Your heating specialist in the Canton of Zug

Heat pump Zug: incentives, regulations and costs when replacing your heating

When replacing a fossil or electric heating system, the Canton of Zug pays CHF 8,500 for an air-to-water heat pump up to 30 kW and CHF 20,000 plus CHF 400 per kW for a brine-to-water or water-to-water system – significantly more than the neighbouring cantons. Since 1 February 2024, the Energy Act has also required that, when replacing the heating, at least 20 percent of the heat demand be covered by renewables or efficiency be increased to that extent, and a building notification must be submitted to the municipality before the replacement. (As of August 2026)

This page brings together what concretely matters when replacing a heating system in the Canton of Zug: the incentive rates, the 20 percent rule of the revised Energy Act, the building notification and the process from inventory to commissioning. Technology and scope of services at a glance: Heat pumps by ecoEn. If you're switching from oil, start with Replacing an oil heating system; for the roof in the same canton: Solar panels Zug.

DirectSpecialist company, no broker
One handHeat pump, PV, storage, EV charger
RegionBased in Zurich, working in the Canton of Zug
Heating loadcalculated, not estimated

What does a heat pump cost?

Costs depend on the system, the condition of the heat distribution and the structural conditions. The reference is SwissEnergy's empirical values for a single-family home, including storage tank and hydraulic integration:

SystemSwissEnergy reference (single-family home, complete)Cost drivers
Air-to-water heat pumpCHF 45,000–60,000Unit, installation, hydraulics, boiler room adaptation
Brine-to-water (ground probe)CHF 55,000–80,000Ground probe drilling (depth and subsoil)

Guideline values according to SwissEnergy, before incentives; they include heat pump, installation, storage tank and hydraulics. Removal of the old heating and permits are not explicitly included. The individual quote is binding.

Plan heat pump and photovoltaics together?
The heat pump's electricity demand and the yield from your own roof are interlinked – we calculate both sides together.
The combination in detail

Heat pump incentives in the Canton of Zug

Zug subsidises the replacement of an oil, natural gas or electric heating system – central or decentralised – and pays the highest rates in the region. For an air-to-water heat pump up to 30 kW thermal rated output, there's CHF 8,500, above that CHF 4,000 plus CHF 150 per kW. For brine-to-water and water-to-water heat pumps, CHF 20,000 plus CHF 400 per kW applies. If you replace decentralised electric resistance heating or decentralised fossil heating without a hydraulic distribution system, a flat-rate contribution of CHF 15,000 for the new heat distribution system is added for up to 250 m² of energy reference area, and CHF 60 per m² above that.

What limits the contribution is part of an honest calculation. For the assessment, output is capped at 50 watts per m² of energy reference area – so 10 kW for 200 m², regardless of how large the unit actually is. The contribution may not exceed 50 percent of the total investment. And: replacing a heat pump with a heat pump is not subsidised, nor are new buildings, and the heating to be replaced must usually have been in operation for at least five years. Up to 15 kW, a system certificate for the heat pump system module is mandatory.

On the sequence: the incentive application must be submitted before installation starts, otherwise there is no entitlement. Anyone who starts after submitting the application but before the incentive is approved bears the risk themselves. The processing body is Effienergie AG; the settlement documents must be submitted no later than two years after approval. Rates and conditions: 2026 energy incentive programme of the Canton of Zug, version of 1 January 2026.

The 20 percent rule: what the Zug Energy Act requires

A revised Energy Act has applied in the Canton of Zug since 1 February 2024. When replacing the heat generator, existing buildings must cover at least 20 percent of the heat demand with renewable energy or increase energy efficiency to that extent (§ 4c EnG-ZG, § 7 V EnG-ZG). A heat pump meets this requirement without additional proof – it is the easy way through the regulation, not the complicated one.

Regardless of the type of heating, a building notification with complete energy certification must be submitted to the municipality before replacing the heat generator. This is a separate step alongside the incentive application, and both belong before the order, not after.

Buildings with a Minergie certificate and buildings with high overall energy efficiency, specifically GEAK class C or better, are exempt from the 20 percent requirement. So if you're already in good shape, you can choose the type of heating freely – for everyone else, the heat pump is in practice the solution with the least proof required. Whether your house is ready for it is decided by the heating load calculation, not the year of construction: heat pumps in older buildings and sizing correctly. Basis: Canton of Zug, energy regulations and enforcement. The current provisions apply.

References

Our documented reference systems are photovoltaic and storage projects, several of them in and around Zug – see Projects & references. For heating replacement, we show you comparable properties from the region in the consultation instead of stock images.

How your project works

  1. Inventory. Heating, distribution, hot water and consumption – ideally while the old system is still running.
  2. System and legal clarification. Air-to-water or ground probe, drilling permit, noise distances, requirements under EnG-ZG.
  3. Heating load calculation & quote. Sizing based on calculation, quote with individually listed items.
  4. Incentive application before installation. Submit and wait for approval – only then is anything ordered.
  5. Building notification to the municipality. With complete energy certification, regardless of the heating type chosen.
  6. Removal & installation. Old heating out, heat pump in – a few working days for a single-family home.
  7. Commissioning & fine-tuning. Set the heating curve, instruct, readjust – the point at which efficiency is decided.

Frequently asked questions

How much does the Canton of Zug pay towards a heat pump?
For an air-to-water heat pump up to 30 kW thermal rated output, CHF 8,500; above that, CHF 4,000 plus CHF 150 per kW. For brine-to-water and water-to-water heat pumps, CHF 20,000 plus CHF 400 per kW. When replacing decentralised electric heating, a flat-rate contribution of CHF 15,000 for the heat distribution system is added, up to 250 m2 of energy reference area.
What does the 20 percent rule in the Canton of Zug say?
When replacing the heat generator, existing buildings must cover at least 20 percent of the heat demand with renewable energy or increase energy efficiency to that extent. The rule has applied since 1 February 2024. A heat pump meets it without additional proof. Minergie buildings and buildings with GEAK class C or better are exempt.
Do I have to notify the municipality of a heating replacement?
Yes. Regardless of the type of heating, a building notification with complete energy certification must be submitted to the municipality before replacing the heat generator. This notification is a separate step alongside the incentive application and does not replace it.
Is the replacement of an old heat pump subsidised?
No. Only the replacement of an oil, natural gas or electric heating system in an existing building is subsidised. Replacing a heat pump with a heat pump is excluded, as are new buildings, and the heating to be replaced must usually have been in operation for at least five years.
Why is my incentive lower than expected?
Because output is capped for the assessment: the maximum is 50 watts of thermal rated output per square metre of energy reference area. With 200 m2, that's 10 kW, even if the installed unit is larger. In addition, the contribution may not exceed 50 percent of the total investment.
When do I have to submit the incentive application?
Before installation starts. Anyone who orders first and applies afterwards has no entitlement. Anyone who starts after submitting the application but before the incentive is approved bears the risk themselves. The processing body is Effienergie AG; the settlement documents must be submitted no later than two years after approval.
Air-to-water or ground probe – which suits the Canton of Zug?
In most cases air-to-water: no drilling permit, no drilling site, lower investment. The ground probe is more efficient, can cool almost for free in summer and receives significantly higher incentives in Zug – but it needs space, a permit and a permissible area. The situation on site decides which option fits.

Guides on heating replacement

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