The German state of North Rhein Westphalia recently launched a subsidy scheme for micro combined heat and power products (mCHP).    Under the  new scheme the North-Rhine Westphalia Government will pay a capital subsidy to  commercial customers and Energy Service Companies who install highly efficient mCHP products of less than 50 kilowatts.  Local utilities are also eligible for funding under certain conditions.

Different levels of subsidy are available for  various  categories of mCHP products and related projects, depending on their level of efficiency, innovation and carbon saving potential.   Based on discussions with the relevant Government bodies, highly innovative cogeneration systems will be eligible for a subsidy of 45 percent of the extra cost of the product compared to a conventional reference product.  The subsidy is increased by another 10 to 20 percent for small and medium sized businesses.  However the precise subsidy amount will be determined by the relevant Government department, and may vary between customers. The subsidy program begins immediately and is due to run until the end of 2017.

The subsidy is part of a North-Rhine Westphalia Government funding program of up to EUR 250 million to support CHP deployment.