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BEG grant for the building envelope: application route since July 2026

5 min read

In funding for the building envelope, the order of the steps matters more than the percentage rate. Since 21 July 2026, the terms of the reformed guideline have applied to new applications. The process, with its Technical Project Description, contract subject to a funding condition and energy efficiency expert, has several pitfalls, which this article describes; worked examples of the funding amount can be found in the article GEG is now GModG.

Which version applies

The decisive document is the BEG EM funding guideline (Bundesförderung für effiziente Gebäude – Einzelmaßnahmen, federal funding for efficient buildings – individual measures) of 17 August 2026, published in the Bundesanzeiger on 27 August 2026 (BAnz AT 27.08.2026 B1). It replaces the version of 21 December 2023. References in it to the Building Energy Act (Gebäudeenergiegesetz, GEG) are to be read accordingly as references to the Building Modernisation Act (Gebäudemodernisierungsgesetz, GModG).

By its own statement, the General Information Sheet of the BAFA (Federal Office for Economic Affairs and Export Control) applies only in the version that is current at the time of application. The current version 1.14 is dated 19 October 2026 and clarifies the procedure for changes to applications. BAFA recommends saving the version that applies to your own application.

Who is eligible to apply

  • All investors, including private homeowners, residential property owners’ associations, companies, non-profit organisations and local authorities.
  • The building must be an existing building: the building application or notification dates back at least five years at the time of application.
  • If the applicant is not the owner, an owner who is entitled to apply is required, who has been informed in advance about the funding and the maximum funding amount.
  • Not eligible to apply are, among others, the federal government and the Länder, political parties and applicants in insolvency proceedings.

What determines the funding

Component Rule for the building envelope
Minimum investment €300 gross
Basic funding rate 15% of eligible expenditure
iSFP bonus 5 percentage points, only for eligible expenditure of €30,000 gross or more (one residential unit), only on the amount above that; the individual renovation roadmap (individueller Sanierungsfahrplan, iSFP) must be available at the time of application and the measure must be implemented within 15 years thereafter
WPB bonus 5 percentage points for insulation measures on particularly inefficient buildings (worst-performing buildings), planned from the first quarter of 2027
Ceiling for eligible expenditure €30,000 for the first residential unit, €15,000 per unit for the second to sixth, €8,000 per unit from the seventh; with the iSFP bonus €60,000, €30,000 and €15,000 respectively

Eligible expenditure includes not only the material but also professional installation, commissioning and the necessary associated measures. The ceiling depends on the number of residential units after renovation. The services of the energy efficiency expert themselves, that is specialist planning and construction supervision, are funded separately at 50%.

The application route in five steps

  1. Commission and describe. For the building envelope, an energy efficiency expert (Energieeffizienz-Experte, EEE) must be involved. The expert or the contractor carrying out the work prepares the Technical Project Description (TPB) and hands over the TPB ID, which is valid for a maximum of two months.
  2. Conclude a conditional contract. At the time of application, a supply or service contract must be available whose validity depends on the funding approval, and it must state the expected implementation date.
  3. Submit the application. The application is made online via the BAFA portal; the date of receipt at BAFA is decisive.
  4. Implement. The grant notification reserves the funds for an approval period of 36 months. Invoices must be paid by non-cash means; an instalment agreement is possible once at least one instalment has been paid.
  5. Provide evidence. After completion, the expert prepares the Technical Project Verification (Technischer Projektnachweis, TPN). The proof of use must reach BAFA no later than six months after the end of the approval period, otherwise the entitlement lapses.

What counts as project start

In principle, the project start is the conclusion of the supply or service contract that is attributable to the execution. Planning and advisory services may be provided before the application. If execution begins after the application but before approval, this is permissible but is done at one’s own risk and gives rise to no legal entitlement.

Specialist contractor declaration, TPN and minimum requirements

The guideline provides for the specialist contractor declaration (Fachunternehmererklärung) for heating technology and heating optimisation. For measures on the building envelope, on the other hand, the energy efficiency expert confirms after completion that the Technical Minimum Requirements have been met and the amount of eligible expenditure. According to BAFA, the TPN replaces the previously analogue specialist contractor declaration.

The Technical Minimum Requirements set maximum values of the thermal transmittance coefficients (U-values) for each building element, which must be met where funding is sought as an individual measure. As evidence, the annex requires, among other things, manufacturer evidence of the design values of thermal conductivity and documentation of the build-up and type of insulation. Which characteristic values a data sheet actually supports for this purpose is explained in the article Reading the data sheet.

To clarify before applying

  • Combining funding: For the same measure, tax relief under § 35a and § 35c EStG (Income Tax Act) is excluded; applicants must undertake not to apply for it. Other funding can in principle be combined, but total public funding is limited to 60% of the funded investment expenditure.
  • One application per measure: The same measure may not be applied for at both KfW (the state development bank) and BAFA.
  • Own work: Only material is funded, and only if an expert or specialist contractor confirms the professional execution and the material expenditure.
  • Purpose restriction: The funded parts of the building must be used for their intended purpose for at least ten years.

What changes for contractors

A quotation that later becomes the basis of the contract now needs the funding approval as a condition and an implementation date. In addition to the invoices, the annex requires manufacturer evidence of the material characteristics; both should be carried along in order processing from the start. Whether a planned measure actually reaches the maximum values for the building element has to be demonstrated in the individual case; the description in the quotation does not replace this.

Sources

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