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What are the renewable energy subsidies for 2026?

What are the renewable energy subsidies for 2026?

Are you planning to make your home more sustainable with solar panels, a home battery, ventilation, or a heat pump? If so, it’s crucial to know which VAT rate applies. In 2026, this rate will largely depend on the general renovation rule, but there is one important exception. In addition, there are grants of up to €8,000 available for those who want to install a heat pump.

Premiums

Heat Pump Incentive

Anyone in Flanders who wants to make their home more energy-efficient can count on financial support through the My Renovation Bonusprogram. One of the most attractive options is the grant for installing a heat pump. The amount of the grant depends on theregion where you live (Flanders, Brussels, or Wallonia), your income bracket, and the type of heat pump you install.

The Flemish government divides homeowners into four income categories. To determine exactly which category you fall into, they look at your most recent known combined taxable income from two years prior to the application date (so for an application in 2026, you should check your 2024 tax assessment notice).

In addition, your household composition is taken into account—such as whether you live alone or with a partner—and the number of dependents you have. This category then determines the maximum premium amount and the percentage of the bill that can be subsidized. Income categories 1 and 2 receive the same premium amounts for heat pumps. In practice, Category 2 therefore sets the ceiling for the subsidy amount for higher incomes.

In addition, there is an increased premium for families living in an area without a natural gas network. This increase is specifically intended for the two lowest income categories (3 & 4), in which case your premium amount increases by 50%. For example, if you are entitled to a base premium of €6,000, this amount increases to €9,000, provided that it does not exceed the maximum percentage of your bill amount.

	Air-to-air	Air-water	Soil-Water	Heat pump boiler	Maximum premium
Category 4 Lowest incomes	€600	€6.000	€8.000	€900	up to 50% of the quoted amount
Category 3 Lower incomes	€450	€4.500	€6.000	€900	up to 35% of the quoted amount
Category 2 Middle-income	€300	€1.500	€4.000	€1.050	up to 25% of the quoted amount
Category 1 Highest incomes	€300	€1.500	€4.000	€1.200	up to 20% of the quoted amount

	Single	Couple or multiple residents	Surcharge per additional dependent
Category 4 Lowest incomes	up to €24,750	up to €37,110	+ €4,420
Category 3 Lower incomes	up to €43,240	up to €60,520	+ €4,420
Category 2 Middle-income	up to €55,020	up to €78,610	+ €4,420
Category 1 Highest incomes	starting at €55,021	starting at €78,611	+ €4,420

The subsidy covers the cost of the heat pump itself, the accessories (thermostat, controllers, etc.), installation, and any drilling required. The following are not eligible: do-it-yourself installations, installations without an invoice, the removal of an old system, or the installation of new heat distribution systems such as radiators or radiant floor heating.

Terms and Conditions for Heat Pump Incentives

The home must be at least 10 years old as of the date of the application
Claims must be filed no later than 2 years after the date of the final invoice
The installation must be performed by a contractor with a RESCert certificate (such as EnergyKing)
The heat pump provides space heating (possibly in combination with domestic hot water and pool heating).
The system's heat output temperature is a maximum of 55°C
An air-to-air heat pump or air conditioner is eligible for a subsidy only if it is the sole source of central heating for the residential building and if the residential building is completely fossil-fuel-free as of the date of the subsidy application.
You won't receive a subsidy for new construction, since heat pumps are now often required in such cases

There is a strict 10-year limit: you can receive a grant for a heat pump in the same home only once every ten years. This rule applies only to the combination of you as an individual and that specific home. This means that you can still submit a new application for a different building. In addition, a new owner of your home can apply for a grant immediately, even if you have recently received one.

A heat pump and a heat pump water heater?

If you have both a heat pump and a heat pump water heater installed, you can only receive a rebate for both installations if the heat pump water heater is installed before the heat pump. In other words, the invoice date for the heat pump water heater must precede the invoice date for the heat pump in order to qualify. If both units are installed or invoiced at the same time, you are only eligible for the subsidy for the heat pump.

VAT reduction

Solar panels, home batteries, and ventilation

Are you planning to make your home more sustainable with solar panels, a home battery, or a ventilation system? If so, it’s crucial to know which VAT rate applies. In 2026, this rate will largely depend on the general renovation rule. Thanks to this rule, you can benefit from a reduced VAT rate of 6% on the work performed, provided that the following three criteria are met:

Although the 10-year rule for renovations is the standard, there are significant exceptions for specific technologies. For example, heat pumps are a major exception, and additional conditions apply to the installation of charging stations in order to qualify for the reduced VAT rate.

Heat Pumps

As of January 1, 2026, the regulations regarding VAT on heat pumps have been permanently simplified. Whereas you previously often paid the standard 21% VAT rate on new homes, the reduced 6% VAT rate now applies across the board. Whether you’re carrying out an energy-efficient renovation or building a new home, the government is encouraging the use of sustainable heating systems.

The measure will be evaluated by the end of 2030. It is not yet known whether the reduction will become permanent after that or whether the rate will increase again.

Types of heat pumps eligible for a VAT reduction:

Charging poles

In addition to the favorable tax treatment for heat pumps, charging stations for electric vehicles can often benefit from the reduced 6% VAT rate. The general conditions for renovation work apply here: the home must be at least 10 years old, be used primarily for private purposes, and the installation must be carried out entirely by a certified installer. However, there is a crucial additional condition that applies specifically to charging stations:

Location of the charging station: The installation must be physically connected to the residence or its immediate vicinity. Locations approved by the tax authorities include:

Inside the private residence itself or on its exterior facade
In or on the facade of the garage or carport belonging to the owner of the private residence,
On the access road connecting the public road to the garage that is part of the actual residence or to the main entrance to the residence or building
For apartment buildings used as private residences: private garage spaces in apartment buildings and private parking spaces in or under an apartment building

Summary

	New Construction	Private residence older than 10 years	Premiums
Solar Panels	21%	6%	/
Home Battery	21%	6%	/
Charging station	21%	6%	/
Heat pump	6%	6%	up to €8,000
Ventilation	21%	6%	/