At the Climate Congress, BDI President Siegfried Russwurm issued a wake-up call to policymakers: “The transition to a climate-friendly economy must go hand in hand with ensuring competitiveness.” One year before the federal election, the status quo regarding climate protection in the building sector is cause for concern. The shock caused by the Heating Act has not been overcome, and building retrofits are stagnating. For Germany to become climate-neutral by 2045, building retrofits must gain significant momentum now.

Eliminating the Renovation Backlog in the Existing Building Stock

Numerous older buildings—especially those with the worst energy efficiency—are vulnerable to energy price fluctuations due to their high energy consumption and pose a cost risk for owners and tenants. Furthermore, their residents are inadequately protected from the consequences of climate change. This presents a dual responsibility and opportunity for policymakers to finally resolve the modernization backlog in the existing building stock. The current economic stagnation and rising construction costs have severely hampered the construction and renovation sectors, which has far-reaching negative consequences for the national economy.

Investment Drive in the Building Sector Is Necessary

The energy consumption of buildings in Germany must be cut in half on average. Holger Lösch, deputy chief executive of the BDI, emphasizes: “The federal government must launch a comprehensive investment drive in the building sector to promote affordable and climate-neutral housing.” A subsidy budget of 19 billion euros is necessary for targeted renovation support. Support for new construction must also remain secure in the long term. Temporary subsidies for climate-neutral buildings meeting the EH 55 standard will create new housing and can stimulate the economy.

Policymakers Must Provide Clarity and Planning Certainty

Policymakers must quickly provide clarity and planning certainty regarding legal requirements and funding programs. Attractive and reliable government incentives are essential to meeting the sociopolitical challenge of affordable and climate-neutral housing. This includes the federal government providing a guarantee for existing funding programs at least until the end of the legislative term. “Funding for the individual renovation roadmap must be raised again to 80 percent of the costs for energy consulting,” emphasizes Holger Lösch. Best-practice examples of successful and cost-effective renovations can help convince private homeowners to renovate.

Designing a Technology-Neutral Heat Supply

An open-technology approach to heat supply is essential. Resource-efficiently used renewable electricity, heat pumps, and district heating are the most important levers for climate-neutral heat supply in buildings. Renewable solid, liquid, and gaseous fuels must also play their part. The energy-efficient modernization of buildings helps reduce CO2 emissions and lower energy demand, while simultaneously promoting economic growth and securing jobs.