Notification

Five business days before the start of the supported activities, the beneficiary is required to send KredEx a free-form notice that he or she wishes to commence the supported activities. The notification has to be sent to the e-mail address toetused@kredex.ee.
KredEx will check the databases related to the applicant and the property for which the grant is requested, making sure that there are no restrictions on awarding the grant according to the guideline (payment defaults, prohibition of transfer of the dwelling for which the grant is requested, enforcement proceedings, natural person’s bankruptcy, etc.). If such restrictions are not applicable, KredEx’ grant manager will send a confirmation to the beneficiary by e-mail.

Building permit and building notice
The beneficiary has to ascertain whether a building permit or submission of a building notice is mandatory for the supported works (these requirements can be consulted in Annex 1 to the effective Building Code, available on the Internet at
https://www.riigiteataja.ee/aktilisa/1151/2201/6003/Lisa_1.pdf). We recommend that the beneficiary also contact the local authority and/or submit the building notice on the website of the State Register of Construction Works (www.ehr.ee), indicating all the works to be supported.
Works that require a building notice or a building permit are all these works that significantly alter the properties of the building. For example: construction of the second floor, insulation of the facade, replacement of the roof covering and/or insulation of the roofing, or construction of an extension, superstructure or basement, as well as modification, installation or replacement of utility systems.
If the requirement of a building permit or building notice does not apply to the supported works, a free-form confirmation to this end from the local authority to the beneficiary by e-mail will be sufficient.
Simple works do not require approval from the local authority. For example: interior decoration of the dwelling, replacement of windows and doors, renovation of the bathroom, or replacement of electrical wires, plugs, switches, etc.

A solid fuel-fired stove, fireplace or other heating appliance that uses solid fuel, as well as a chimney and flue vent connector may be built by a competent person holding a stove-maker’s certificate. After completing the works, the beneficiary has to submit the stove passport to KredEx together with the payment documents.

Budgeted works
The beneficiary may use the grant only for the works indicated in the budget of construction works submitted when applying for the grant. If there is a need to alter the budget, the beneficiary has to submit to KredEx a digitally signed or paper-based application for the alteration of budgeted works (the application form is available here). KredEx will decide on the approval of the alteration and send a confirmation to the beneficiary’s e-mail address.

The beneficiary is not bound by the price quotes submitted together with the application. It is allowed to use sellers of building materials or contractors (companies, sole proprietors, private individuals) all over Estonia, search for more favourable prices, make use of campaign offers, etc. The beneficiary may also carry out the works that were initially intended to be contracted themselves (and use the grant to purchase building materials) and vice versa, notifying KredEx in advance by e-mail.

Eligible costs

The following costs can be covered by the grant: rent of tools, disposable tools (brushes, paint strips, sandpaper, working gloves, etc.), sanitary ware (baths, shower stalls, toilet bowls, faucets, hot water heaters, etc.), purchase of luminaires as part of the renovation of the electrical system, removal of construction waste, transport of building materials (the transport costs will be reimbursed if the transport service is provided by the seller of the materials and the transport service charge is indicated on the invoice for the materials).

Ineligible costs

The following costs cannot be covered by the grant: reusable tools (battery-powered drills, saws, mixing machines, hammers, screwdrivers, etc.), luxury and excessive costs such as a jacuzzi or barrel sauna, household appliances (cookers, hoods, electric radiators, fans, electric towel rails, etc.), furniture and elements of furniture (for example, a sink cupboard, bathroom furniture, mirrors, sliding doors, wooden panels to build furniture, door hinges, knobs, wardrobes, etc.), furnishings (curtain rods, blinds, carpets, etc.), Internet, telephone and TV cables, plugs and the like.

Performance of supported works

The beneficiary may perform the work themselves and use the grant to purchase building materials, or contract the work to a company, sole proprietor or private individual. Please note that, in the case of a contractor who is a private individual, the beneficiary, i.e. the employer, must register the contractor with the Tax and Customs Board’s employment register and fill in the tax return. More information can be found here or on the website of the Tax and Customs Board.

I. The works are performed by a company, sole proprietor or private individual – payment of invoices for services

1) The beneficiary chooses a suitable contractor – a construction company, a sole proprietor or a private individual – to perform the works. The works may not be performed by the beneficiary’s company or by a company in which the beneficiary holds a majority of votes.
2) The beneficiary enters into a contract with the contractor, annexing the contractor’s price quote to the contract.
3) The contractor may request a prepayment of 30% of the total value of the contract to buy the building materials necessary for the commencement of works, issuing a prepayment invoice. KredEx will not pay in advance for construction works.
4) Upon completion of the works, the contractor will deliver the works to the beneficiary, draw up a statement of delivery and acceptance of the works and issue the final invoice.
5) All contract-related documents (contract, invoices, statements, etc.) have to be executed in the name of the beneficiary (in the name of one of the parents). The contract for services and the statement of delivery and acceptance have to be signed bilaterally either digitally or on paper (always 2 copies for paper documents).

To have the invoice(s) paid, the beneficiary will provide KredEx with the following:
1) the building permit or building notice, a reference to the existing document in the State Register of Construction Works, or the confirmation of the local authority that neither a building permit nor a building notice is required for the works in question;
2) the payment request (the form is available
here);
3) the contract for services and the price quote;
4) the statement of delivery and acceptance of works;
5) the prepayment invoice and/or the final invoice;

The payment request has to be signed by one of the parents either digitally or in handwriting.
A payment request has to be submitted to KredEx together with the relevant invoice(s) to be paid.

Disbursement of the grant
KredEx will pay the sum of an invoice to the account of the company that is performing or has performed the works and inform the beneficiary of the payment date by e-mail or telephone.

The minimum amount of a disbursement is 650 EUR, which can include several invoices for services or building materials.


II. The works are performed by the beneficiary – payment of invoices for building materials

1) The beneficiary will choose a seller of building materials that complies with the requirements of the Commercial Code (the seller has to be entered in the Commercial Register). The seller of the building materials may not by the beneficiary’s company or a company in which the beneficiary holds a majority of votes.
2) The beneficiary will order the necessary building materials from the seller of the building materials, and the seller will issue the invoice(s) (the sales order, prepayment invoice, and confirmation of the order must also be indicated. A price quote will not suffice!). The invoice(s) have to be made out in the name of the beneficiary.

To have the invoice(s) paid, the beneficiary will provide KredEx with the following:
1) the payment request (the form is available
here);
2) the invoice(s);

The payment request has to be signed by one of the parents either digitally or in handwriting.
A payment request has to be submitted to KredEx together with the relevant invoice(s) to be paid.

Disbursement of the grant
KredEx will pay the sum of an invoice to the account of the seller of building materials and inform the beneficiary of the payment date by e-mail or telephone.

Upon receipt of the building materials for which KredEx has paid, the beneficiary will have to receive the final invoice or delivery note from the seller of the building materials indicating the list of goods issued. The list must correspond to the list of goods stated in the prepayment invoice. This document must be submitted to KredEx together with the next payment request or with the final report on the use of the grant.

The minimum amount of a disbursement is 650 EUR, which can include several invoices for services or building materials.

II. The works are performed by the beneficiary – payment of purchase receipts/invoices

The beneficiary may buy building materials for their own resources, paying for the purchases with a personal debit or credit card or by bank transfer. Purchase receipts/invoices must be made out in the name of the beneficiary. Anonymous purchase receipts and cash receipts will not be reimbursed.

To have the purchase receipts/invoice(s) paid, the beneficiary will provide KredEx with the following:
1) the payment request (the form is available
here);
2) proper copies of purchase receipts/invoices, in A4 format if possible.

The payment request has to be signed by one of the parents either digitally or in handwriting.
A payment request has to be submitted to KredEx together with the relevant receipts/invoice(s) to be paid.

Disbursement of the grant
KredEx will pay the sum indicated on a receipt/invoice to the account of the beneficiary stated in the payment request and inform the beneficiary of the payment date by e-mail or telephone.
The minimum amount of a disbursement is 650 EUR, which can include several invoices for services or building materials.

Submission of interim and final reports

The beneficiary undertakes to submit reports on the use of the grant to KredEx (the form is available here).
An interim report will be submitted to KredEx when 50% of the awarded grant has been used for payments or half of the term for completion of the works has passed.
The final report will be submitted to KredEx within 30 days of completion of all supported works, together with (digital) photos of the works performed.
The reports will be submitted to KredEx in digitally signed form or on paper with an original handwritten signature.