4 Feb 2020

The federal government introduced the coal phase-out law. This will regulate the end of electricity production from coal in Germany by 2038 at the latest. Article 6 of the draft law also provides for changed framework conditions for combined heat and power in the Combined Heat and Power Act (KWKG). The Federal Association of the German Heating Industry (BDH) sees major obstacles here for the market for decentralized CHP systems in the commercial sector.

In particular, the association criticizes the proposed limitation of the annual subsidy to 3,500 full hours of full use for CHP systems up to 50 kWel. This restriction has a massive impact on the profitability of this technology. “In order to receive the full funding, these mini-CHP systems would have to be operated for more than 17 years in the future."

component for heating transition

"This would mean that the funding period would be longer than the average operating time of the systems,” explains Dr. Lothar Breidenbach, Managing Director Technology at the BDH. Decentralized CHP systems are already making a major contribution to grid stabilization, as they run through the same load profile as electric heat pumps. This means that some of the electricity required by the heat pump can also be provided by CHP systems.

This is particularly important in view of the federal government's aims to expand sector coupling and the associated expansion of heat pump technology in the heating market. The BDH also points out that the increasing use of green fuels in CHP systems - in particular the use of hydrogen and methane generated synthetically from RE electricity and the use of biomethane - will make a further contribution to compliance with climate protection targets in future Germany is done.