KfW
KfW Development Bank -- German promotional bank offering low-interest loans and grants for PV systems and storage.
Also known as: KfW Development Bank, KfW Bank, KfW Funding
What Is the KfW?
The KfW (Kreditanstalt fuer Wiederaufbau / KfW Development Bank) is Germany’s state-owned promotional bank. It provides low-interest loans and repayment grants for investments in renewable energy, including photovoltaic systems, battery storage, and energy-efficient building renovation.
Relevant Funding Programmes for PV
| Programme | Funding Target | Type |
|---|---|---|
| KfW 270 | PV systems, storage, wind | Low-interest loan |
| KfW 442 (discontinued) | PV + storage + wallbox | Grant (up to EUR 10,200) |
| KfW 261/262 | Energy-efficient building/renovation | Loan + repayment grant |
KfW 270 in Detail
The “Renewable Energies — Standard” (270) programme is the main funding programme for PV systems:
- Financing of up to 100% of investment costs (max. EUR 150 million)
- Interest rate from 3.54% effective (rooftop PV, credit-dependent, as of March 2026)
- Term 5, 10, 15, 20, or 30 years
- Repayment-free start-up period up to 5 years (depending on term)
- Application via the house bank
Application Process
- Obtain a quote for the PV system
- Apply for a KfW loan through your house bank (before placing the order!)
- Wait for approval
- Commission and install the system
- Disbursement via the house bank
Practical Tip
The KfW loan must be applied for before placing the order. Anyone who has already signed loses their funding entitlement. Combining a KfW loan with the feed-in tariff is permitted and standard practice.
Related Terms
EEG (Renewable Energy Sources Act)
German law promoting renewable energies -- governs the feed-in tariff for solar electricity, among other things.
Amortisation
The period until a PV system's investment costs are recouped through electricity savings and feed-in tariff revenue.
Battery Storage
Energy storage for PV systems that stores surplus solar electricity and releases it on demand.