Energy-Efficient Neighborhood Development –

Community Infrastructures IKK 201/IKK202

Program 432 has been expanded to include Program IKK 201/IKU 202 for Community Infrastructures. Both credit programs are oriented towards local organizations, civic bodies, small businesses, community groups, as well as companies with a background engaging in social initiatives. There will be investment not only in heating and cooling, but also water supply and wastewater systems, as a way of varying the means through which sustainable energy reconstruction is achieved in communities. For certain neighborhoods, this could indirectly incite motivation in other stakeholders (i.e. private owners).

What is Funded?

The credit program IKK 201 “Neighborhood Infrastructures” is oriented toward local, civic bodies as well as their legally dependent businesses, community organizations, and civic special purpose groups. Projects eligible for funding may include consultation, planning or construction support services as well as ancillary works requiring financial means.

Credit 202 – IKU – Energy-Efficient Urban Redevelopment – Neighborhood Supply Infrastructures

The KfW program IKU 202 „Neighborhood Supply Systems” offers credited investments for energy-efficiency strategies. It applies to companies with minimum 50% municipal shareholders, as well as companies and people involved in Investor-Carrier-Models (i.e. public-private partnerships). Eligible measures include consultation, planning, or construction support services as well as ancillary works requiring financial means.

Further information on the Credit Programs IKK 201 and IKU 202, including FAQs, is available on the KfW webpage.

As a federal contractor, the KfW offers a wide range of funding programs. Additionally, there may arise mutually beneficial effects within funded areas or in connection with additional programs sponsored by the EU, the federal government, or the governments of other nations.

The Investment Credit for Municipalities applies to the development of social infrastructures (kindergartens, hospitals, broadband, transportation, recycling services etc.). The execution of proposed measures is financially supported through subsidies (Nr. 430, 431) or loans at reduced interest rates – sometimes combined with repayment grants (Nr. 151, 152, 153) —as part of the KfW-supported CO2 Building Renovation Program from the Federal Ministry of Economy and Energy. This is how singular measures for single-family homes, such as window replacements, may be subsidized with 10% of investment costs (Program 430).

The program „IKK/IKU–Energy-Efficient Construction and Renovation,“ may similarly benefit municipalities, municipal companies, and social infrastructures through its support of both the purchase and sanitation of existing non-residential buildings as well as the construction of new energy-efficient structures. Additionally, the Kiwi-Energy-Efficiency Program „Energy-Efficient Construction and Renovation“ supports the energy-efficient sanitation and construction of commercial buildings.

Professional construction counselling by specialists is also subsidized through the CO2 Building Sanitation Program to ensure the high-quality execution of measures towards energy-efficiency (KfW-Program „Energy-Efficient Renovation – Baubegleitung“ (Nr. 431)). This program is only applicable to residential buildings, and solely in combination with financial aid from “Energy-Efficient Renovation” variant credit or subsidy.

The inclusion of an energy consultant is important even at the very beginning of a renovation project. For example, the Federal Agency for Economy and Export Control (BAFA) offers on-location consulting for owners of residential buildings. The comprehensive energy-consultancy is made possible through subsidies. Consultation may also be provided through state-wide or county-wide grant programs. If applicable, primary consulting may be provided through Consumer Organizations.

The KfW also supports energy consultations for small and mid-size businesses.