Federal Funding for Energy and Resource Efficiency in Industry (Loan) – Support for Cross-Sectional Technologies (Module 1)
KfW loan for financing highly efficient cross-sectional technologies in companies. Repayment grant of up to 25% for SMEs. Applications possible until 31.12.2028, application must be submitted before the measure.
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Grant criteria
Funding objective
Funding of investment measures by companies to increase energy and resource efficiency as well as to reduce greenhouse gas emissions through the use of highly efficient cross-sectional technologies (Module 1).
Eligible expenses
- Investment costs for systems and components in Module 1
- Ancillary costs for installation and planning up to 30% of system costs
- Manufacturer declarations
- Product data sheets
Non-eligible expenses
- Operating costs
- Costs for insurance and permits
- Own in-kind contributions
- Used equipment
Eligible to apply
- Companies
- Founders
- Cooperatives
- Non-profit Organizations
- Others
Funding requirements
- Permanent establishment in Germany
- Existing facilities owned for at least 5 years
- Project volume ≥ €2,000 per measure
Documents required for application
- Offer for the system
- Product or material data sheet or manufacturer's declaration
- Commercial confirmation for the application (gBzA)
Evaluation criteria
- Energy and resource saving potential
- Technical minimum requirements
- Sustainability aspects
Description
The federal funding for energy and resource efficiency in the economy (loan) – Module 1 "Cross-sectional Technologies" enables companies from all sectors nationwide to obtain low-interest financing for highly efficient standard components. Funding is provided for the replacement of existing systems that have been owned for at least five years with new IE4/IE5 electric motors, speed-controlled pumps, fans, and compressed air generators with frequency converters, as well as supplementary heat exchangers for waste heat utilization and thermal insulation measures. For each application, the investment volume per individual measure must be at least 2,000 euros, with the funding rate for small and medium-sized enterprises up to 25 percent of the total investment costs. Costs for planning and installation (up to 30 percent of the equipment acquisition costs) are eligible as ancillary costs. Requirements for funding include, among others, proof of electrical power consumption, manufacturer or material data sheets, as well as photo(s) of the existing system(s) to be replaced.
The repayment grants amount to 20 percent of eligible costs for medium-sized and 25 percent for small enterprises. Small and medium-sized companies also benefit from de minimis funding. The replacement may technically bundle related systems to a limited extent (up to a maximum of two replaced existing components per new component). For the application, the product data sheet or a manufacturer’s declaration as well as the "commercial confirmation for the application" are required. Interested parties can contact their financing partner until December 31, 2028, to apply for the loan before the project begins and thus realize investments in cross-sectional technologies at favorable interest rates.
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