Standstill in construction – also with building renovations

Status: 07/19/2023 2:33 p.m

Too few new buildings are being built in Germany, and the industry is suffering from increased prices and high interest rates. Building renovations are also being scaled back massively. Various associations are now calling for a “climate stimulus package”.

In the times of Corona, the construction sector was something of a rock in the surf: while many industrial companies had to register short-time work, construction by and large continued. The times are over: Rising prices, high interest rates and worse subsidy conditions are a burden on the industry.

But not only new construction, also classic building renovations such as the replacement of old windows or insulation measures are being massively reduced, according to the observation of Christian Noll from the German Energy Efficiency Initiative.

Awareness of energy efficiency is at an all-time high – everyone knows that something has to be done about it, “but investments in energy efficiency have hit rock bottom,” explains Noll. Energy prices and the political situation led to caution rather than investment.

uncertainty among consumers

It’s time to wait – and that has to do with a number of factors, such as the calming of energy prices. This reduces the pressure to come up with more economical solutions quickly. At the same time, many measures have become more expensive, such as the installation of heat pumps.

And finally, the month-long discussion about the heating law caused uncertainty, complains Jutta Gurkmann from the Federal Association of Consumer Advice Centers.

But if consumers are to contribute to the energy transition, and they should and want to do so – we know this from numerous surveys – then what they need above all is planning and investment security.

Jutta Gurkmann, Federal Association of Consumer Centers

demand associations “Climate stimulus package”

The representative of the building energy consultants, Stefan Bolln, even goes one step further. In the discussion about the heating law, the impression was created that in future all of Germany would be connected to the local and district heating network or supplied with hydrogen.

But that is not the case – even in 2045, 60 percent would still have individual heating and the need for heat would have to be reduced. From a political point of view, this has gotten into an imbalance, emphasizes Bolln.

The 15 business, environmental and consumer associations that have joined forces to appeal to politicians are therefore calling for a “climate stimulus package”, including a renovation program for all public buildings. In addition, the funding conditions for comprehensive energy modernization, which were reduced last year, should be restored.

One sees with concern that the corresponding funding applications in May had halved compared to the previous year. If politicians do not take countermeasures, there is a risk, as the open letter states, that the climate targets will be missed even more than was already foreseeable.

In addition, waves of layoffs threatened – with the result that specialists for building renovation would no longer be available in the future. A concern that the associations share with the entire construction industry.

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