France will suspend new applications for funding from the Fonds Chaleur from November 3, the Ministry for Ecological Transition announced. The fund supports renewable heating and cooling production and the development of heating networks.
The ministry told Agence France-Presse that the decision reflects the large number of projects submitted in 2026 and budget constraints associated with a reduction in Ademe’s allocation in the 2027 draft budget. The proposal gives the agency €500 million, compared with €800 million in 2026. Ademe has identified projects seeking a total of €1.8 billion in assistance.
The ministry said the gap between requested support and available state funding makes it necessary to tighten how applications are prioritised and grants awarded, despite changes already made to improve the fund’s efficiency.
Existing multi-year agreements with local authorities under the territorial renewable heat contracts will remain in place, Ademe said. Applicants can also still seek funding for preliminary studies ahead of projects.
Antoine Armand, vice-president of Intercommunalités de France for the energy transition and president of Grand Annecy, called for at least enough funding to ensure projects can be completed. He said keeping the state’s commitments was important for local authorities’ confidence and ability to plan investments.
The suspension comes as the state is also set to halt the Actee public-building renovation programme and several other schemes addressing energy poverty in 2027 and 2028. Christophe Robert, head of the Fondation pour le logement, denounced those decisions as a “serious social and ecological setback.”
Sources: Le Monde Politique.