How to apply to the European Funds for Condominiums?

By Raúl Ferrão

It is on December 28, 2023, that the deadline for applications to the Residential Condominium Support Program ends, but don't worry because you still have time to submit yours! 

Residential Condominium Support Program subsidizes non-repayable works up to a maximum of €150,000.00 per person, so it's worth paying attention to this topic!

Eligibility: Who is this Support Program for?

Before we delve into the details of the application process, it's important to first understand if it's applicable.

According to information provided by the Environmental Fund itself, Residential Condominium Support Program is only intended for multifamily residential buildings. If you own a standalone house, you'll need to participate in another program and wait for the next phase of the More Sustainable Buildings Support Program.

If you own an apartment in a building primarily for housing or have a house in a housing complex, then this program is for you – or rather, for all owners in your condominium!

Before Proceeding: Don't forget to pre-register on the Portugal 2020 Single Desk, it's necessary.

Types of work that are supported

The Residential Condominium Support Program is one of the many programs under the famous Recovery and Resilience Plan (PRR) and falls under the category "C13. Energy Efficiency in Buildings." Therefore, it's not surprising that the only works covered by it are those aimed at improving the thermal performance of buildings, specifically:

• Thermal insulation in roofs;
• Thermal insulation in exterior walls;
• Thermal insulation in floors.

No other type of work will be subsidized by this program. Commonly used materials that may be eligible for reimbursement include extruded polystyrene (XPS) and rock wool.

With some extra effort, you may find a material that meets the requirements for the Environmental Fund to consider it an eco-material, potentially leading to higher reimbursement. I say potentially because there are absolute limits to support, which we should now explore.

What are the Limits to the support?

Firstly, VAT is not included, so only costs listed on invoices without VAT can be considered for reimbursement.

Secondly, the maximum reimbursement rate will be 80% of the expenses submitted, decreasing to 70% if the materials used do not fall into the aforementioned eco-materials category.

Thirdly, for each type of work, there is a maximum limit per unit, as follows:

• €4,000.00 for roof insulation;
• €4,750.00 for exterior wall insulation;
• €4,000.00 for floor insulation.

Lastly, there is the limit mentioned in the first paragraph: €150,000.00 per owner.

What are the eligible Expenses?

Not all expenses are eligible for reimbursement by the Environmental Fund. In reality, only the following two types are eligible:

1. Expenses with the contractor, specifically for the execution of works related to the application or replacement of thermal insulation in roofs, exterior walls, or floors, not previously reimbursed by any other national or community support program, even from the Environmental Fund itself;
2. Costs incurred in hiring a qualified expert for technical support (up to €400.00) or costs related to half of the energy certificates (only initial ones and up to €125.00), excluding the ADENE fee.

Mandatory documents for the application

I won't list the documents to be submitted here – for that, I recommend direct reading of the 1st republication of the Opening Notice for Competition AAC No. 04/C-13-i01/2023, from page 8 to page 11. However, be aware that the Environmental Fund may alter this document at any time. They did so in August and September during the submission of applications for the individual support program, so they may do so again.

It's always advisable to check for changes even after submitting the application.

Instead of rewriting the list of documents here, I think it's more useful to visit the application submission form itself to understand what the Environmental Fund will actually require.

The first tab we'll see is related to the identification of the applicant. It is indicated that only a condominium administration (or condominium management company) can submit for horizontally owned buildings, or an individual in the case of wholly owned buildings, provided they have divisions suitable for independent use.

In the next tab, labeled "Beneficiary," you'll provide the condominium's name, an email address, phone number, and the NIF (Tax Identification Number) of the condominium (or the individual in the case of wholly owned properties).

Additionally, the IBAN and proof of the condominium's current account IBAN are required, along with the account number and proof of the savings account. In this same tab, and no less important, you should submit written proof of the owners decision approving the construction, the identification of the contractor, and the contract value. In the case of wholly owned properties where there is no condominium and thus no written books, this field can be satisfied with the construction contract or proof of award.

We move on to the "Residential Condominium" tab. Here, you are asked for the complete address of the building and whether it is horizontally or wholly owned, exclusively residential or mixed use (in the case of being mixed use, the gross construction area of the residential part should be more than 51% of the total gross area of the building).

Also, the housing permit is to be submitted here, and it should be from before 2007 or, if before 1951, proof of exemption from the housing permit issued by the relevant Municipality. In this tab, various information regarding the constitution of the building itself is requested: whether it has a gas network, whether it already has thermal insulation, etc.

It's in the "Intervention" tab that you describe the works for which you are applying: roof, walls, or floors. You can select all, two, or just one, apparently in the same application. This tab is also where you identify the contractor, who must be registered in Casa Eficiente or Casa Mais Portal.

Moreover, the contractor must be registered with IMPIC. This tab is also where you enter the contractor's budget and the expected duration of the work. The Technical Declaration from the qualified expert or, alternatively, the energy certificates from the situation before the intervention, are also entered here.

Additionally, proof of the candidate's financial capacity is requested, along with two commitment statements whose templates can be obtained directly from the platform and another following the Annex II of the Notice. Finally, a file (it can only be a .rar or .zip file, for example) of the photographic record before the intervention is submitted. This record can be produced by anyone.

Reaching this stage, the completion of this first phase of the application is near, with only the "Financial Expenses" tab remaining, where you enter the amounts to be spent on energy performance certification, technical support, and the actual contractor intervention. All values are without VAT.

What to do after completing all the steps?

With these steps completed, all that's left is to submit the application and wait for approval.

The total amount to be distributed among all approved applications is €12 million, and the criterion for allocation is the order of submission of applications, so there's no time to lose!

Need some help with your application?