Serge Wilmes, Luxembourg's Minister of the Environment, Climate and Biodiversity; Credit: MECB

On Friday 14 June 2024, Luxembourg's Ministry of the Environment, Climate and Biodiversity announced the continuation and partial reform of the "Klimabonus Wunnen" and "Klimabonus Mobilitéit" financial aid schemes.

The ministry recalled that the Government Council (Cabinet) adopted the guidelines for the continuation and partial reform of these sustainable housing and sustainable mobility aid schemes on Wednesday 5 June 2024. On Tuesday 11 June 2024, Luxembourg's Prime Minister Luc Frieden officially announced the main points of this reform in his state of the nation address. On Friday this week, Luxembourg's Minister of the Environment, Climate and Biodiversity, Serge Wilmes, detailed these measures during a press conference.

Klimabonus Wunnen

"The 'Klimabonus Wunnen' financial aid scheme represents a significant step forward towards a more sustainable future," explained Minister Wilmes. "By promoting the rational use of energy and renewable energy in the field of housing, we contribute not only to the protection of our environment, but also to the reduction of energy costs for citizens. This commitment strengthens our determination to promote an equitable energy transition and build resilient communities."

The Klimabonus Wunnen scheme currently in force will initially be extended by three months and under unchanged conditions as follows:

1. Energy sanitation measures: maintaining the 25% bonus

For sanitation measures, including the implementation of controlled mechanical ventilation, the "basic regime + 25% bonus" financial aid will be maintained for applications in view of obtaining an agreement in principle, introduced no later than 31 December 2025.

2. Heat pumps and wood boilers: maintaining the bonus in the event of replacement of an existing boiler powered by fossil fuel

The "replacement bonus" will continue to be increased to 50% when an existing fossil fuel fired boiler or existing electric heating is replaced with a heat pump, hybrid heat pump or wood boiler.

3. Photovoltaic installations: adaptation of financial aid for installations operated in self-consumption mode after a three-month transition period

The 25% supplement on financial aid allocated for photovoltaic solar installations operated in self-consumption mode or as part of an energy community has been renewed for a transitional period of three months (orders placed no later than 30 September 2024), with the level of aid currently set at 62.5% of actual costs, and with a cap of €1,562.5 per kilowatt-peak.

From 1 October 2024, the current scheme applicable to energy sanitation measures and heat pumps and wood boilers will be maintained; at the level of photovoltaic modules, financial assistance will be reduced to 50% of the actual costs for installations ordered from 1 October 2024, with a cap of €1,250 per kilowatt-peak.

Klimabonus Mobilitéit

The ministry described the promotion of electric mobility as a key element of the integrated national energy and climate plan (PNEC) for 2021-2030.

The following provisions will apply:

1. Transition period until the end of September 2024

The Klimabonus Mobilitéit scheme currently in force will be extended by three months and under unchanged conditions. This extension concerns vehicles purchased on or before 30 September 2024.

2. Adaptations from 1 October 2024

Aid amounts
The aid amounts will be staggered as follows for vehicles ordered from 1 October 2024:

Aid of €6,000 for:

- 100% electric cars, provided that their electrical energy consumption does not exceed 160 Wh/km (which is equivalent to 16 kWh/100 km);

- 100% electric cars with seven or more seats, provided that the aid applicant is part of a household of at least five people, in order to take into account the needs of large families;
- 100% electric vans and hydrogen fuel cell cars.

A bonus of €3,000 for 100% electric cars with an electrical energy consumption of between 161 Wh/km and 180 Wh/km. This last threshold is being increased to 200 Wh/km, provided that the maximum net power of the car's propulsion system is less than or equal to 150 kilowatts.

Other electric cars, namely those whose electrical energy consumption exceeds 200 Wh/km (or 180 Wh/km when their power is greater than 150 kilowatts) will no longer be covered by the financial aid scheme.

Financial aid for other 100% electric vehicles (quadricycles, motorcycles and mopeds) will be renewed at an unchanged level (50% of the cost of the vehicle (excluding VAT), without exceeding €1,000).

Premiums for pedal-assist electric bicycles (50% of the cost (excluding VAT), without exceeding €600) will be reserved for people who are part of a household benefiting from the cost of living allowance or the energy bonus at the time of purchase.

New financial assistance of 50% of the cost of the vehicle (excluding VAT), capped at €1,000, is being introduced for pedal-assist electric bicycles intended to transport, at the rear and/or in front of the driver, loads of people and/or larger goods than on a classic bicycle (cargo bicycle).

This new financial aid scheme concerns vehicles purchased between 1 October 2024 and 30 June 2026.

Increase in minimum detention period

Currently, the granting of the bonus is linked to compliance with a minimum holding period of twelve months for the vehicle. From 1 October 2024, this will be increased to 36 months, in order to prevent the premature export of vehicles that have benefited from subsidies in Luxembourg. The extension of the minimum holding period is expected to help stimulate the emergence of a second-hand market for 100% electric cars.

Introduction of financial assistance for used electric cars

With the same aim of promoting the prolonged maintenance of electric cars in the national automobile fleet, new financial aid of €1,500 for used cars (aged at least three years) is being introduced, on the condition that the beneficiary has owned the car for at least two additional years and is not part of the same household as the seller of the vehicle.

The detailed provisions of the Klimabonus financial aid schemes, including a simulator of aid amounts, are available on the website:

Financial aid application forms are available on