The so-called Heating Act - or rather the federal subsidy for efficient buildings (BEG) - has unsettled many German citizens more than it has helped the environment. As a result, the heat pump market has collapsed and the price of district heating has risen disproportionately. What needs to be done?
The cost of heating with gas, heat pumps, wood pellets and heating oil in Germany has fallen again, in some cases significantly, following the sharp rise during the energy crisis. Only district heating increased in price by eight percent.
The district heating market is a monopoly market: consumers generally have no alternatives when choosing their heating supplier. Without clear rules, suppliers can increase prices almost uncontrollably, explains Haus & Grund and therefore urgently calls on the new German government to strengthen consumer rights so that district heating remains an affordable and climate-friendly heat supply in the future.
One focus of the energy transition was the promotion of heat pumps. Nevertheless, sales of heat pumps fell by 46% in 2024 compared to the previous year. According to the German Heat Pump Association, the main reasons for this are uncertainties in municipal heating planning and the lack of awareness of heating subsidies. After a record year in 2023, heat pump sales fell to 193,000 devices last year, while demand and interest in the federal subsidy increased significantly with over 151,000 approvals.
The industry is looking forward to the new legislative period with excitement. Companies have responded to the sharp rise in demand for heat pumps in 2022 and 2023 by investing more than seven billion euros in production lines, skilled workers and training capacities across Europe.
Conclusion: The purchase and operating costs of a new heating system are decisive for consumers. As long as there is no clarity here, decisions will be postponed and old heating systems will continue to be used.
Photo: © bwp Bundesverband Wärmepumpe e.V.
