Speedy reform of German heating regulation needed to bring planning security – energy industry alliance

A wide alliance of energy industry associations have called on the government to quickly present its reform proposals for the rules that govern Germany’s phase-out of fossil fuel heating. In a joint appeal, they said that clarity and a reliable concept for heating was needed fast. 

“Delays harm the affected industries and create further uncertainty,” they said, and warned against “disruptive” changes. 

Germany’s government is set to present key points on a new Buildings Modernisation Act for more “flexible and simple” clean heating requirements by the end of January. The law is the re-named Building Energy Act, informally known as the “heating law”, which stipulates the gradual phase out of oil and gas boilers. 

Its introduction by Germany’s previous coalition government under Olaf Scholz was mired in controversy, pushing chancellor Friedrich Merz’s government to pledge to “abolish” it in its coalition agreement. The government announced the cabinet would prepare a draft law “immediately” after key points for the new Buildings Modernisation Act are presented, and aims to adopt the amendments by the end of February.

The buildings sector has continuously failed its emission reduction targets and over half of Germany’s existing homes still rely on fossil gas for heating.

The associations criticised that the existing Building Energy Act contained too detailed and partly impractical provisions, which do not take into account the realities building owners were facing. “Any reform must therefore focus on simplification, comprehensibility, technological openness, and practicality,” they said.