climate protection and energy independence is another bonus that cannot be quantified in euros.

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