Today, KredEx shall issue renovation grant in the amount of 15-35% of the total cost of renovation project.

The grant is first of all meant to accompany the renovation loan of KredEx (issued by Swedbank and SEB Bank) to decrease the required share of self-financing, but the grant may also be combined with own funds. Funds obtained from sale of unused pollution quotas of the Republic of Estonia to Luxembourg are used to support apartment buildings.

According to Mirja Adler, head of the housing division of KredEx, the goal of renovation grant is to motivate people to reconstruct the existing apartment buildings in total, so that the energy efficiency would increase, considering the requirements of buildings to internal climate, the energy label class of buildings would improve, and the use of renewable energy would speed up.
“The grant limits are 15%, 25% and 35% of the total project cost depending on the level of integration in reconstruction of apartment buildings”, Adler added.

Terms of the grant are established in Regulation No. 52 of the Minister of Economic Affairs and Communications dated August 17th, 2010 “Terms and Procedures of Using Green Investment Scheme „Apartment Building Renovation Grants””. Only new starting reconstruction work shall be supported.

To obtain 15%, an apartment building shall achieve energy saving of at least 20% in an apartment building with closed net area of 2000 m2, at least 30% in an apartment building with closed net area of over 2000 m2, fulfil recommendations provided in energy audit and requirements of programme “Renovation Loan of Apartment Building” . By performing reconstruction work, the accordance of internal climate to requirements shall be ensured, and the apartment building shall achieve at least energy label class E.

To obtain a grant of 25%, in addition to the fulfilment of the above terms, an apartment building shall reconstruct the heating system so that it is locally adjustable, and mount devices that make it possible to divide and measure heating costs individually by apartments, partly or fully insulate and reconstruct the façade, exchange all windows for energy-saving ones, insulate and reconstruct the roof, exchange all windows for energy efficient one, sachieve an energy saving of at least 40% by reconstruction, and energy label class D.

To obtain a grant of 35%, in addition to the fulfilment of all above terms, the applicant for the grant shall install a ventilation system with heat return, achieve at least 50% of energy saving from consumption of heating energy, and energy label class C.

In fulfilment of the above requirements also previously completed work shall be considered, but only those eligible costs shall be supported that have been performed from the moment of submission of the application. Applications for grant may be submitted from August 23rd 2010 until the exhaustion of funds, or until November 30th, 2012. 

An apartment building applying for the renovation loan of KredEx may submit an application to Swedbank or SEB Bank. Apartment buildings using only own funds for renovation, or apartment buildings not belonging to the target group of renovation loan of apartment buildings by KredEx and are using other renovation loan from a bank, may submit a grant application with additional documents to KredEx.

More detailed terms of the grant are available in the web page of KredEx www.kredex.ee/toetused.