Federal Funding for Energy and Resource Efficiency in Industry (Grant) – Support for Cross-Sectional Technologies (Module 1)
Federal grant for SMEs in Germany for the replacement of inefficient existing equipment with highly efficient cross-sectional technologies (motors, pumps, fans, compressed air generators) and for the retrofitting of frequency converters, insulation, and heat exchangers. Applications accepted until 31.12.2028.
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Grant criteria
Funding objective
Promotion of investments by small and medium-sized enterprises in highly efficient electric motors and drives, pumps, fans, and compressed air generators to replace existing inefficient equipment, as well as retrofitting frequency converters, thermal insulation, and waste heat utilization systems to increase energy and resource efficiency and reduce greenhouse gas emissions.
Eligible expenses
- Investment costs for highly efficient motors and drives
- Investment costs for highly efficient pumps, fans, compressed air generators
- Costs for frequency converters
- Costs for thermal insulation and heat exchangers
- Planning and consulting services
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Non-eligible expenses
- Dismantling and disposal costs
- Company's own contributions
- Investments made before the issuance of the grant approval
- Acquisition of used equipment
- Structural measures on the building
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Eligible to apply
- Companies
Funding requirements
- Permanent establishment or branch in Germany
- SME status according to EU definition
- Existing installation in operation for at least 5 years
- Existing installation owned and fully operational
Documents required for application
- Product or material data sheet from the manufacturer
- Manufacturer's declaration (BAFA form)
- Photo of the existing system
- Cost estimate
- ELSTER organization certificate for application submission
Evaluation criteria
- Energy saving potential
- Investment costs
- Sustainability aspects
Description
The Federal Funding for Energy and Resource Efficiency in the Economy (EEW) – Module 1: Cross-Sectional Technologies supports small and medium-sized enterprises (SMEs) throughout Germany in investments in highly efficient electric drives. Funding is provided for the replacement of inefficient existing systems with new electric motors, pumps, fans, and compressed air generators, as well as retrofitting with frequency converters, thermal insulation, and heat exchangers for waste heat utilization. The funding rate is 25% of eligible investment costs for small enterprises and 20% for medium-sized enterprises. Grants of up to €200,000 per project can be applied for, beyond the application deadline until 31 December 2028. Existing systems must be at least five years old, fully operational, and owned by the company. Product and material data sheets or BAFA manufacturer declarations ensure proof of technical minimum requirements. Ancillary costs for planning and installation services are recognized up to 30% of the investment costs.
The funding aims at significant energy and CO₂ savings through the highly efficient operation of industrial cross-sectional technologies and contributes to climate protection. SMEs with a business location in Germany wishing to energetically modernize their infrastructure benefit from grants for acquisition and installation. Applications must be submitted electronically via the BAFA portal with an ELSTER organizational certificate. In addition to the completed online form, a cost estimate, manufacturer data sheet, photo of the existing system, and ELSTER organizational certificate are required. After completion of the measures, proof of use is submitted, and the completed investment is documented through specialist contractor declarations and invoice receipts. This creates a practical roadmap for companies seeking to unlock efficiency potentials and strengthen their competitiveness with state-of-the-art drive technology.
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