Expert Evaluation Network Synthesis report on renewable energy & energy efficiency in housing

1. Expert Evaluation NetworkSynthesis report on renewable energy & energy efficiency in housing Cvetina Yocheva Evaluation network, Brussels,20th October 2011

2. Objectives • Report synthesised findings of 27 national reports which examined: • National policies in place in Member States to support energy efficiency in housing • Contribution of ERDF to these • Rationale for government intervention in this area • Rationale for Cohesion policy support

3. National policies – renewables • National support focused mostly on electricity generation • Most common: feed-in tariffs, quotas (green certificates) • Support to renewable energy for heating • Direct grants (DE, IT, AT) • low interest loans (DE, EE, PL, LT, SL) • tax concessions (ES, LV, NL, PT, SK, FI, SE, BE, UK) • Supporting R&D of new technology (SE, DE, UK) • Support varies across countries and types and renewable energies

4. National policies – energy efficiency • All countries support investment in energy efficiency in buildings. Support varies: • Grants • Subsidised loans • Tax concessions • Support often coupled with: • Incentives to switch to renewable energies for heating & cooling • Standards/regulations for new buildings • Certificate for energy consumption when buying/selling • Regulations vary in strictness/extent

5. ERDF & CF support to renewables • 2% of total funding for 2007-2013 (4,6 billion) allocated to energy efficiency + renewables • Wind (EE) • Solar thermal (BE, CY, ES, BG, SL, MT) • Bio-mass (LT, AT, FI) • Hydroelectric/geothermal (GR, LV, SK) • Small amount of EU funding allocated to renewables • (Much of the support to renewable energy is not categorised as such • DK, FI, AT, SL – R&D, innovation, entrepreneurship

6. ERDF & CF energy efficiency in housing • Originally excluded from eligible area of interventions in the initial regulation 2007-2013 • Eligible for support since June 2009 in all MS • But very small financial allocations (EU average 2%) • Mostly supported by national funding • Little or no funding allocated to energy efficiency in housing • No funding allocated in DE, AT, SL, DK, CY • Mostly focus on public buildings & social housing

7. Is public intervention justified? • Yes but only in some cases • evening up living conditions across regions • stimulating local employment • reducing EU energy use – (fossil fuel consumption) • Strong case if support is focused on social housing, low income households and deprived areas • EU funding particularly important in EU12 + southern Member States of EU15 • But need to ensure funding used in cost-effective way targeted where support is most needed

8. Is public intervention justified? • Open questions still remain • The scale of the support • The form of the support • Who should bear the costs • Contribution to regional development • Programme documents rarely address these questions

9. Conclusions • There is a clear role for the Structural Funds to support measures to assist and stimulate investment in energy efficiency in housing (and buildings generally) • But it is not only a question of financial support • The aim should be to provide sufficient incentives for investment in energy efficiency (grants/preferential loans) • Effective regulation and certification schemes (these cost money to establish and enforce) – possible case for EU funding to provide support • Support should be larger for deprived areas/low income owners

10. Thank you for your attention! Reports available on Inforegio http://ec.europa.eu/regional_policy/information/evaluations/index_en.cfm#1