BAFA module 1: investment funding for cross-cutting technologies and practical examples

+++ Energy consulting blog series (part 2) +++ The energy transition is a challenge, but also an opportunity for companies to operate more sustainably while saving costs. The focus here is on innovative technologies that help to reduce energy consumption. The BAFA module 1 of the German funding program 'Energy Efficiency in the Economy' ('Energieeffizienz in der Wirtschaft', EEW), with its focus on cross-cutting technologies, offers companies the opportunity to make precisely such investments. But what does that mean in concrete terms, and what might a practical example look like?

What are cross-cutting technologies?

• Electric motors and drives including frequency converters
• Electrically driven pumps (including frequency converters) for transporting liquids
• Fans including frequency converters
• Compressed air generators and their higher-level control system
• Heat exchangers that are used to tap the waste heat of existing systems or for heat recovery in existing systems. The tapped waste heat must be used within the company.
• Frequency converters for retrofitting to electric motors, drives, pumps and fans already present in the company
• Thermal insulation for existing systems

Optimizing or replacing such systems can lead to significant energy savings and is therefore an important building block for energy efficiency in the economy. That is why they are funded by the German BAFA (Federal Office for Economic Affairs and Export Control) through module 1 of the EEW program.

What does funding under EEW module 1 offer?

Module 1 of the EEW program supports companies investing in energy-efficient cross-cutting technologies. Funding is provided in the form of grants, which can be applied for both individual measures and systemic optimizations.

Important: It only applies to replacement investments and only SMEs (small and medium-sized enterprises) can take advantage of it. The investment volume must be at least 2,000 euros per measure.

The most important aspects of the funding are:

• Up to 25% of the investment costs for small companies
• Up to 20% of the investment costs for medium-sized companies

• Replacement of inefficient motors with energy-efficient variants
• Replacement of inefficient pumps including frequency converters
• Replacing inefficient ventilators with frequency converters
• Replacing compressed air systems
• Retrofitting frequency converters
• Implementing heat recovery systems
  
  

Practical example: replacement of an air compressor

A small manufacturing company was using an outdated compressed air system that was causing high energy costs. An energy audit revealed that significant savings could be made by taking the following measures:

1. Replacement of the old compressor: The existing compressor was replaced with an energy-efficient model that is better suited to the company's needs.

2. Leakage elimination: Numerous leaks in the pipe network were eliminated, drastically reducing energy loss.

The investment costs for these measures amounted to approximately 28,000 euros. Thanks to the funding from BAFA module 1, the company received a grant of approximately 7,000 euros. The measures resulted in energy savings of approximately 30%. The investment thus paid for itself within a few years.

BAFA module 1: advantages for companies

• Competitive advantages: Lower energy costs increase profitability.
• Environmental protection: Reduced energy consumption means fewer CO₂ emissions.
• Future viability: Companies position themselves as sustainable and responsible players in the market.
  
  

Conclusion

The BAFA module 1 for cross-cutting technologies is a great opportunity for companies to increase their energy efficiency and benefit from attractive subsidies at the same time. A well-founded energy consulting lays the foundation for a successful application and the optimal use of the funding. So anyone considering modernizing their technologies should take advantage of this opportunity – for the sake of the environment, economic efficiency and their own future.

 Text: Mathias Wendt