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The Schwarz-Rot coalition has decided to abolish the controversial heating law set by former Minister Robert Habeck. The major change is the removal of the requirement for new heating systems to operate with at least 65% renewable energy, allowing oil and gas heating to continue.

Starting in 2029, newly installed oil and gas heating systems must use 10% biofuels, increasing gradually by 2040. From 2028, energy suppliers must blend up to 1% biogenic fuels into fossil fuels. The law eliminates mandatory consultations for new installations and maintains state subsidies for heating replacements until at least 2029. Legislation is expected to be proposed rapidly, with a cabinet decision possible in March.