In essence, the specifications stipulate that from January 1, 2024, newly installed heating systems must be operated with 65 percent renewable energy. Classic gas and oil heating systems can only achieve this if they are operated in combination with a heat pump. However, there are no new obligations to replace old systems.
The FDP-led Federal Ministry of Finance welcomed the coalition agreement. The deliberations in the government have resulted in a number of improvements compared to the original plans of the Greens-led Ministry of Economic Affairs, the finance department said on Saturday. “Instead of coercion, the coalition relies on incentives,” it said.
The Federal Ministry of Finance emphasized a number of specifics: There is now “no additional legal obligation to replace a functioning heating system prematurely”. In addition, there will be no legal prescribing of “a technology that is very expensive today, such as the heat pump”. Instead, there is “real openness to technology”.
The original design from Habeck caused a lot of criticism. Within the coalition, the FDP in particular opposed the guidelines. According to information from circles in the Ministry of Finance, the last details of the specifications have now been clarified by Chancellor Olaf Scholz (SPD), Economics Minister Habeck, Federal Finance Minister Christian Lindner (FDP) and Federal Building Minister Klara Geywitz (SPD).
In particular, the Ministry of Economics is refraining from the original plan to introduce an obligation to replace old heating systems for detached and semi-detached houses. According to current legislation, old heaters must be replaced after 30 years. The new specifications would then apply to new installations. One- and two-family houses are exempt from this – under pressure from the FDP, it will stay that way.
Other special regulations are also planned for homeowners over 80 years of age. In principle, the installation of a gas or oil heating system remains possible. In addition, there should be extensive hardship regulations.
It is also possible to install gas heaters, which can also be operated with hydrogen. However, as a prerequisite for this, the plan for the necessary hydrogen network to supply the fuel must also be available. So far, this has only been the case in a few areas in Germany.
The FDP-led Ministry of Finance emphasized that the agreement that has now been reached provides incentives for voluntary heating modernization through scrapping premiums for old systems: “Graduated according to the age of the systems, owners can receive a subsidy in the form of a scrapping premium for new purchases.”
The Union expressed doubts about the effectiveness of the envisaged funding. The compromise is “a great disappointment for the citizens because it is still not clear how they should pay for the conversion of the heating systems,” said Union Parliament Secretary Thorsten Frei of the “Rheinische Post”.
Union parliamentary group vice president Ulrich Lange (CSU) complained that the “promotion announced so full-bodied remains completely nebulous”. In the editorial network Germany, he also criticized that the requirements were at the expense of rural areas. “But the green urban glasses don’t help people in the country if certain heating options are excluded due to a lack of availability.”
The industry association of the energy and water industry (BDEW), on the other hand, reacted positively to the agreement. “Compared to the first known version, the draft law now contains some decisive improvements that enable an efficient and practicable heat transition,” explained Managing Director Kerstin Andreae.
According to the ministries involved, the cabinet draft should now be quickly adopted in the cabinet and tabled in the Bundestag.
