An industrial company runs an energy-intensive production step on fossil-fired equipment. It wants to convert the process to a far more efficient, low-emission setup: new equipment and a reworked process that together cut both energy use and CO2 emissions substantially. The investment is large, and without support the payback period would be long enough to keep delaying the decision.
The Federal Funding for Energy and Resource Efficiency in Business (EEW) gives a non-repayable investment grant for measures that cut a company's energy and resource use and its greenhouse-gas emissions. It is organised in six modules, from replacing single components such as motors and compressors, through process heat from renewables and energy-management software, to the broad optimisation of plants and processes. Funding rates run from roughly 10 to 60 percent depending on the module, the content of the project and the company size.
In the process-optimisation track, the grant can reach up to EUR 15 million per project, and in the premium variant the amount scales with the CO2 saved, with an additional decarbonisation bonus. The grant must be applied for before the investment starts, and the funded equipment must be operated for a required minimum period. Companies can take the grant from BAFA directly or, alternatively, a low-interest KfW loan with a repayment subsidy.
The conversion is a classic case for the broad process-optimisation module in its premium variant, which is largely technology-open and requires a savings concept with a verified reduction in greenhouse-gas emissions, prepared by a certified expert. The eligible costs are the new plant and equipment, plus the savings concept and the implementation support by external energy consultants. Because the premium track scales the grant with the CO2 saved and adds a decarbonisation bonus, a project with a strong emissions reduction reaches a high grant; on an investment in the single-digit millions, the grant comes to about EUR 2.5 million. The company applies before any binding order and commits to operating the funded equipment for the required minimum period.
A €2.5M BAFA EEW grant.
The grant shortens the payback period enough to make the conversion a decision the company can take now. Energy costs fall, emissions fall sharply, and a fossil-fired process is replaced by an efficient, lower-carbon one.
Module 4 · Process optimisation (premium) · up to 60%For a substantial process conversion with a real emissions reduction, BAFA EEW's premium track can fund a large share of the investment, with the grant rising in step with the CO2 saved. Applying before the investment starts, and getting the savings concept right, are the gating conditions.
The questions we hear most about the programme. Short answer first, detail after.
A non-repayable investment grant for measures that cut a company's energy and resource use and emissions, across six modules from replacing single components to broad process optimisation. Funding rates run from roughly 10 to 60 percent.
In the process-optimisation track, the grant can reach up to EUR 15 million per project, and in the premium variant the amount scales with the CO2 saved, with an additional decarbonisation bonus.
Yes. The premium variant requires a savings concept with a verified reduction in greenhouse-gas emissions, prepared by a certified energy expert, alongside the application.
Before the investment starts. The funded equipment must then be operated for the required minimum period.
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