A study by the German economic institute warns against installing new gas heaters. Annual costs could nearly double by 2040.
A study by the Institute of the German Economy sees high risks with new gas heaters. According to the study annual heating costs could nearly double by 2040. A heat pump would keep expenses largely stable and save more than 1000 euros per year in partially renovated old buildings.
The institute criticizes the reformed heating law. It creates uncertainty and could entice households into investments that appear permissible in the short term but prove uneconomical or not viable long term. The federal government allows gas and oil heaters again under the law and gradually reduces subsidies for heat pumps until 2030.
Last year heat pumps were installed most frequently in Germany for the first time. Experts had expected the trend to continue in 2026.