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Federal Funding for Energy and Resource Efficiency in Business (Loan) – Support for Electrification of Small Businesses (Module 6)
Open

Hybrid
Last updated: 14.6.2025

The Federal Ministry for Economic Affairs and Climate Action (BMWK) supports businesses in Germany with interest-subsidized loans and repayment grants. The aim is to increase energy and resource efficiency and reduce greenhouse gas emissions, particularly through investments in cross-sectional technologies, process heat generation from renewable energies, and the electrification of small businesses. The program significantly contributes to climate protection and sustainability in the economy.

Who is funded?

The funding program aims to support German companies – including private, municipal, state-owned enterprises, freelancers, and contractors – in investments for energy and resource efficiency. It focuses on measures within Germany and pursues the overarching goal of reducing greenhouse gas emissions and optimizing energy consumption.

What is funded?

This funding program supports a wide range of measures to improve energy and resource efficiency and reduce greenhouse gases in companies. This includes investments in various technologies and processes, as well as the electrification of facilities. Measures with a minimum net expenditure of €2,000 are funded, provided they meet the technical minimum requirements and are compatible with the KfW exclusion list.

Type and Scope of Funding

The program offers a flexible financing structure that combines interest-subsidized loans with repayment grants. This hybrid funding model enables companies to reduce their investment costs while maintaining long-term financial security. The funded measures must be operated for at least three years after the investment is completed.

Conditions and Requirements

Specific requirements apply for participation in the program regarding application, company structure, and technical implementation of measures. Applicants must have their registered office in Germany, be creditworthy, and the funded projects must meet minimum requirements and be compatible with applicable environmental and social standards. It should also be noted that contractors must meet additional prerequisites.

Application Procedure

The application procedure requires early submission before the start of the measure. Processing is carried out through the KfW Banking Group, which is responsible for providing the interest-subsidized loan and processing the repayment grants.

The "Federal Funding for Energy and Resource Efficiency in Business" is based on a specific funding guideline from the Federal Ministry for Economic Affairs and Climate Action. In addition, a KfW information sheet serves as essential guidance for applicants. Both documents are publicly accessible via the Federal Gazette and the KfW website.

#Energy efficiency#Resource efficiency#Business funding#Greenhouse gas reduction#Electrification#KfW loan#BMWK funding#Climate protection investments#Process heat renewable energy#Cross-sectional technologies#Energy management#Plant optimization#Transformation plan#SME funding#German economy#Plant conversion#Repayment grant

Funding Overview

Open Until

Open Until:

31.12.2028

Award Channel

Award Channel:

Financial Instruments

Region

Region:

Germany

Sectors

Sectors:

Environmental and Climate Protection, Renewable Energy, Energy Production and Supply, Information and Communication Technology

Funding Stages

Funding Stages:

Implementation, Process Optimization, Planning

Funding Provider

Program Level: National

Funding Body: Federal Ministry for Economic Affairs and Climate Action (BMWK)

Managed By: KfW Banking Group

Website: KfW Bankengruppe