BERLIN - There will be no cutbacks in state subsidies for green construction and renovation next year, Germany's Economy Ministry said on Monday.

German news agency dpa quoted a spokesperson as saying that that the building subsidies will remain fully in place, including a support scheme to partially compensate energy-intensive companies for higher electricity prices.

Germany's Climate and Transformation Fund, a multi-year budget to finance climate and energy transition measures, has earmarked €14.4 billion (US$15.9 billion) to fund the energy-efficient renovation of buildings in 2025.

This year, €16.7 billion is planned. Previously, the ministry had forecast that funding of around €14.5 billion was needed in 2025. The installation of more energy-efficient electric heat pumps to replace gas and oil boilers are subsidised via this federal funding, for example.

In regards to electricity price compensation for companies, €3.3 billion is expected to be needed next year, around €600 million less than this year.

Funding requirements are recalculated and updated annually, depending on how many commitments from previous years will be paid out in the next year.