Support of RES-H infrastructure - KWKG
Updated: 14.01.2019
The Combined Heat and Power Act (KWKG) promotes the construction and development of heating networks and storage, however, not exclusively using renewable energy sources. As laid out in § 19 par. 1-3 (KWKG), newly constructed or modernised plants are eligible for compensation payments if the share of heat resulting from combined heat and power (CHP) produced is at least 75% or the combination of CHP, heat from renewable energies or industrial waste heat is at least 50% (§ 18 par. 1 sector 2. KWKG). The compensation payment is EUR 100 per meter of a newly installed heating pipe (§ 19 par. 1 KWKG). This compensation is maximum 30% of identifiable investments costs for pipes with a nominal diameter of more than 100mm and 40% of identifiable investment costs for pipes with a nominal diameter below 100mm, but not higher than EUR 20 million per project (§ 19 par. 1 KWKG). The heating grid operator is entitled to receive compensation payments from the electricity grid operator (Section 6 KWKG). Regarding heat storage, compensation payment is EUR 250 per cubic meter water equivalent of the installed storage volume (§ 23 par. 1 KWKG). For storage of more than 50 cubic meters this compensation is maximum 30% of the identifiable investments costs (max. EUR 10 million) (§ 23 par. 1 KWKG).
Germany