Building Retrofit Subsidies: PANEL programme

Last updated: 4 July 2019
The Ministry of Regional Development (MRE) through the State Housing Development Fund provides support for the repair, reconstruction and modernisation of apartment buildings constructed using the concrete panel technology, of which there are more than 1.1 million apartments in the Czech Republic. Financial subsidies are provided along with contributions to cover interest and guarantees for activities related to repairs and reconstruction of concrete panel apartment buildings; non-apartment residential units are explicitly excluded from the programme. Preference is given to economically depressed areas and areas with disturbed environment. Support is also provided for insulating buildings, improving heating systems, distribution pipes and sources of heat and hot tap water, and use of renewable energy sources in buildings which could have a favourable effect on energy efficiency, and thus on GHG emissions. The Panel programme was modified in May 2009, and continues to provide, in partnership with banks, preferential treatment when receiving loans, as well as subsidy payments to reduce loan interest. The programme applies to owners, who can receive guarantees for loans used to undertake a list of measures. When significant renovation or repair activity is undertaken affecting the building envelope, the building must then meet building energy performance standards. In addition, the programme offers subsidies amounting to between 2.5% and 4% of applicants loan interest rate. A higher proportion of the interest is reimbursed if more measures are undertaken, or if the building meets Class B energy performance standards. The subsidy is provided up to a maximum of CZK 5 500 per m2 of floor area, and paid every six months for the duration of the loan.