heating costs – Voltmax Energy Solutions in Luxembourg

Heating costs in Luxembourg in 2026

Piotr Porębski — Sat, 28 Feb 2026 13:56:04 +0000

Heating costs in Luxembourg in 2026 can vary significantly. This is only partly related to the choice of heat source-whether it is electricity, gas, oil, or pellets. The price is driven mainly by another key factor: the efficiency of a given system in converting energy into heat. Two houses may pay a similar “fuel price,” yet still end up with completely different bills. Over time, it may turn out that one system has higher losses, while another operates more efficiently.

We compare the most popular heating sources using one common denominator to find out what 1 kWh of real, usable heat in a home actually costs. And to go beyond calculations alone, we will also show an example annual bill for typical energy consumption-so it can be easily related to your own place of residence.

How much do you pay for the useful heat that actually reaches your home?

When the topic of heating prices comes up among friends, it often leads to a discussion about which method is cheap and which is expensive. You will often hear that electricity is expensive or that gas is cheap. Such claims usually rely on the energy price on the meter, not on what it costs to produce heat that actually warms the home. So what is useful heat? It is the portion of energy that, after passing through the heating appliance, truly reaches the installation, raising the temperature in living spaces. The rest is lost as waste or escapes during combustion and the device’s own operation. That is why comparing the prices of gas, electricity, or heating oil on their own does not make much sense. After all, different heating systems have different efficiencies. A gas boiler delivers about 92% of the fuel’s energy to the home, while an oil boiler and a pellet boiler deliver about 88%. Electric resistance heating comes closest to 100%. This means, roughly, that 1 kWh of electricity is about 1 kWh of heat.

A heat pump works differently-it does not generate heat from electricity, but transfers it. In practice, this means that two people using different heat sources may pay similar amounts for the energy itself, yet their bills will still differ. One buys 1 kWh and gets almost 1 kWh of heat, while the other, using a heat pump, can obtain several kWh of heat from 1 kWh of electricity.

What does SCOP mean, and why does a heat pump “multiply” energy?

SCOP (Seasonal Coefficient of Performance) indicates the average amount of heat a heat pump can deliver over the entire heating season from 1 kWh of electrical energy. This means that with a SCOP of around 3.2, the pump supplies 3.2 kWh of heat to our home from 1 kWh of electricity. That is why it is said that the device “multiplies” energy. It does not produce all of the heat from electricity-it draws energy from the surroundings (air, ground, water) and transfers it to the heating system.

It is worth remembering that SCOP is not a fixed value. A lot depends on the installation in the home and on the temperature at which the heating system operates. A heat pump performs best where heating can run at lower temperatures, e.g., underfloor heating or larger radiators. It then operates much more efficiently. The higher the supply temperature, the harder it is to achieve a high SCOP, which directly affects heating costs.

Energy and fuel prices in Luxembourg in 2026 - reference data for calculations

Price comparisons should be fair, so reference data from specific sources must be collected. These include: operator tariffs, official price lists, and statistics. This is extremely important because the goal is not to guess the amount of a bill, but to build a clear benchmark for calculations. We show real market prices and official starting points-not promises that every household will pay exactly the same. The final result is also influenced by: consumption, tariff, fixed charges, and system efficiency.

For electricity, we use a working assumption of around €0.258/kWh for a household in 2026-an “average” value based on communications about support mechanisms in Luxembourg (for a typical household) and placed in the broader context of Eurostat data for 2025S1. For gas, we use the SUDgaz Classic tariff effective from 01.01.2026 as a reference point. On the tariff page, we find the gas price, the network component, fixed charges, and taxes. All of these components must be included so as not to underestimate heating costs. To convert values from m³ to kWh, we also use the calorific value provided by SUDenergie: 10.2 kWh/m³.

For heating oil, we rely on official prices published in Luxembourg (for example, on 10.02.2026 it was €0.867/l TVAC) and use a practical conversion factor of 10 kWh per 1 litre. We show pellets in two variants, because this strongly changes the result. As a reference point for bulk pellets, we use an example market price for loose/bulk pellets from €373.22/t (update: 01.12.2025)-it is worth remembering that this is not an official price, but a supplier’s offer, and the final rate usually depends on order size and delivery conditions. For retail bags, the price at Hornbach in Luxembourg is €6.79 / 15 kg. For calculations, we assume a typical energy value for pellets of 4.8 kWh/kg-this is an indicative value commonly used in such comparisons.

How much does 1 kWh of heat in a home cost in 2026?

The fairest way to compare different heating sources is to convert them to the cost of 1 kWh of heat that actually reaches the home. This common denominator immediately shows what is truly cheaper to operate-regardless of whether we are talking about gas, oil, pellets, electricity, or a heat pump. Below we present a comparison of the costs of 1 kWh of heat produced using different heating sources.

Heating source	Assumption (efficiency/SCOP)	Estimated cost per 1 kWh of heat
Heat pump	SCOP 3.2	~€0.081/kWh
Bulk pellets	efficiency approx. 88%	~€0.088/kWh
Condensing gas (incl. fixed charges)	efficiency approx. 92%	~€0.100/kWh
Heating oil	efficiency approx. 88%	~€0.099/kWh
Pellets (bags)	efficiency approx. 88%	~€0.107/kWh
Electric resistance heating	efficiency approx. 100%	~€0.258/kWh

What is an example annual bill if a home uses 15,000 kWh of heat?

To translate these values into a real-life situation, it is worth looking at an example annual bill. We assume that a home needs about 15,000 kWh of heat per year, which is of course a major simplification. This consumption includes both space heating and hot water. The indicative costs are as follows: a heat pump (SCOP 3.2) is around €1,209/year, bulk pellets about €1,325/year, heating oil €1,478/year, condensing gas €1,506/year, pellets in bags €1,607/year, and electric resistance heating about €3,870/year. This is only an example that shows the scale of the differences. It is worth remembering, however, that the final result always depends on the specific home, the operating temperature of the system, the tariff, and actual energy consumption.

What should you choose to heat a home in Luxembourg?

There are two heat pump placements that practically guarantee that noise will start to bother us when using the device.

The first is placing the unit under a bedroom window. The sound has a very short distance to travel, and at night the pump’s noises become very burdensome. The second place is a corner or the space between walls, the so-called recesses and corridors between buildings. In this case, the noise does not spread naturally—it reflects off hard surfaces and is amplified. Additionally, restricted airflow can cause the device to run at higher speeds, which also increases audibility.

Vibrations and mounting vs sound transmission

In Luxembourg, it is best to base your heating choice not only on the fuel price, but on how your home works: what the insulation is like, what radiators you have, what supply temperature is needed, and whether you are planning modernisation for the years ahead. These are the elements that determine whether a given solution will truly be cost-effective, convenient for everyday use, and reliable over time.

In many homes, a heat pump performs very well-especially when the system can operate at a lower temperature, as with underfloor heating or larger radiators. Under such conditions, the pump achieves better seasonal efficiency (SCOP) and heating costs fall. In addition, many homeowners combine it with photovoltaics, which helps control bills even better over the course of the year.

Gas and oil still make sense where a simple “like-for-like” upgrade is important, without major changes to the installation. This is a common choice in older homes that require a higher supply temperature and where replacing the entire heating system would be expensive or technically difficult. In that case, however, it is not only the fuel price that matters, but also fixed charges and future cost volatility.

Pellets, in turn, are a sensible option for people who have space to store fuel and accept a bit more logistics related to deliveries and boiler operation. Pellets usually deliver the best cost results when purchased in bulk and in larger quantities, rather than in retail bags.

In practice, the most important question is not “what is the best?”, but “what makes sense in my home and for how I use it?”.

Heating costs for your home - compare them with Voltmax

General cost comparisons are a good starting point, but the final decision should be made after carrying out specific calculations. That is exactly why at Voltmax we prepare a comparison of heating scenarios tailored to your home-so you can see not only the fuel price, but above all the real cost of heating in practice.

We start our work by conducting an interview about the building-we collect information such as floor area, insulation, type of installation, supply temperature, and previous bills. We perform an initial calculation of heat demand and calculate the costs for different options. We compare gas vs. a heat pump, pellets vs. a heat pump, or a heat pump combined with photovoltaics. In our calculations we include what truly affects the result: equipment efficiency, the heat pump’s SCOP, fixed charges (e.g., for gas), tariffs, and the way the fuel is purchased (e.g., bulk pellets vs. bags). With such calculations, you gain information on the estimated cost per 1 kWh of heat and an indicative annual bill prepared for your real home, not for an example building. This is especially important because the same system can produce completely different results in two similar homes-for example due to differences in insulation or the operating temperature of the installation.

We also help with the next step, namely selecting the equipment and configuring the system. One solution makes sense with underfloor heating and a low supply temperature, while another makes sense with an older radiator-based installation where the modernisation is meant to be as straightforward as possible. If you plan to combine heating with photovoltaics, we take that into account in the comparison and show how it may affect annual costs.

Voltmax also supports you with formalities and available funding options. Thanks to this, you gain knowledge based on current figures and rules. This enables a faster and easier decision on which solution will be more cost-effective-and, above all, convenient in your home.

Do you live in Luxembourg and want to optimise the heating costs of your home? Write to us! We will be happy to select the right solution to help you optimise your costs. You are welcome!

Worried about noise or vibrations from a heat pump? Contact us to design a neighbor-friendly system.

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Thermal Modernisation in Luxembourg: A Smart Way to Cut Bills

Voltmax — Wed, 02 Jul 2025 12:18:39 +0000

Introduction

In a time of rising energy costs and growing environmental awareness, improving your home’s energy efficiency matters more than ever. For homeowners in Luxembourg, thermal modernisation is a practical way to cut energy use, lower bills, and stay comfortable all year.

To begin with, you can start by insulating walls and roofs, upgrading heating systems, or installing solar panels. The good news? Luxembourg doesn’t just support these efforts—it helps fund them.

Moreover, with generous grants at both the national and local levels, energy renovation has never been more accessible. Whether you own a house, duplex, or apartment, it’s not just a green choice—it’s a smart financial move.

In this case, thermal modernisation delivers both environmental and economic benefits. What’s more, it increases the long-term value of your home.

In this guide, we’ll show you what thermal modernisation involves, why it matters, and how to get started. Let’s explore how to make your home warmer, greener, and more cost-efficient—step by step.

Renovating your home in Luxembourg: where energy savings begin

Every energy-saving journey starts with the home itself. In Luxembourg, energy-focused renovation isn’t just about aesthetics or property value—it’s about making your space more affordable, comfortable, and efficient.

High heating bills or outdated systems are common problems, but a smart renovation can fix them and bring long-term benefits. The government of Luxembourg actively promotes thermal renovation as part of its national climate and energy strategy.

Projects like insulation, window replacement, and heating upgrades can reduce energy use and turn your house into a low-consumption home. Moreover, renovation doesn’t have to happen all at once. Many homeowners start with small steps and upgrade gradually.

As a result, generous grants, expert advice, and a growing number of skilled contractors have made starting your renovation easier than ever.

Stopping heat loss: the real problem in older buildings

Older buildings in Luxembourg often come with character — nevertheless, they also hide energy leaks. Many homes built before modern insulation standards lose heat through walls, roofs, windows, and even floors.

In some cases, more than half of the heating energy escapes through the building envelope. This doesn’t just make homes colder in winter and hotter in summer — it also drives up energy bills.

Heat loss also increases your home’s environmental footprint. What’s more, many homeowners don’t realise how much energy they’re losing until they look closely at their usage.

Thermal imaging and energy audits are great tools to find the weak spots. Once identified, you can take focused action — starting with insulation and sealing.

Fixing heat loss in older buildings isn’t just about comfort. On the contrary, it’s the foundation of any successful energy renovation. Without it, even the best heating system or solar panels won’t work as intended.

Insulating walls, roofs and floors to keep the heat inside

Proper insulation is one of the most effective ways to stop heat loss and reduce energy use. In particular, this is true in Luxembourg’s varied climate.

Without good insulation, even the most advanced heating system will struggle to keep your home warm in winter or cool in summer. Walls, roofs, and floors are the most common areas where heat escapes. As a result, upgrading their insulation can lead to noticeable energy savings.

External wall insulation can cut heat loss by up to 25%. Roof insulation alone can prevent up to 30% of thermal energy from escaping.

Floor insulation — especially above garages or unheated cellars — adds extra protection and comfort. Altogether, these improvements deliver the best results. Fortunately, Luxembourg offers strong financial support for such projects. National and local subsidies cover a large part of the cost.

What’s more, with efficient materials and clear energy standards, professional insulation is now a reliable way to save energy and reduce your bills.

Replacing windows and heating systems for better efficiency

Old windows and inefficient heating systems are major obstacles to a truly energy-efficient home. In many Luxembourgish buildings — especially older ones — single-glazed or poorly sealed windows let valuable heat escape.

Outdated boilers and electric radiators also waste energy without providing consistent comfort. Replacing windows with double or triple-glazed models and insulated frames helps keep the heat in and the cold out.

These thermal modernisation upgrades also improve soundproofing and indoor comfort year-round. Moreover, switching to high-efficiency systems, like air-to-water or geothermal heat pumps, can cut energy use by up to 50%.

The cost may seem high at first. However, Luxembourg’s financial support schemes make these upgrades more affordable. In fact, when done together, window and heating system upgrades can unlock extra bonuses through national renovation programs.

Most importantly, they help your home stay efficient and reduce its environmental impact.

Adding solar panels to boost efficiency and cut electricity costs

Once your home is well insulated and your heating system is upgraded, the next step is often solar power. To put it another way, installing photovoltaic (PV) panels lets you generate clean electricity and lower your energy bills.

Solar energy is especially attractive in Luxembourg, where the government offers generous incentives. Modern solar panels are efficient, long-lasting, and adaptable to most roof types and building sizes.

As a matter of fact, by producing electricity at home, you not only save money — you also protect yourself from future energy price hikes. Pairing PV systems with heat pumps or EV chargers can further reduce your carbon footprint.

All in all, this combination offers a powerful step toward energy independence. Eventually, in many cases, homeowners recover their investment within 8 to 12 years.

Available grants in Luxembourg for energy renovation projects

Homeowners in Luxembourg benefit from a wide range of financial incentives that make energy renovation more affordable. The main support scheme, Klimabonus, covers up to 62.5% of eligible costs for thermal modernisation works like insulation, heat pumps, window replacement, or solar panels. This applies when the energy class improves by at least two levels.

In addition, other programs include Enoprimes (from energy suppliers), low-interest climate loans, and a reduced 3% VAT for older homes. In some municipalities, you can also get local top-up grants covering 10–20% of your renovation costs.

A state-funded energy audit is partly reimbursed, making expert advice easier to access. As a result, these supports can reduce the total cost of deep renovation by up to 60–70%, especially when upgrades are combined.

Your step-by-step plan for a thermal modernisation and more efficient home

Starting an energy renovation project can feel overwhelming. However, in Luxembourg, there’s a clear path to follow.

The first step is to schedule an energy audit with a certified expert, often subsidised by the state. This evaluation will show where your home is losing energy and what to fix first.

After that, create a renovation plan based on the audit. Many homeowners begin with insulation—walls, roof, and floors—then move on to windows and heating systems. Once energy loss is reduced, you can add solar panels to generate clean electricity and save even more.

With this in mind, at Voltmax, we support you every step of the way. From the energy assessment to planning, installation, and grant applications—we handle it all. With the right partner, going green has never been easier or more rewarding

Conclusions

Thermal modernisation is more than just a home improvement trend in Luxembourg. It’s a long-term investment in comfort, savings, and climate responsibility.

Every upgrade—from insulation and heating to solar power—brings you closer to an efficient, sustainable home. Luxembourg has one of the best grant systems in Europe, making it easier than ever to take action. And you don’t have to do it alone.

At Voltmax, we guide you through the entire process. We help you make the right decisions, secure available subsidies, and complete your renovation with confidence.

A warmer, greener, and more cost-efficient home is not only possible—it’s within reach.

Lower your energy bills with smart thermal modernisation. Fill in the form and get a free audit with expert advice on subsidies in Luxembourg

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