Knowledge
Legal framework for heating cost billing
Which laws and ordinances determine how heating and hot water costs are recorded, allocated and billed? Here you will find all the important regulations at a glance – with the relevant sections and a link to the official legal text.
01 / 05
Measuring
Calibrated meters and heat cost allocators provide the values on which everything is based.
MessEG / MessEVMeasurement and Calibration Act and Measurement and Calibration Ordinance (Mess- und Eichgesetz und Mess- und Eichverordnung)Heat meters as well as cold and hot water meters must be calibrated; once the calibration period has expired, they may no longer be used for billing. Heat cost allocators are not subject to calibration law.
| § 37 MessEG | Calibration period and obligation to calibrate |
|---|---|
| Anlage 7 MessEV | Calibration periods: cold water meters 6 years, hot water and heat meters 5 years |
02 / 05
Recording and informing
Obligation to record consumption, remote reading and monthly consumption information.
HeizkostenVOrdinance on the Consumption-Based Billing of Heating and Hot Water Costs – Heating Costs Ordinance (Heizkostenverordnung)The central regulation: it obliges building owners to record consumption and to allocate the costs of heating and hot water mainly according to consumption. It applies to rented flats as well as to owners’ associations (WEG).
| § 1 | Scope; owners’ associations (WEG) treated the same as landlords |
|---|---|
| §§ 4, 5 | Obligation to record consumption; remotely readable and interoperable devices, retrofitting by 31 December 2026 |
| § 6 | Obligation to allocate costs according to consumption, change of the allocation key |
| § 6a | Monthly consumption information (UVI) and information in the statement (IDA) |
| § 7 | Allocation of heating costs (50–70 % by consumption), pipe heat, costs that can be passed on |
| §§ 8, 9 | Allocation of hot water costs; combined systems |
| § 9a | Estimation if a device fails |
| § 9b | Cost split on a change of occupant |
| § 11 | Exemptions from consumption recording |
| § 12 | Users’ right to reduce the bill (15 % or 3 %) |
EEDEU Energy Efficiency Directive (EU-Energieeffizienzrichtlinie; Directive 2012/27/EU, amended by (EU) 2018/2002; recast (EU) 2023/1791)European basis for remote readability, monthly consumption information and understandable statements. The requirements were transposed into German law with the amendment of the Heating Costs Ordinance on 1 December 2021.
| Art. 9a–11a (2018/2002) | Consumption recording, billing and consumption information |
|---|
03 / 05
Costs and energy
Which costs arise and how energy supply and the building influence them.
CO2KostAufGCarbon Dioxide Cost Allocation Act (Kohlendioxidkostenaufteilungsgesetz)Splits the CO₂ costs for heating and hot water between landlord and tenant according to a tiered model. The fuel supplier provides the necessary information; the split is made with the heating cost statement.
| § 3 | Information obligations of fuel suppliers |
|---|---|
| §§ 5–7 | Tiered model and split for residential buildings |
| § 8 | Non-residential buildings (split in half) |
GModGAct on Saving Energy and Modernising Heat Supply in Buildings – Building Modernisation Act (Gebäudemodernisierungsgesetz)Since the amendment of 23 July 2026, the successor to the Buildings Energy Act (Gebäudeenergiegesetz, GEG). Contains requirements for buildings and heating systems, retrofitting obligations and the rules for energy performance certificates. The former 65 % requirement for new heating systems has been abolished.
| § 35 | Retrofitting: insulation of the top floor ceiling |
|---|---|
| § 36 | Requirements when renewing external building components (Annex 7) |
| § 43 | New oil and gas heating systems: gradually increasing share of renewable energy from 2029 |
| § 69 | Insulation of heat distribution and hot water pipes |
| §§ 79–88 | Energy performance certificate |
AVBFernwärmeVOrdinance on General Conditions for the Supply of District Heating (Verordnung über Allgemeine Bedingungen für die Versorgung mit Fernwärme)Governs the supply conditions for district heating, including metering, billing and price adjustment clauses.
| § 18 | Metering |
|---|---|
| § 24 | Billing and price adjustment clauses |
WärmeLVOrdinance on the Switch to Commercial Heat Supply for Rented Housing – Heat Supply Ordinance (Wärmelieferverordnung)Specifies the conditions under which a landlord may switch to heat supply by a third party (contracting) and pass the costs on.
| §§ 8–11 | Cost comparison, notice of the switch and billing |
|---|
04 / 05
Billing and passing on costs
Who bears which costs and which deadlines apply – in tenancies and in owners’ associations (WEG).
BetrKVOrdinance on the Preparation of Operating Costs – Operating Costs Ordinance (Betriebskostenverordnung)Specifies which ongoing costs may be passed on to tenants – including heating, hot water, water and sewage as well as the costs of consumption recording.
| § 1 | Definition of operating costs |
|---|---|
| § 2 Nr. 2, 3 | Water supply and drainage |
| § 2 Nr. 4–6 | Heating, hot water and combined systems |
BGBGerman Civil Code – tenancy law (Bürgerliches Gesetzbuch – Mietrecht)Governs passing operating costs on in the tenancy agreement, the deadlines for statements and objections, as well as modernisation and heat supply by a third party.
| § 556 | Agreement on operating costs; statement within 12 months, objections within 12 months |
|---|---|
| § 556a | Allocation standard for operating costs |
| § 556c | Switch to heat supply by a third party (contracting) |
| §§ 555b–559e | Modernisation and rent increase after modernisation |
WEGAct on Residential Property and Permanent Residential Rights – Condominium Act (Wohnungseigentumsgesetz)Basis for cost allocation, resolutions and the annual statement in the owners’ association. The Heating Costs Ordinance takes precedence over the allocation rules of the WEG.
| § 16 | Benefits and costs; change of the allocation key by resolution |
|---|---|
| § 19 | Proper management, e.g. choice of the metering service |
| §§ 20, 21 | Structural alterations and their costs |
| § 28 | Budget and annual statement |
05 / 05
Data and related rules
Data protection and related obligations around metering services and operating costs.
DSGVO / BDSGGeneral Data Protection Regulation and Federal Data Protection Act (Datenschutz-Grundverordnung und Bundesdatenschutzgesetz)Govern how consumption and user data may be collected, processed and passed on – for example between the metering service, property management and owner.
| Art. 6 DSGVO | Lawfulness of processing |
|---|---|
| Art. 28 DSGVO | Processing on behalf of a controller |
TrinkwVDrinking Water Ordinance (Trinkwasserverordnung)Obligation to test central hot water systems for legionella regularly. The costs are part of the operating costs that can be passed on.
| § 31 | Testing obligations for legionella |
|---|
BayBOBavarian Building Code (Bayerische Bauordnung)Obligation to fit smoke alarms in bedrooms, children’s rooms and hallways. Installation by the owner; ensuring they are ready for operation is the responsibility of the direct occupant, unless the owner takes this on.
| Art. 46 Abs. 4 | Smoke alarm obligation |
|---|
Questions about implementation?
We implement the requirements for your property in a legally compliant way – from remotely readable equipment and monthly consumption information to the finished heating cost statement.
This overview is intended for general guidance only and does not replace legal advice in individual cases. The official legal text in force is authoritative. As of: September 2026.