Funding for Boiler Replacement Returns: Applications Possible from November

After the abrupt stop in December 2024, the federal government announced the resumption of the renovation initiative on Friday. By 2030, boiler replacement and thermal renovation of buildings will be funded with 1.8 billion euros. New is that only up to 30 percent of the total costs will be funded, compared to up to 75 percent in the old model.

Application from November

Funding applications can be submitted from mid-November at https://www.sanierungsoffensive.gv.at/. Services carried out from October 3rd are already eligible for retroactive funding. A combination with state funding remains possible to enhance the total funding.

"The times of excessive climate funding are over," said Environment and Climate Minister Norbert Totschnig (ÖVP) at the beginning of the presentation on Friday in Vienna. In the past, the funding was "not targeted" and "oversized." However, the new funding volumes are sufficient to create the desired incentives, the politician expressed confidently.

Totschnig did not want to accept that the relaunch of the renovation initiative is less ambitious than its predecessor model. "First of all, we have provided fresh money," he said, noting that in the previous funding program, all funds were exhausted well before the end of the term - meaning no promised funding was withdrawn. "That is a lot of money, and we are operating within the budgetary possibilities."

Goal: Replace 30,000 fossil heating systems per year

As with the previous renovation initiative, there are two instruments: The "boiler replacement" (formerly: "Get out of oil and gas"), which promotes the switch to environmentally friendly heating systems, and the "renovation bonus" (name unchanged), which supports the replacement of windows or facade insulation. Both instruments are financed from the same funding pot.

According to Totschnig, the measure aims to replace more than 30,000 fossil heating systems annually with climate-friendly alternatives. This corresponds to an expected CO₂ reduction of 270,000 tons per year. Additionally, houses should become more efficient through thermal renovation.

Fixed annual budget as protection against funding stop

To prevent the premature exhaustion of the entire funding amount as happened last December, a budget of 360 million euros per calendar year will be set in the new edition - the amount will thus be evenly distributed over all five funding years. The "First Come First Served" principle will apply to the (annual) allocation of funding.

With the new edition of the renovation offensive, there is a focus on efficient use of resources, according to Totschnig. The measure is intended to lead to the switch of "more than 30,000 fossil heating systems per year to climate-friendly alternatives" and CO2 emissions are to be reduced by 270,000 tons per year.

Criticism from FPÖ and Greens

Significant criticism came from the opposition parties FPÖ and Greens, albeit from fundamentally different perspectives. FPÖ energy spokesman Axel Kassegger described the project in a statement as "pure waste of taxpayers' money" and a "purely ideologically blinded hunt for CO2".

The Greens, on the other hand, see a "clear-cut in environmental funding". "If the government does this without simultaneously ensuring a rapid heating transition with laws, it risks jobs and climate goals," says the Green environmental and energy spokesman Lukas Hammer.

Economy Hopes for Boost to Economic Growth

"With the renovation offensive, we relieve households, secure employment, and protect our climate," welcomes Julia Herr, first deputy club chairwoman and environmental spokeswoman of the SPÖ, the announcement today.

Praise for the measure also came from those industries that can hope for more orders through state aid. "After months of stagnation, a new dynamic is being set in motion with the heating exchange," rejoices the Renewable Energy Austria (EEÖ) umbrella organization in a statement.

The research association of the Austrian building materials industry (FBI) rates the package as a "success". The industry association of the pellet industry, proPellets Austria, speaks of a "much-needed impetus for climate protection and economic growth in Austria". The Austrian Biomass Association sees "long-standing demands of the industry for continuity and simplification implemented". Personal praise for Totschnig came from the Farmers' Union: He "successfully prevailed in difficult negotiations," according to the ÖVP sub-organization.

(APA/Red)

This article has been automatically translated, read the original article here.