Germany's Building Modernization Law Sparks Debate Over Heating and Social Housing

Germany has enacted a new Building Modernization Act (GModG) that seeks to accelerate energy‑efficient renovations while keeping rent levels affordable. An analysis by the Öko‑Institut and Zukunft KlimaSozial proposes four pillars for a socially just heat transition: adjusting cold‑rent calculations, foregrounding heating costs, strengthening social housing, and promoting district‑wide approaches.

Critics, led by the environmental group Deutsche Umwelthilfe, argue that the law weakens climate targets by allowing new oil and gas boilers after 2044 and by providing only limited requirements for renewable‑fuel shares. The group plans to file a constitutional complaint, citing the climate‑neutrality goal for 2045 and Article 20a of the German Basic Law, and warns that tenants have no say over heating technology installed in their homes.