Tackling Energy Waste in Buildings Necessary, but with what societal objectives in mind? Dublin 6th March 2017 Adrian Joyce Secretary General

The European Alliance of Companies for Energy Efficiency in Buildings EuroACE The European Alliance of Companies for Energy Efficiency in Buildings More than 280,000 More than 900 Photos sourced from Norwegian Turkish Chamber of Commerce and SPS Commerce

Why Do We Exist? To Advocate for ambitious EU policies for EE in buildings To Give a Voice to progressive industry and boost the market for energy efficient buildings To Deliver Benefits to society at large, public authorities and citizens

EU Buildings Sector (1) Scale of the Challenge 210 million buildings; Area of occupied space equivalent to size of Belgium; 90% still used in 2050 Impact on Energy Use 40% of EU primary energy use 36% of Energy-related CO2 emissions Technologies Exist Today Reduction of 80% in energy use is possible with current technologies and processes

EU Buildings Sector (2) Structure of the Sector 3 million enterprises – mainly micro-enterprises 18 million workers – mainly older, male workers Impact on EU GDP Represents about 9% EU GDP Varies depending on the country Renovation Market Rate too slow Ambition too low

36 Partners including National partners from 14 Member States Renovate Europe Campaign 36 Partners including National partners from 14 Member States

Renovate Europe Campaign Our Ambition: Ensure that all Renovations are Deep (or Staged Deep) Energy Renovations to Avoid “lock-in” Raise the Energy Renovation Rate of the Existing Building Stock to 3% Per Year by 2020 and Maintain that Rate to 2050 Reduce the Energy Demand of the Existing Building Stock by 80% by 2050 Compared to 2005 Levels

EU Regulatory Framework Energy Performance Directive Adopted 2010; New build; nZEB; Certificates; Proposed revisions due 30th November 2016 Energy Efficiency Directive Adopted 2012; Transposition to national level slow; Renovation of buildings: Articles 4 and 5; Energy Union Framework All five dimensions relevant to Energy Efficiency Internal market; Energy security; Energy Efficiency; Decarbonisation of energy; Research and Innovation

Benefits of Energy Renovation for the EU New Direct Local Jobs: 2 million Local, permanent, quality jobs in construction; Leading to over 6 million total new jobs Public Finances: €39bn per year Boost to Public Finances in 2020 Rising to €78bn in 2030 Growth in GDP Estimate at +0.7% per year to 2020 Reminder: Construction Sector = 9% EU GDP

Benefits of Energy Renovation for the EU Better Health and Productivity Improved indoor air quality and daylight; Increased health and sense of well-being; Boosts productivity Eliminate Fuel Poverty Renovation is the sustainable answer; Requires targeted action; Cuts energy bills Increased Property Value* Average increase = 4% across the EU for sales; Average increase = 2% for rentals *For a one-letter improvement on an Energy Performance Certificate

Energy Poverty in the EU Not Defined Leaky, poor quality buildings; High energy bills; Low-income households Not Just Northern Europe Estimates 54 million affected; Bulgaria, Greece, Cyprus and Portugal; Increased seasonal deaths The Sustainable Solution Energy renovation of the building stock; Prioritisation in EU policy instruments; Financing approaches

Ownership (motivation) Various Segments Private Residential – Owned and rented Public Residential – Rented Public Sector Commercial (tertiary) Sector Flow of Benefits Individual vs Societal Stick, Carrot and Megaphone All tools need to be employed

Key Actions Set Long-Term Vision for Buildings In national renovation strategies; In Covenant of Mayors commitments; In financial planning; Prioritise fuel poverty Share Best Cases More UK report for Consumer Focus 2014; Lithuanian government programme; Hungarian social model Front-Runner Segment Bring costs down; Increase skills and knowledge; Speed progress along learning curve

Thank You for Your Attention! EuroACE Rond Point Schuman, 6 8th Floor 1040 Brussels Tel: +32 2 639 10 10 Email: adrian.joyce@euroace.org www.euroace.org