BDEW Calls for Clear Rules for District Heating Networks

August 24, 2026

Source: E & M powernews

Ahead of the cabinet deliberations, the German Association of Energy and Water Industries (BDEW) is calling for clear rules and increased funding for the expansion and decarbonization of heating networks.

The Federal Cabinet is expected to discuss key points for a heating network package on August 26. In light of this, the German Association of Energy and Water Industries (BDEW) is calling on the federal government to establish reliable framework conditions for the expansion and decarbonization of heating networks.

“We expect the key points to provide clear and reliable guidelines, as well as an improvement in the framework conditions for the expansion and decarbonization of heating networks,” explained BDEW CEO Kerstin Andreae. Following repeated delays, a fully drafted bill must now follow promptly.

Among the adjustments the association considers necessary are a reform of the Heat Supply Ordinance and Section 556c of the German Civil Code (BGB). In addition, the Ordinance on General Conditions for District Heating Supply (AVBFernwärmeV) must be amended. Reliable financing is also necessary, Andreae explained.

The BDEW demands that heat suppliers not be burdened with additional bureaucracy when implementing their expansion and decarbonization plans. At the same time, price regulation must be structured in such a way that it protects consumers and enables investments in heating networks. The association rejects price caps.

Calls for More Funding for Heating Networks

A key demand concerns federal funding for efficient heating networks (BEW). The BDEW is calling for the funding to be increased to at least 3.5 billion euros per year and continued beyond 2030. Long-term planning certainty is also necessary with regard to the Combined Heat and Power Act (KWKG).

Andreae also welcomed the fact that the key points for the heating network package are now expected to be available shortly. From the association’s perspective, however, key points alone are not sufficient. The federal government must quickly present a concrete draft bill so that the industry can gain clarity on the future regulatory framework.

With regard to further legislation, the BDEW is calling for sufficient time to consult with the industry. In doing so, the practical experience of energy suppliers should be taken into account. Reliable regulatory frameworks are particularly crucial for the expansion and decarbonization of heating networks in order to make long-term investment decisions.

Author: Susanne Harmsen