Novinky.cz

World

The government cuts, municipalities offer. Subsidy for insulation and a new house for hundreds of thousands

The government of Andrej Babiš (ANO) has changed the rules of the New Green Savings subsidy program, which supports the insulation of houses or the purchase of heat pumps and other modern technologies. Only people with low incomes will now be eligible for the subsidy. Others can ask the State Environmental Fund to pay them interest on loans for house modernization.

“We are maintaining direct support for vulnerable households and will offer others affordable and cheap financing, thanks to which they will not have to postpone the renovation,” said Prime Minister Babiš.

The new green for savings is the main state program to support energy savings in homes. During its 17 years of existence, including its predecessors, it has already distributed 137 billion crowns. But now its budget will drop significantly – while last year the beneficiaries received 23.8 billion crowns, this year it will be a maximum of four billion.

The government defends the cuts with the need to save due to high budget deficits. “We will use public funds in a more targeted and effective way,” said Minister of the Environment Igor Červený (Motorists), whose office manages the program.

Cities offer help

Part of the shortfall is now replaced by municipalities. “Some municipalities offer subsidies for family and apartment buildings that are standing or are yet to be built on their territory,” said subsidy expert Milan Sedláček from Renards.

In May, the Prague City Council approved the continuation of the Clean Energy Prague program for this year and next year. The owner of a house or apartment can get up to 150,000 crowns for a heat pump, another 150,000 for a rainwater tank or 50,000 for solar panels for water heating. For apartment buildings, the ceilings are higher.