Heating Industry Calls for Stable Policies Amid Heat Pump Subsidy Uncertainty

The German heating sector is experiencing growing concern due to ongoing political disagreements over the future of heat pump subsidies. Industry leaders have highlighted a lack of policy consistency and clarity from the current government, which they argue is undermining confidence and disrupting the progress of Germany's energy transition in building heating.

Executives from leading heat pump manufacturers and installation companies have criticized the government's conflicting statements regarding potential reforms to the Building Energy Act. The sector has emphasized that this lack of direction is causing uncertainty among manufacturers, installers, and consumers, hindering long-term planning and investment in heat pump technologies.

Industry representatives have called for a clear and reliable framework to support the continued adoption of heat pumps. They argue that stable guidelines are essential for businesses and households to make informed decisions and for Germany to maintain momentum as it seeks to modernize its heating infrastructure and reduce carbon emissions.

Suggestions from within the sector include the gradual reduction of heat pump subsidies until 2030, allowing stakeholders to adjust to market conditions. Industry leaders acknowledge that while state support has been necessary to accelerate the adoption of renewable heating, a transparent phase-out plan would provide certainty and prevent frequent policy changes that disrupt the market.

Recent political debates have further intensified concerns. Senior government officials have expressed differing views on the continuation, reduction, or complete removal of heat pump incentives. Some suggest scaling back subsidies to encourage more private responsibility in heating system upgrades, while others advocate maintaining support to safeguard jobs and drive Germany's leadership in renewable heating technologies.

The coalition government has yet to present a unified position. Statements from various ministries and parliamentary groups have ranged from calls for the abolition of the current law to proposals for making it more flexible and technology-neutral. These differences have created confusion in the market, with industry participants emphasizing the need for a consistent and predictable policy approach.

Industry leaders have warned that repeated changes to subsidy programs risk jeopardizing both employment in the sector and the broader energy transition. They stress that long-term political stability is required for businesses to invest confidently, expand production, and train skilled workers.

Government discussions over the Building Energy Act are ongoing, with major parties expressing divergent positions on the future of support for heat pumps. While some policymakers have indicated that they will not support the abolition of subsidies, others are open to reviewing or gradually reducing them. The Chancellor has not yet issued an official statement on the issue.

Amid the ongoing debate, the heating industry continues to advocate for a clear and transparent transition plan. Such a framework, they say, would enable the sector to continue driving innovation, secure jobs, and contribute to Germany's climate goals without being subject to policy volatility.