Germany's heating overhaul divides lawmakers over costs and climate fairness
A proposed update to Germany's Building Energy Act has sparked debate over fairness and funding. Ines Schwerdtner, co-leader of the Left Party, criticised the plans for favouring gas companies and leaving households stuck with fossil fuel costs. Meanwhile, local authorities have called for clearer rules and stronger financial support to make the shift to greener heating work.
The new Building Energy Modernisation Act aims to speed up the transition to climate-friendly heating. One suggestion includes a quota for renewable energy in oil and gas systems, though critics warn this must not disrupt existing municipal and utility projects. Schwerdtner argued that climate protection should not burden households, urging the state to cover costs like heat pump installations if needed.
Local governments have welcomed parts of the plan but stressed the need for simpler heat planning rules, especially for smaller towns. They also want long-term legal certainty and better funding to avoid inefficiencies, such as overlapping infrastructure projects. Before the recent Union-SPD agreement, Germany had already planned €33 billion in district heating investments by 2030. Now, estimates suggest an additional €43.5 billion will be required for district heating alone.
The German Association of Cities and Towns backed the proposed changes but insisted on reliable funding and resources. Without these, they warn, the heating transition could stall, leaving both councils and residents facing uncertainty.
The revised Building Energy Act seeks to balance climate goals with affordability. If passed, it will require significant investment and coordination between national and local levels. Success depends on stable funding, simplified rules, and ensuring no household is left behind in the switch to greener heating.
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