How to Replace an Old Furnace with Modern Infrared Heating?

In 2023, homeowners heating their homes with old furnaces can apply for funding to replace their heat source. There are many programs that can assist with this. It is worth knowing which of them can finance electric infrared heating.

The Polish government has been running funding programs for the replacement of outdated heat sources for several years. Most people may associate them with heat pumps, which are actively promoted by the authorities. However, it is important to know that these programs can also finance modern infrared heating systems. Why should you consider infrared heating?

Unlike other systems, it requires no further intervention. It is the only heating system on the market that is completely maintenance-free. It is also self-sufficient, as it does not require external fuel supply, unlike coal (and its variants) and gas. The operation of infrared heating films is also not directly dependent on weather conditions, as is the case with heat pumps. Heating films will always have exactly the same efficiency and consumption – whether it is freezing or raining. For this reason, more and more people are interested in infrared heating as an alternative to popular systems on the market.

Those who intend to replace their heat source must know that they can apply for government funding for this purpose. Electric heating is also included in the regulations of these programs. Here we will briefly present each program that can help reduce heating bills.

Clean Air Program

This year marks the 4th edition of this flagship government program. It is intended for owners or co-owners of residential buildings and for owners of residential premises that have been separated from single-family homes. How much money can you receive?

• 66,000 PLN for standard funding level
• 99,000 PLN for increased funding level
• 135,000 PLN for highest funding level
• 1,200 PLN for all levels. This is money for an energy audit

What can I spend this money on?

Program beneficiaries can allocate funds for the replacement of old heat sources, as well as for thermal modernization work. The amounts of grants for specific purposes vary.

For the first funding level (up to 66,000 PLN), you can obtain 5,600 PLN for electric heating – with the maximum amount not exceeding 40% of the incurred net costs. It is also worth mentioning that at this level, you can obtain funding for the installation of hot water systems in the amount of 8,100 PLN.

At the higher level (up to 99,000 PLN), electric heating can receive 9,700 PLN in funding. These costs cannot exceed 70% of the incurred expenses. For hot water systems, this amount is 14,300 PLN and also 70% of the costs.

The highest funding level (up to 135,000 PLN) supports individuals investing in electric heating with an amount of 13,900 PLN, which is intended to cover 100% of the costs. The preparation of hot water systems is funded with a maximum amount of 20,400 PLN.

As we can see, homeowners who decide on electric heating have a good chance of covering a significant portion of their incurred costs. It is worth remembering that the Clean Air program also funds micro photovoltaic installations in the amount of:

• 6,000 PLN for the basic level
• 9,000 PLN for the increased level
• 15,000 PLN for the highest funding level

Funding Levels

The amount of funding we receive depends on the income of the applicant:

• Basic level – 135,000 PLN per year
• Increased level – 2,651 PLN per month for single individuals and 1,894 PLN for multi-person households
• Highest level – 1,526 PLN per month for single-person households and 1,090 PLN for multi-person households

Where to Submit the Application?

The appropriate form can be found on the program's website. The application can be submitted online. There is also the option to submit it in paper form. To do this, you need to visit the grant application generator and follow the instructions provided there. The printed and completed application should be sent to the appropriate branch of the Voivodeship Fund for Environmental Protection and Water Management.

Clean Air Loan

In addition to the non-repayable grant, the program also offers the possibility of taking out a loan on preferential terms. From this year, a loan along with a grant for partial repayment of the capital of the loan can be obtained six months before the investment begins. Which banks offer loans under the Clean Air program?

• Alior Bank
• Environmental Protection Bank
• BNP Paribas Bank Polska
• Credit Agricole Bank Polska
• Polish Cooperative Bank S.A.
• Cooperative Banks from the BPS Group

The loan amount has so far been a maximum of 100,000 PLN. The loan period varied depending on the bank. In Alior Bank, for example, it was 10 years, and in the Environmental Protection Bank – 12 years. Information on how to apply for a loan is provided by the bank.

Stop Smog

Link to the program Stop Smog.

This program complements the Clean Air program. It is aimed at owners of single-family homes affected by the phenomenon of energy poverty. In short, it can be used by low-income individuals. Funds obtained from the Stop Smog program can be allocated for:

• Thermal modernization work
• Replacement of the heat source with a low-emission one
• Elimination of old and non-ecological sources
• Connection to the gas or heating network

The list of works that can be carried out is long and includes, among other things, the replacement of window and door joinery, modernization of chimneys, elimination of thermal bridges, insulation of ceilings, walls, floors, and foundations. The full list of works is available in the catalog of eligible costs for the Stop Smog program.

Amount of Funding in Stop Smog

Each beneficiary of the program can receive a non-repayable grant of up to 100,000 PLN for eligible costs incurred during thermal modernization.

Who Can Participate?

Stop Smog is aimed at individuals affected by energy poverty, meaning those for whom heating costs consume a significant portion of their household budget.

"The ultimate beneficiary of the 'Stop Smog' program is individuals who cannot afford to replace their furnace and insulate their home. The program specifies that this applies to those whose average monthly income per household member does not exceed 175% of the lowest pension amount in a single-person household and 125% of that amount in a multi-person household," said Paweł Mirowski, Vice President of the National Fund for Environmental Protection and Water Management, quoted on gov.pl.

Individuals living in municipalities where an anti-smog resolution is in effect can benefit from the program. The municipality must also sign an agreement with the National Fund for Environmental Protection and Water Management and have a 30% own contribution. The state finances 70% of the investment.

How to Benefit from the Program?

Participation in the program can only be done through the municipality relevant to the place of residence. First, local officials seek individuals who meet the conditions and express a desire to participate in the program. When a sufficient number of households is gathered, they submit an application to the ministry for funding. The details of the recruitment are decided by the municipal authorities, so additional information should be sought there.

Warm Apartment

Link to the program Warm Apartment.

This is a government program, which as its name suggests, is aimed at apartment owners. Essentially, it is identical to the Clean Air program. Thanks to it, every apartment owner heating with an ecological heat source can receive a grant for its replacement.

Who Can Participate in Warm Apartment?

Individuals residing in municipalities that have joined the program can participate. A strict condition is having old-type heating in the apartment – a coal stove or other solid fuel – below class 5.

Amount of Funding

The amount of the grant depends on the beneficiary's income. It can range from 15,000 PLN to 37,500 PLN. Funding in the Warm Apartment Program is divided into three levels:

• Basic – up to 15,000 PLN (and 30% of eligible costs) – annual income up to 120,000 PLN
• Increased – up to 25,000 PLN (60% of costs) – monthly income: 1,673 PLN in a multi-person household and 2,342 PLN in a single-person household
• Highest – up to 37,500 PLN (90% of costs) – monthly income: 900 PLN in a multi-person household and 1,260 PLN in a single-person household

What Can I Allocate the Funds For?

Program beneficiaries can allocate the grant for replacing an inefficient heat source with a new one or for connecting to a collective heat source in the building. Under the program, you can replace an old tiled stove with modern electric infrared heating, which will work not only in single-family homes but also in apartments. It is important to remember that the funding covers both the purchase and installation of the new heating system.

Additional Works

Under the Warm Apartment program, a range of additional works can be carried out, such as:

• Dismantling and purchasing a new hot water system installation.
• Purchasing and installing windows.
• Dismantling, purchasing, and installing external doors in the apartment.
• Purchasing and installing mechanical ventilation with heat recovery.
• Project documentation for the above investments.

Even More Money

It is worth finding out in your municipality if it is on the list of the most polluted areas in Poland. If so, funding for its residents is higher and amounts to:

• Up to 17,500 PLN (35% of costs) for the basic level
• Up to 26,900 PLN (65% of costs) for the increased level
• Up to 39,900 PLN (95% of costs) for the highest level

Where to Submit the Application for Warm Apartment?

Applications are submitted through the municipality. First, officials must express the desire to participate in the program to the NFOŚiGW. Once the fund grants the funding, it is the municipality's responsibility to establish the appropriate deadlines. Currently, the second round of applications is ongoing, which ends on December 31, 2023.

Information about deadlines and how to submit applications for the Warm Apartment program should be sought at the relevant municipal office.

Other Grants

Many municipalities and local governments run their own funding programs for the replacement of old heat sources. Practically every provincial city (except Krakow) has its own program independent of government initiatives. The same goes for counties and some municipalities. Therefore, we recommend checking independently whether there is an additional program in the municipality relevant to your place of residence.

Summary

If someone today in Poland has an old, uninsulated house heated by an equally old furnace, they have a great opportunity to replace the entire heating system with a new one. By utilizing funding programs, one can improve not only thermal comfort but also reduce heating bills. How?

Almost every program offers funding for thermal modernization work. Thanks to them, less heat will "escape" from the house. In this way, the new heating system will be more efficient, which will translate into savings in the household budget. Therefore, replacing the heat source with a new one should go hand in hand with thermal modernization. This is particularly important in surface heating systems such as infrared heating films. Although this system can be perfectly matched, without proper insulation it will not work as it should.