Financial aid for sustainable energy refurbishment in houses will be increased by 25% for applications submitted by 30 June 2024, confirmed the ministry of the environment, climate and biodiversity on 11 January. Archive photo: Matic Zorman / Maison Moderne

Financial aid for sustainable energy refurbishment in houses will be increased by 25% for applications submitted by 30 June 2024, confirmed the ministry of the environment, climate and biodiversity on 11 January. Archive photo: Matic Zorman / Maison Moderne

Enhanced financial incentives for sustainable energy renovations and CO2 emission-free vehicles are now available until June 2024, following the extension of the ‘Klimabonus Wunnen’ (housing) and ‘Klimabonus Mobilitéit’ (mobility) schemes, announced the ministry of the environment, climate and biodiversity on Thursday.

The ministry of the environment, climate and biodiversity on 11 January the extension of the ‘Klimabonus Wunnen’ and ‘Klimabonus Mobilitéit’ financial aid schemes until the end of June 2024 to support sustainability and energy efficiency transition.

‘Klimabonus Wunnen’

The ‘Klimabonus Wunnen’ scheme, which focuses on the housing sector, will see a six-month extension of its provisions, following the finalisation of legislative and regulatory procedures. Key features of this extension include:

- Increased aid for energy refurbishment: Financial aid for sustainable energy renovations, including controlled mechanical ventilation, will see a 25% increase. This is applicable for applications submitted by 30 June 2024, and invoices issued by 30 June 2026.

- Bonus for boiler replacement: There is an increase in the financial bonus for replacing existing fossil fuel-powered boilers or electric heating systems. The increase is from 30% to 50% for installations ordered by 30 June 2024, with invoices issued by 31 December 2025.

- Support for solar photovoltaic pnstallations: Financial aid for solar photovoltaic installations in self-consumption mode or as part of an energy community will be increased to 62.5% of the actual costs, capped at €1,562.50 per 1,000 watts created for orders placed by 30 June 2024, with invoices issued by 31 December 2025.

The government also plans to evaluate the practicability, efficiency and social accessibility of these subsidies in early 2024.

‘Klimabonus Mobilitéit’

The ‘Klimabonus Mobilitéit’ scheme, aimed at promoting zero CO2 emission road vehicles, has been extended by three months, and now runs until June 2024. This scheme supports a range of vehicles:

- Subsidies for electric vehicles: Financial aid of €8,000 is maintained for 100% electric cars, subject to their electric energy consumption not exceeding certain thresholds.

- Premiums for specific electric vehicles: Cars exceeding the energy consumption limit are eligible for a €3,000 premium. The same premium applies to cars with seven or more seats in large households and to 100% electric vans and hydrogen fuel cell cars.

- Extension for other electric vehicles: Financial aid for quadricycles, motorcycles, mopeds, bicycles and pedal-assisted cycles was also extended for three months.

This extension covers vehicles ordered by 30 June 2024, and first circulated before 31 March 2025, considering delivery times. For non-registered vehicles, the extension applies to purchases made by 30 June 2024.

Looking ahead, the Luxembourg government will conduct an in-depth analysis at the beginning of 2024. The aim is to refine the gradation of financial aid for 100% electric cars and vans, ensuring the continued support for sustainable and green mobility beyond June 2024.