The E3G briefing “Affordable heat for Germany without LNG” has been written by Mathias Koch, Kamila Godzinska, Brick Medak, Lisa Fischer, Ronan Palmer, and Raphael Hanoteaux. Even beyond the current crisis, fossil gas will be significantly more expensive in Germany than in previous years. Germany will face additional costs of €120–200 billion by the end of the decade.Germany should fully exploit the savings potential in its building sector. The high savings potential calls into question whether Germany needs new gas import infrastructure.
Germany needs a “renewable heat program” to make full use of the huge savings potential in its building sector. It should aim to install 1 million heat pumps and renovate 4% of building stock per year from 2025 onwards. Stimulating the necessary investments and making them economically viable will require government funding of €20 billion per year.
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