Loan (KfW Renewable Energy Programme – Standard)
Updated: 11.01.2019
Author: Tim Sternkopf
The KfW Renewable Energy Programme–Standard gives low interest loans for investments in installations for electricity production indiscriminate of the technology in accordance with the EEG. Additionally, the programme supports also installations for short or long-term accumulation of power (such as power-to-heat, power-to-gas, power-to-liquid). The financial support is a long-term and low-interest loan with a fixed interest period of 5 or 10 years including a repayment-free start-up period (KfW Renewable Energy Programme Standard). The plant operator or investor signs a contract with the bank (Hausbank) specifying the terms of contract. If not agreed differently between the contracting parties, the KfW Rules for investment loans apply.
Eligible technologies
In general, all technologies are promoted in accordance with the EEG.
| Wind energy | On-shore plants, repowering |
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| Solar energy | Eligible |
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| Geothermal energy | Eligible |
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| Biogas | Eligible |
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| Hydro-power | Eligible |
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| Biomass | Eligible |
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Amount
Up to 100% of the investment costs eligible for financing (without VAT), however, not more than EUR 50 million per project. It is a long-term and low-interest (1,05 %) loan with a fixed interest period of 5 or 10 years including a repayment-free start-up period. A fixed interest period of up to 20 years is granted if technical and economic duration of co-financed investment is longer than 10 years. Moreover, a commitment fee of 0.25 % per month is charged.
Addressees
Domestic, foreign and public enterprises, public corporations, communal joint bodies, public agency, freelance professionals (such as doctors, tax consultant, architects, farms, natural persons, associations, cooperatives, foundations with legal capacities. Natural persons and charitable applicants must sell or feed a part of the generated energy into the grid.
Procedure
Distribution of costs
| State | KfW Bankengruppe bears the costs of offering low-interest loans. |
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| Plant operator | The installation operator has to pay back the loan. |
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Germany
