Home heating energy conversion grant
A one-off grant for homeowners receiving subsidised direct electric heating to install cleaner heating equipment or improve heating energy use.
Tämän rahoitusmahdollisuuden kuvaus on toistaiseksi englanniksi.
You can receive support for equipment that reduces direct electric heating, including heat pumps and wood heating, or improves the energy used to heat your home.
The grant covers half the equipment and installation-material costs, excluding VAT. The agency’s overview lists a maximum of ISK 1,567,000. The legal ceiling is adjusted each 1 January in line with the consumer price index. The agreement applies to the property for 15 years; after that period, the same property can receive a comparable grant again.
Receiving the grant does not reduce your heating subsidy. It continues according to consumption, up to 40,000 kWh a year.
Eligibility
- You must own the dwelling and currently receive the subsidy for direct electric heating. Install equipment that uses renewable energy efficiently for heating, improves heating energy use, or does both.
- The dwelling must qualify as residential housing under the heating-subsidy rules: someone lives there permanently and it has a separate property-register identifier. Residential care homes and shared homes also count. Where another home is needed for work or study, continuous occupation for at least 2–3 months each year and evidence accepted by the agency can support the subsidy even when the registered legal address is elsewhere.
- A legal entity, such as a municipality or an apartment owners’ association, may apply for a group of users. It must provide each user’s authorization, explain how the grant is divided between the users and the organization, and provide a connection plan if installation is unfinished.
- For heat pumps, biomass boilers or stoves, solar systems and shallow geothermal systems, the agency must confirm that the installers meet the qualification criteria in Annex IV of Directive 2009/28/EC.
- If you receive part of the grant and fail to fulfil the agreement, the agency must reduce the property’s heating-subsidy percentage in proportion to the grant already paid.
How to apply
- Tila
- Ajankohtaa ei ole ilmoitettu
Apply to Umhverfis- og orkustofnun through its Gagnaform portal, signing in with Iceland.is authentication.
Provide the owner’s name and national identification number, the property number, technical details of the equipment and a material-cost estimate. For completed works, submit an itemised cost breakdown and invoice copies for equipment and accessories.
Before the property agreement can be issued, submit the itemised final costs and invoices, photos of the installed equipment and the electricity-meter reading at completion. Payment goes to the homeowner under the agreement. The agency’s approval letter establishes its commitment to pay and specifies the estimated amount, payment conditions and timing.