Germany’s energy efficiency support programmes – what it means for the country

Germany’s energy-efficient renovation support programmes are in high demand following the fallout from the Covid-19 pandemic. In this blog our experts assess the German market and what the support programmes mean for the energy sector.

Germany is one of the G20 and EU-28 countries with the highest levels of energy efficiency. This efficiency is determined and measured by using energy intensity as a gauge for energy consumption. Between 2000 and 2017 the total primary energy intensity throughout Germany dropped by almost a quarter. Even though a considerable percentage of these energy savings – achieved through improved energy efficiency – were counterbalanced by GDP growth of 24% during the period, it is still worth noting that Germany succeeded in decoupling energy consumption from economic growth. Overall energy consumption did see a notable reduction despite significant economic growth.

Of course, improved energy efficiency benefits the environment, but better energy efficiency doesn’t only equate to lower carbon emissions and a healthier planet; it can also save businesses money. It is therefore not a surprise that the returns on investment from energy efficiency tend to be higher than returns on secure investments in the capital market, especially when the markets have been hit so incredibly hard by the Covid-19 pandemic.

Investment in improving energy efficiency will also put German companies in a better position to compete in the global market. Businesses that produce a higher number of products, requiring the use of fewer resources and enjoy lower energy costs, due to improved efficiency, are able to operate at a lower cost than their rivals and therefore be more competitive.

Obstacles to improve energy efficiency have historically included high investment requirements. However with Germany – and other G20 countries – making moves to support companies looking to improve their efficiency, there may never have been a better time to make this investment.

SMEs in Germany can currently benefit from a numerous consultative services and funding programmes designed to help improve energy performance. There is funding available for energy management systems and investments in energy-efficient and climate-friendly processes. Visit the German Federal Ministry for Economic Affairs and Energy website for detailed information on the help available.

Depending on the specifics of the boiler set-up there will be numerous areas which could allow businesses to achieve significant energy savings and substantially reduce outgoings.

If you would like to discuss how our electronic burner control products can help your business improve its efficiency, reduce its emissions and emerge stronger from the Covid-19 pandemic please do get in touch.