The State supports the renovation of small houses and installation of solar panels with EUR 8 million

07.03.2022

This year, the Ministry of Economic Affairs and Communications is devoting eight million euros through the KredEx and Enterprise Estonia joint organisation to support the energy efficiency of small residential buildings, with the main focus this time on the installation of solar panels together with roof or façade insulation. A EUR 5 million grant for solar panels for apartment associations will also be opened.

‘Owners of small residential buildings may have the will to start renovation works, but the financial situation may become an obstacle, which is why the State helps cover part of the costs and it is definitely worth seizing this opportunity, as there is no reason to expect a fall in energy prices in the near future,’ said the Minister of Entrepreneurship and Information Technology Andres Sutt. ‘We found additional funds for the grant for small residential buildings to bring solar panels into special focus alongside renovation. The initial budget of EUR 3.7 million was thus increased to EUR 8 million for the first stage. However, this is certainly far from being enough, which is why we are also looking for ways to support the renovation of small residential buildings from the new EU funding period and the state budget, in addition to apartment buildings.’

The Minister of Economic Affairs and Infrastructure, Taavi Aas, said that the cheapest energy is saved energy. ‘With complete renovation, it is possible to reduce the heating requirement of buildings by up to 70 percent. All building owners should review their energy saving options and, if at all possible, invest in insulating the house and repairing the technical systems, as this will help to keep household costs as low as possible in the long term and improve the indoor climate of their home,’ said the Minister.

Applications for the reconstruction grant of small residential buildings can be made to the Enterprise Estonia and KredEx joint organisation from the end of March. This time, more attention will be paid to the installation of solar panels, in combination with roof or façade insulation. In the case of complete reconstruction of a building, the grant rate is 30% and up to EUR 20,000 in Tallinn and Tartu, 40% and up to EUR 30,000 in municipalities bordering Tallinn and Tartu, and 50% and up to EUR 40,000 in other regions. In the case of partial renovation of a building, the grant rate is 20% and up to EUR 20,000 across the country, and for the installation of solar panels and renovation of the roof or façade, it is 30% and up to EUR 20,000. The grant is intended for houses built before the year 2000.

In April, an application round for grants to install solar panels on apartment buildings will also open. To qualify for the grant, in addition to installing the solar panels, the roof or façade underneath the panels must also be renovated to increase energy savings. The exact conditions of the grant will be made public during March.

The Enterprise Estonia and KredEx joint organisation will soon announce the detailed arrangements for the grants.

Between 2022 and 2027, the State will provide at least EUR 366 million in support to improve the energy efficiency of residential buildings. The money will mainly go to support the renovation of apartment buildings, but the Ministry of Economic Affairs and Communications is looking for additional ways to support energy efficiency investments in private houses.