Solutions for open applications
Habeck defends controversial KfW funding freeze
01/28/2022 9:02 p.m
Because the KfW funding program for energy-efficient buildings threatens to devour billions, the federal government stops financing. According to Economics Minister Habeck, it was a tough but necessary decision. However, there should be solutions for the applications that are still open.
Economics and Climate Protection Minister Robert Habeck has announced solutions for outstanding applications after the controversial KfW funding freeze for energy-efficient buildings. “Some, possibly a lot, we will still be able to finance,” said Habeck at the Green Party Congress. He named projects with high standards or special social concerns. 1.8 billion euros in subsidies are still left, and “a little more” will come, according to Habeck.
With a view to the stop, Habeck spoke again of a hard cut, he could understand the anger of many people. “But this program got completely out of hand,” said Habeck. He spoke again of overfunding. Without a stop, the program would have reached a volume of 14 billion euros. “These 14 billion would have been gone,” said Habeck: “And yes, it was uncomfortable to be politically responsible for this decision and then to provide the backup for it and take the blame for it. But on the other hand, how glad we can be that we are now have the responsibility.”
The next program will take some time, but it will be more socially oriented and have a better balance between money and CO2 emissions. “It’s uncomfortable to have these debates, but that’s why I became a minister,” said Habeck. The money must be used more precisely and the best made of it socially and ecologically.
On Monday, the Ministry of Economics surprisingly announced that no new applications for the promotion of efficient buildings could be submitted to the state bank KfW with immediate effect. 24,000 applications are open, 4,000 of them from private house builders. Habeck justified the stop by saying that there had been a boom in applications that would have led to billions more being needed in the federal budget. In addition, the previous government continued “outdated funding” that set the wrong incentives.