Berliner Boersenzeitung - 'Heating hammer': Germany huffs and puffs over climate law

EUR -
AED 4.104397
AFN 76.945413
ALL 99.231189
AMD 432.617988
ANG 2.010719
AOA 1036.724537
ARS 1074.259252
AUD 1.641361
AWG 2.011389
AZN 1.904081
BAM 1.955429
BBD 2.252673
BDT 133.324726
BGN 1.955529
BHD 0.42042
BIF 3234.286875
BMD 1.117438
BND 1.441627
BOB 7.709539
BRL 6.055052
BSD 1.115688
BTN 93.249023
BWP 14.748204
BYN 3.651208
BYR 21901.788071
BZD 2.248874
CAD 1.517202
CDF 3208.165381
CHF 0.950204
CLF 0.037689
CLP 1039.944272
CNY 7.880067
CNH 7.870123
COP 4641.820049
CRC 578.89026
CUC 1.117438
CUP 29.612111
CVE 110.244101
CZK 25.088056
DJF 198.672338
DKK 7.466767
DOP 66.967305
DZD 147.657009
EGP 54.142736
ERN 16.761573
ETB 129.466357
FJD 2.459262
FKP 0.850995
GBP 0.839107
GEL 3.051043
GGP 0.850995
GHS 17.539675
GIP 0.850995
GMD 76.548818
GNF 9639.172699
GTQ 8.624365
GYD 233.395755
HKD 8.706352
HNL 27.675753
HRK 7.597474
HTG 147.212093
HUF 393.517458
IDR 16941.25656
ILS 4.226056
IMP 0.850995
INR 93.284241
IQD 1461.522939
IRR 47035.770303
ISK 152.262556
JEP 0.850995
JMD 175.286771
JOD 0.791709
JPY 160.715589
KES 143.922717
KGS 94.13132
KHR 4531.14103
KMF 493.181764
KPW 1005.693717
KRW 1488.975611
KWD 0.340897
KYD 0.929724
KZT 534.908597
LAK 24636.329683
LBP 99909.860054
LKR 340.395471
LRD 223.1377
LSL 19.586187
LTL 3.299505
LVL 0.675928
LYD 5.297996
MAD 10.818149
MDL 19.468309
MGA 5046.04342
MKD 61.603322
MMK 3629.395577
MNT 3797.054841
MOP 8.955702
MRU 44.337595
MUR 51.268486
MVR 17.164273
MWK 1934.433289
MXN 21.694843
MYR 4.698871
MZN 71.348848
NAD 19.586187
NGN 1831.984424
NIO 41.062216
NOK 11.714943
NPR 149.198716
NZD 1.791197
OMR 0.429669
PAB 1.115688
PEN 4.181807
PGK 4.367172
PHP 62.188829
PKR 309.994034
PLN 4.274593
PYG 8704.349913
QAR 4.067529
RON 4.972492
RSD 117.203662
RUB 103.07316
RWF 1504.014883
SAR 4.193134
SBD 9.282489
SCR 14.578236
SDG 672.143165
SEK 11.365691
SGD 1.442952
SHP 0.850995
SLE 25.530448
SLL 23432.113894
SOS 637.579134
SRD 33.752262
STD 23128.713955
SVC 9.762149
SYP 2807.596846
SZL 19.593286
THB 36.793929
TJS 11.859752
TMT 3.911034
TND 3.380559
TOP 2.617156
TRY 38.124201
TTD 7.588561
TWD 35.736832
TZS 3045.822602
UAH 46.114158
UGX 4133.216465
USD 1.117438
UYU 46.101261
UZS 14197.308611
VEF 4047978.463464
VES 41.096875
VND 27494.566096
VUV 132.664504
WST 3.125992
XAF 655.832674
XAG 0.035881
XAU 0.000426
XCD 3.019933
XDR 0.826843
XOF 655.832674
XPF 119.331742
YER 279.722751
ZAR 19.477909
ZMK 10058.288435
ZMW 29.537401
ZWL 359.814634
  • JRI

    -0.0800

    13.32

    -0.6%

  • CMSD

    0.0100

    25.02

    +0.04%

  • BCC

    -7.1900

    137.5

    -5.23%

  • GSK

    -0.8200

    40.8

    -2.01%

  • SCS

    -0.3900

    12.92

    -3.02%

  • CMSC

    0.0300

    25.15

    +0.12%

  • NGG

    0.7200

    69.55

    +1.04%

  • BTI

    -0.1300

    37.44

    -0.35%

  • RELX

    -0.1400

    47.99

    -0.29%

  • RBGPF

    58.8300

    58.83

    +100%

  • BCE

    -0.1500

    35.04

    -0.43%

  • RIO

    -1.6100

    63.57

    -2.53%

  • AZN

    -0.5200

    78.38

    -0.66%

  • RYCEF

    0.0200

    6.97

    +0.29%

  • BP

    -0.1200

    32.64

    -0.37%

  • VOD

    -0.0500

    10.01

    -0.5%

'Heating hammer': Germany huffs and puffs over climate law
'Heating hammer': Germany huffs and puffs over climate law / Photo: Ina FASSBENDER - AFP

'Heating hammer': Germany huffs and puffs over climate law

When Maike Biert was choosing a new heating system for her house in western Germany, she baulked at the huge cost of installing a heat pump, instead opting for a gas boiler.

Text size:

But there may not be such easy options in the future as the government prepares to pass radical climate legislation, which has been championed by environmentalists but which has sparked concerns that homeowners will be forced to shell out huge sums.

The new rules mean heating systems will need to be powered by at least 65 percent renewable energy, effectively banning new oil and gas boilers, as Germany seeks to slash emissions and become climate neutral by 2045.

The plan was watered down after it provoked a furious row in the ruling coalition, and was finally introduced in parliament Thursday.

But the saga was politically damaging, many details remain unclear, and homeowners are anxious.

"In principle, I am in favour of saving energy," Biert, a 46-year-old who lives in Koenigswinter, in the western state of North Rhine-Westphalia, told AFP.

"The problem is simply that you cannot and should not overburden people with this."

When she was picking new heating last year, the married mother of two looked at the possibility of installing a heat pump -- touted as more climate-friendly -- which would have involved substantial renovations to her house.

She also looked at "hybrid solutions", involving perhaps a mix of a heat pump and gas.

But she estimates the cost of such options would have been between 40,000 and 100,000 euros ($43,000 and $108,000).

"It would have meant a loan for us, and we did not want that," added Biert, who ultimately chose a traditional gas boiler.

- 'Still unclear' -

The new rules were championed by the Green party, a member of the government, but fiercely opposed by their business-friendly coalition partners the FDP, sparking the worst crisis within the government since it took office in 2021.

Critics said the high cost of installing new systems would particularly impact middle- and low-income households, with the tabloid press labelling it "the heating hammer".

Advocates stress there is much support, such as subsidies for heat pumps, and urgent action is needed as the buildings sector was responsible for about 15 percent of Germany's carbon dioxide emissions last year.

As fears mounted that the deal -- and the coalition itself -- could fall apart, Chancellor Olaf Scholz stepped in on Tuesday and oversaw emergency talks that resulted in a compromise.

The agreement, which still needs to go through parliament, stipulates that the new regulations will only apply for existing buildings if a municipal heating plan is in place for the area.

The rules were meant to come into force from 2024, but the compromise effectively means the new earliest start date for most is 2028.

The Greens are now pushing ahead to try to get it passed by parliament's summer recess, but there is much uncertainty.

Verena Oerenbas, political adviser from the Residential Property Association, welcomed the compromise but said the level of government help for homeowners making the transition to renewable energy was still unclear.

"There are still no concrete proposals yet, so we don't know how this funding will look," she said.

- 'Bad joke' -

The weeks-long row has been damaging for the government, while providing a boost for the far-right Alternative for Germany (AfD), which criticised the law.

The Greens have come out of the saga particularly badly, with their popularity plummeting among voters opposed to the law and also among environmentalists angered by the compromise deal.

In comments to Funke media group, Luisa Neubauer, head of the German chapter of Fridays for Future, criticised the watered-down deal as "a bad joke" that amounted to "gutting" the law.

The Greens' attempts to promote climate-friendly systems were not helped when reports emerged the party was struggling to fit a heat pump in its own Berlin headquarters.

A heat pump, which uses technology similar to an air conditioner or fridge, works by extracting warmth from the ground, outside air or a water source to generate heat.

After soaring in recent years, demand for heat pumps has plunged this year, as consumers waited to hear the details of the law, including potentially higher subsidies.

"The public debate in recent weeks has caused a great deal of uncertainty among consumers," Bjoern Schreinermacher, of Germany's Heat Pump Association, told AFP.

Conversely, there has been a "very, very strong demand for oil and gas heating," as people rushed to install new systems ahead of an expected ban, he added.

(G.Gruner--BBZ)