EPC implementation: status quo analysis Deliverable 2.1: Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market Susanne Geissler (SERA) Savvas Vlachos (CEA) Horia Petran (NIRD URBAN-INCERC) August 2016 This project has received funding from the European Union’s Horizon 2020 programme under Grant Agreement No 695873

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

2

©ENERFUND

Table of Content Introduction to the report ....................................................................................... 6 Summary of results ................................................................................................ 7 I.

II.

Current status of EPC in the targeted countries ................................................ 12 I.1.

AUSTRIA............................................................................................ 12

I.2.

BULGARIA ......................................................................................... 17

I.3.

Cyprus ............................................................................................... 19

I.4.

DENMARK ......................................................................................... 24

I.5.

FRANCE ............................................................................................ 26

I.6.

GREECE ............................................................................................ 31

I.7.

IRELAND............................................................................................ 36

I.8.

ROMANIA .......................................................................................... 39

I.9.

SLOVAKIA ......................................................................................... 47

I.10.

SLOVENIA ......................................................................................... 50

I.11.

SPAIN ................................................................................................ 55

I.12.

UNITED KINGDOM ............................................................................. 63

Collection of relevant past Initiatives in EU ....................................................... 69 II.1

Energy Performance Integration in Corporate Public Real Estate Management (EPI-CREM) .................................................................... 69

II.2

Drivers for change: strengthening the role of valuation professionals in market transition (RenoValue) .......................................................... 70

II.3

ESI Economic Sustainability Indicator for real estate valuation................. 72

II.4

Property valuation, linking energy efficiency of buildings and property valuation practice (IMMOVALUE) ......................................................... 73

II.5

Increasing Transparency of Energy Services Markets (Transparense) ...... 75

II.6

Energy Performance Contracting Plus (EPC-Plus) .................................. 77

II.7

Regional building energy technology database and building services declaration as part of EPC (GET-database) ........................................... 79

II.8

KlimaaktivBauen und Sanieren ............................................................. 80

II.9

Support for setting up an observatory of the building stock and related key policies ............................................................................. 82

II.10

Renovation through quality supply chains and energy performance certification standards (REQUEST) ....................................................... 83

II.11

ELIHMED – Energy Efficiency in Low Income Households in Mediterranean .................................................................................... 84

II.12

“Save - Upgrade” ................................................................................ 86

II.13

Surpassing Energy Targets through Efficient Public Buildings SERPENTE ......................................................................................... 87

II.14

Climate-KIC Accelerator ...................................................................... 88

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

3

©ENERFUND

II.15

Social Electricity Online Platform (SEOP) .............................................. 89

II.16

Smart finance for smart buildings initiative ............................................ 91

II.17

EPBD CONCERTED ACTIONS I-IV ....................................................... 92

II.18

TEENERGY – High Energy Efficiency Schools in Mediterranean Area ....... 93

II.19

Danish Knowledge centre for energy saving in buildings ......................... 96

II.20

ProjectZero ........................................................................................ 97

II.21

Certification NF HQETMBatimentstertiaries – neuf ou rénovation ............. 98

II.22

TRUST ECP SOUTH ............................................................................ 99

II.23

neZEH – Nearly Zero Energy Hotels ..................................................... 100

II.24

“Exoikonomisi kat’ Oikon” program - Energy Efficiency at Household Buildings ........................................................................................... 102

II.25

Saving energy by the organizations of local authorities (EΧOIKONOMΟ) program ................................................................... 104

II.26

DATAMINE Intelligent Energy Europe Grant Agreement N° EIE/05/097 .... 105

II.27

TABULA Intelligent Energy Europe Grant Agreement N° IEE/08/495/SI2.528393 ...................................................................... 107

II.28

EPISCOPE Intelligent Energy Europe Grant Agreement N° IEE/12/695/SI2.644739 ...................................................................... 108

II.29

Price Effect of Building Energy Ratings in the Dublin Residential Market .............................................................................................. 111

II.30

Refurbishment of the Public Building Stock Towards nZEB ..................... 112

II.31

National programmes for every renovation of block-of-flats using state and local funding ....................................................................... 114

II.32

Governmental Program for thermal insulation ....................................... 117

II.33

Promotion of energy efficiency and use of renewable energy sources in households and public sector .......................................................... 118

II.34

Energy Performance Certificates Across the EU – Mapping the National Approaches .......................................................................... 120

II.35

Energy Performance Certificate & Low Carbon Consultant Design Training by CIBSE – United Kingdom ................................................... 122

II.36

2016- Implementing the EPBD – Featuring Country Reports ................... 123

II.37

RENEW SCHOOL............................................................................... 126

II.38

ZEMedS (Zero Energy MEDiterranean Schools) project ......................... 128

II.39

Low Energy Apartment Futures (LEAF) project ..................................... 131

II.40

ACCENT ........................................................................................... 132

II.41

COHERENO ...................................................................................... 134

II.42

Introduction of EPC A programme to deliver energy certificates for display in public buildings across Europe within a harmonising framework (EPLABEL) ........................................................................ 136

II.43

Applying the EPBD to improve the Energy Performance Requirements to EXISTing buildings (ENPER EXIST) .................................................. 137

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

4

©ENERFUND

II.44

Countdown to Low Carbon Home ........................................................ 139

II.45

Green Deal Assessment Mystery Shopper Research ............................. 140

II.46

Green Deal Assessment Mystery Shopper Research ............................. 142

III. EPC implementation on the real estate market ............................................... 144 III.1

Introduction to the questionnaire ......................................................... 144

III.2

Results of questionnaire by topic and conclusions for ENERFUND concept development ......................................................................... 145

III.3

Results of desk research .................................................................... 158

Characterization of the real estate market .................................................... 158 Market segments and expectations of market actors ...................................... 160 Property valuation and building energy performance ...................................... 163 Financing and energy efficiency measures in buildings ................................... 165 Definition of deep renovation: single measures allowed or not ......................... 170 Relevant general studies and comparative surveys ........................................ 171 Relevant other projects ............................................................................... 172 Identification of deficiencies in the system .................................................... 174 Gaps in the data available – input for interviews ............................................ 175 Conclusions for ENERFUND concept development ........................................ 178 Literature and sources ................................................................................ 183 Annex 1: Relevant general studies – comparative surveys .............................. 186 Annex 2: Relevant projects, recently completed or ongoing ............................ 195 Annex 3: T2.2 Questionnaires received from partners ..................................... 202

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

5

©ENERFUND

Introduction to the report This report documents the work done in Task 2.1 Analysis of Energy Performance Certificates (EPC) systems in EU and Task 2.2 Analysis of the EPC implementation on the Real Estate Market. The aim of the performed analysis is to document the conditions needed to facilitate the financing for deep renovation of buildings, by collecting all relevant data from existing initiatives and other sources needed for the development of the ENERFUND tool/marketplace for deep renovation and by analysing the current situation with regard to EPC implementation on real estate market. The report is structured in three parts, as follows: I. Current status of EPC in the targeted countries II. Collection of relevant past Initiatives in EU III. EPC implementation on the real estate market In the first part, the curent status of Energy Performance of Buildings Certificates in EU member states represented in the Enerfund consortium is documented. More specifically the countries are Austria (AT), Bulgaria (BG), Cyprus (CY), Denmark (DK), France (FR), Greece (GR), Ireland (IE), Romania (RO), Slovakia (SK), Slovenia (SI), Spain (ES) and United Kingdom (UK). Furthermore, the report aims to identify and report past initiatives related with Energy Performance Certificates in the above listed EU countries. Thus, the second part deals with the collecting, documenting, and analysing all relevant activities of past initiatives that have already addressed the current status of EPC in the various Member States, encountered problems, public opinion etc. The third part focusses on the EPC implementation on the rela estate market, specifically addressing the situation in the above mentioned countries. For the purposes of these analyses, three different questionaires were developed and answered by the ENERFUND partners, and their outcomes are presented in this report in detail. In the past, a lot of work has been done on this topic, and it was certainly the objective to avoid duplication. This is why past initiatives were collected, documented and analysed. Questionnaires on current status of EPC and EPC implementation on the real estate market focused on receiving confirmation of results known from the material published in the last completed Concerted Action EPBD or receiving new information about latest developments taking place in the ENERFUND partner countries, as material from the last completed Concerted Action EPBD 1 dates from 2011-2015. Results presented in this report provide the basis for developing the ENERFUND-Tool. It will be used to decide which information from the EPC should be presented in what form in ENERFUND, and what type of information will be necessary to complement EPC information, in order to facilitate decision making about investments in deep renovation.

1

http://www.epbd-ca.eu/ca-outcomes/2011-2015

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

6

©ENERFUND

Summary of results This chapter presents a short overview of results from the surveys done in Task 2.1 and Task 2.2. Detailed information is available in the respective parts of this report. Current status of Energy Performace Certificates For the majority of countries, the Energy Performance Certificate (EPC) for buildings was introduced in 2006 and 2007. In Denmark, the EPC scheme was introduced much earlier, in 1997 but it was not obligatory until 2011. The latest introduction was in Greece in 2011. In all countries, the EPC was intoduced for both residential and non residential buildings. The definition of the Nearly Zero Energy Building (NZEB) was not introduced to all the countries yet, but for the majority (10 out of 12) the minimum requirements for the NZEB have been already specified and regulated. Even if the implementation and regulation of Energy Performance Certificates considered as succesfull in many EU countries by taking into account the improvements realised the last years, in some others there are some important issues addressed. The most important weak points identified are: • • • • • • • • • • • • • •

Variety of EPC versions, Poor quality of EPC, The EPC calculations are not relevant with the actual situation of the building, Compliance of renting and selling buildings (existing), Failure to successfully control the compliance of the EPC with the actual building during the construction, Public buildings failed to be the good examples, General public is not aware about EPC, Need of resources to issue an EPC, Transparency of EPC, Methodologies and different software used, Skills of the qualified experts, Missing of important information from the EPC, Few buildings have EPC compared with the total existing building stock, Poor supervision by the competent authorities.

EPC database and statistics In all countries there is a relevant registry for the EPC’s issued which is kept by the competent organisations/authorities. However, the database is not available to public in many countries and it will be necessary to request an authorization access for the purposes of ENERFUND project. Where the EPC database as well the EPC statistics are not publicly available, this is considered a weakness regarding the efforts to increase awareness and transparency on EPC.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

7

©ENERFUND

Experts The qualifications and the requirements for the experts in order to be licensed for issuing EPCs vary from country to country. In some countries the experts are entitled by specific professional licence, in some others it is obligatory to attend trainings and pass exams but also to prove experience, or there is a combination of the above. Those differences have an impact on the quality of EPCs issued in different countries as the qualification skills are not the same. In general, the number of the “qualified experts” as required by the EPBD seems to be sufficient to respond to the markets’ demand and provides a sufficient geographical coverage. However, referring to the above addressed difference in qualification requirements, “qualified expert” is a misleading term as quality is not assured throughout Europe. Other experts involved with EPC and the Energy Efficiency of buildings are the Energy Auditors, the Energy Consultants, the Energy Managers, Energy Services Companies (ESCOs), HVAC inspectors, construction companies and engineers in general. Public perception The general public does not sufficiently understand the EPC and its importance, and therefore the interest is poor. The information given by the EPC like primary energy consumption, CO 2 emissions, and share of RES etc. is neither easy to understand for the majority of the general public nor do people ask for this information. The only information which is considered as understandable is the Energy Class (A, B, C etc.). Currently, the general usefulness of EPCs is limited to the added value the building may have in its renting or selling potential. Furthermore, with regard to the energy efficiency recommendations accompanying the EPC, in many countries there are generic recommendations based on specific templates with no detail assessment and costing. As a result, a building owner or a tenant cannot rely on EPC recommendations and will probably need an energy audit and professional advice to proceed with planning and implementing specific energy efficiency measures. Past initiatives In total 46 past initiatives from 12 EU countries were collected and analysed. The majority of them, 27 out of 46 are European funded projects and 8 of them National funded projects. The graph below shows the number of past initiatives listed per country and per type of the initiative.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

8

©ENERFUND

Number of initiatives recorded

10 9 8 7 6 5 4 3 2 1 0 AT

BG

CY

DK

FR

GR

IE

RO

SK

European funded project

National grant schemes

National funded project

Other initiative

SI

ES

UK

Figure 1. Number and type of past initiatives analysed in the report

Figure 2 provides an overview of the categorisation of the recorded initiatives based on the subject of the initiative. Energy refurbishment as a subject amounts eleven (11) initiatives, establishment of strategies nine (9), market assessment seven (7), energy certification/monitoring/analysis six (6), valuation five (5) and guides for energy efficiency projects five (5).

Number of initiatives recorded

12 10 8 6 4 2 0

Certification, Energy monitoring and Refurbishment analysis

Valuations

Market assesment

Establishment of strategies

Guide for energy efficiency projects

Energy renovation skills

Figure 2. Number of past initiatives and subject categorization

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

9

©ENERFUND

EPC Implementation on the real estate market The following main deficiencies with respect to making use of EPCs in ENERFUND are identified: • • • •

EPCs as such are not comparable, and publicly available EPC indicators are not comparable, Access to EPC input data would be necessary but is not always possible, Close to reality EPCs would be needed but are not always available, Reliable data would be needed but quality assurance procedures are not equally effective throughout Europe.

The answers to the questionnaire demonstrate that the situation is extremely heterogeneous in the participating countries. Therefore, there are basically two options for developing the ENERFUND concept, and the combination of both: • •

to find the least common denominator to cover many Member States equally; to follow the approach of demonstrating selected functionalities in selected countries where conditions are specifically well suited, and thus demonstrate procedures and benefits to others.

Concept development should explicitly respond to the existing doubts and concerns regarding EPCs and consider to provide additional information about the EPCs used as a data source to allow for a rough assessment of reliability of information: • • • •

Information whether the EPC represents the as-built situation (including design and execution changes) Information whether the EPC is based on specific input data and includes specific recommendations Information about the regional/national EPC control and enforcement scheme in place Information about quality assurance procedures in place (targeting independent experts calculating and issuing EPCs)

The ENERFUND-Tool could provide various reporting options tailor-made for different stakeholder groups, for example: • • • • •

Technical building characterisation parameters; Visualisation of quality of indoor air/climate linked with energy performance Benchmarking based on the EPC (e.g. best in class approach); Presentation of typical business cases to convince building owners of the merit of investing in deep retrofit and of making use of ENERFUND; Linking the EPC information with other databases or information from other data sources, e.g. transaction prices, energy consumption data, inspection of heating and cooling systems.

Regarding finance, monitoring and verification of actual energy performance and energy savings is the key to success for unlocking investment in energy efficiency in buildings. Monitoring and verification of energy savings is usual practice in the ESCO field and is also presented as the key to success by the Investors Confidence Project. However, ICP protocols are based on standards and procedures common in the US (e.g. ASHRAE), but not necessarily applied in Europe. Duplication of procedures will increase transaction cost and thus exclude certain projects. Regarding financing institutions, specific focus should be put on ESG considerations, impact finance and social finance, and which role energy efficiency in buildings already

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

10

©ENERFUND

plays or could play in the future. It will be important to find out whether the EPC would be accepted as supporting document.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

11

©ENERFUND

I.

I.1.

Current status of EPC in the targeted countries

AUSTRIA

I.2.1. Introduction of EPC In Austria, the federal OIB Guideline 6 is the basis document for the EPBD implementation in the 9 regional building laws either directly or with amendments. It refers to residential and non-residential buildings, new buildings and existing buildings. Minimum requirement only apply to new buildings and major renovations. Simplified methods may be applied to existing buildings. The first version of OIB guideline 6 was issued 2007, updated in 2011 and updated again in 2015. Implementation in the regional building legislations takes place after the publication of OIB guideline 6, in some provinces with a delay more than a year. At this particular time (20th May 2016), 5 provinces completed the implementation of version 2015 in the legislation, The legislation of 4 provinces still refers to version 2011. This means that there are quite different versions of the EPC on the market. NZEB definition was introduced in March 2014, based on OIB guideline 6 version 2011. In fact, it changed with the publication of OIB guideline 6 version 2015, due to the adaptation of the calculation method.

I.2.2. Actual status of EPC implementation EPC legislation addressing new construction and major renovation is successful in a few provinces, especially where it is linked with the subsidy scheme awarding improved energy efficiency. Successful means: EPC represents the as-built situation, is subject to quality control, and is uploaded into a database. Weak points: (1) Different EPC versions on the market due to frequent changes of the regulation (OIB guideline 6 version 2007, version 2011, version 2015) (2) Regional amendments of OIB guideline 6 create more versions (3) Public buildings owned by the federal government have to comply with the legislation of the respective province (4) EPC experts are entitled by professional license, there is no obligation to attend a course or pass an exam to be allowed to calculate and issue an Energy Performance Certificate (5) System is prone to errors – low quality of EPCs; while there is a quality assurance system in place for new construction and major renovation, there is no quality assurance system in place for EPCs issued in the process of selling or renting a building or a building unit. (6) It is difficult to describe the actual building services system with the existing calculation method and software tools (7) Vicious circle: consumers wish true information about a building or building unit; but at the same time the EPC should be cheap. As a result, many EPCs are based on default values and simplifications, and the consequence is low market acceptance.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

12

©ENERFUND

I.2.3. Problems, barriers and potential solutions Many problems are created by the EPBD as such and are difficult to deal with. The range of interpretation gives space to concepts which are acceptable short-term solutions but hardly helpful in the long run. The weak points (6) and (7) described above are addressed by the province of Salzburg. They work on an EPC which is as close as possible to reality and develop the so-called “building services systems declaration” as part of the EPC. This declaration will be issued based on the data derived from a product database (components and systems): http://www.produktdatenbank-get.at/ Producers upload their information, and the authority does the quality control of uploaded information. Another database providing input data for EPC calculation is Baubook which is operated by a private company: http://www.baubook.info/?SW=6&lng=2

I.2.4. Availability and accessibility of EPC database Registries are databases: there is a direct upload of input data, interim results and final calculation results from the software tool via XML to the EPC database. The PDF can be stored, as well. At the moment, there is no public access. However, in the province of Salzburg partial access is under discussion and ENERFUND could be an opportunity to do a test case. Federal database according to the law: GWR-Gesetz (BGBl. I Nr. 9/2004 idFBGBl. I Nr. 1/2013), link to documentation of values, XML etc: http://www.statistik.at/web_de/services/adress_gwr_online/energieausweisdatenbank/d okumentation/index.html (only in German, managed by Statistics Austria). The database is not yet well populated because regional legislation is necessary to entitle EPC expert to upload EPCs and this is not yet available in all provinces. In 2015, it was decided that this database should host the building registry of the central government according to EED and thus also the EPCs of public buildings (if available, which is often not the case). Province databases (well populated): (*) Joint database of the regional governments of Salzburg, Styria, Carinthia: http://www.energieausweise.net/ (only in German; managed by the authority or an energy agency on behalf of the authority; only EPCs required by building legislation) (*) Database Energieausweis-Zentrale of Province of Vorarlberg https://www.eawz.at/ (only in German; managed by the regional energy agency; only EPCs required by building legislation) (*) Database WUKSEA of the region of Vienna, managed by the authority (only in German; municipal department 25 - renting and selling; municipal department 37 building law/new construction and major renovation): https://www.usp.gv.at/Portal.Node/usp/public/content/online_verfahren/wuksea/17123 6.html Company databases of large building owners: for example, http://www.big.at/ http://www.dirnbacher.at/

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

13

©ENERFUND

I.2.5. Buildings’ Energy Certification statistics Regional energy agencies do statistical analysis for their governments, but results are not publicly available on a regular basis. The most reliable public source of information about the Austrian building stock is most probably the TABULA project: http://webtool.building-typology.eu/#bm

I.2.6. Reliability of EPC information No, information provided in the EPC is not enough: the characterization of the building envelope is good (secondary minimum requirements: U-values, heating energy demand), but characterization of building services systems is insufficient. Due to frequent use of default input values, many EPCs are not close to reality, although they are compliant. Information provided in the EPC should be supplemented by information about actual energy consumption.

I.2.7. Energy efficiency recommendations Recommendations in the EPC are often generic. They do not substitute a detailed assessment needed for renovation planning and costing. They can just give an indication where the big potentials could be. If the EPC is based on default input values, the recommendations will not be specific and any financial information will not be reliable. The current Austrian EPC format does not show on the first two pages whether the EPC is calculated based on default input values or based on specific input values. This information is only available in the technical annex.

I.2.8. Qualified experts EPC experts are entitled by professional license, there is no obligation to attend a course or pass an exam to be allowed to calculate and issue an Energy Performance Certificate. Professional licenses are regulated by the trade law on federal level. There is no certification of experts and no official registry. There is no shortage of companies offering EPCs. Several websites list companies offering EPCs such as www.energieausweis.at which is operated by a private service provider. Other examples of websites operated by private service providers: http://www.berechner.at/index.php and http://www.energieausweis-aussteller.at Regional energy agencies run their own pools of EPC experts. They define preconditions the expert must meet to be incorporated into the pool of experts and they check the experts’ qualification. Example Province of Salzburg: https://www.salzburg.gv.at/themen/energie/energieberatung/page-ebs-ueber-uns

Usually, people will get into contact with these qualified experts mentioned above during new construction or major renovation, because they will ask the regional energy

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

14

©ENERFUND

agency for general advice on their construction project and will be directed towards qualified experts. However, people in need of an EPC for selling or renting a building or building unit do hardly come across this information by chance and might just look for the cheapest offer.

I.2.9. Other experts for buildings retrofitting Consultants:

Often, energy consultants involved in refurbishments are also experts issuing EPCs. Usually, energy auditors registered according to EED are involved in improving medium-sized to large buildings but no single-family homes. They register with the Austrian monitoring organisation who acts on behalf of the Federal Ministry of science, research, and economy, in three areas of expertise: buildings, transport, and industrial processes. Precondition is a specific professional license and, in addition, proof of specific competence and qualification. Evidence is, among others, specific educational degrees and attendance of specific courses. Number of experts is sufficient as well as the geographical coverage. http://www.monitoringstelle.at/index.php?id=685

(qualification

requirements,

only

in

German) Registry: http://www.monitoringstelle.at/index.php?id=708 (register of experts in buildings, only in

German) Executing companies (sometimes also acting as consultants, e.g. builder, installer; or in close cooperation with consultants):

In the province of Vorarlberg, the regional energy agency called Energieinstitut Vorarlberg runs a network of qualified renovation companies, called TraumhausAlthaus: http://www.energieinstitut.at/unternehmen/partnerbetriebe-traumhausalthaus/ueber-uns/ Participating companies are committed to meet defined quality standards and attend further education courses. The regional energy agency manages the network and operates a quality assurance scheme.

I.2.10. Public perception on EPC No, the general public does not have a good understanding, and is not very interested. Residential buildings: Decisions for energy renovations are triggered by financial incentives. EPCs must be presented as the evidence for better energy performance than required by the building law to receive the subsidy. Public federal schools: Lack of budget, available money is used for maintenance and to meet safety requirements. These schools are managed by company BIG on behalf of the responsible ministry (who pays the rent and rejects increase in rent). EPCs are available, but it is not clear which role they play in setting up or adapting the maintenance and repair plans. This could be a field for cooperation in ENERFUND, to collaborate with company BIG. They have their own EPC-database, to manage the

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

15

©ENERFUND

EPCs of the buildings they are in charge of, on behalf of the federal ministry. Installation of energy efficient ventilation systems with heat recovery as part of school renovation is necessary but budget is hardly available. Installation of energy efficient ventilation systems is still the exemption. Offices: Focus is on building services systems because heating energy demand is less important and insulation of outer walls pays off after 30 years only (usually and in average, there might be exemptions).

I.2.11. Available publications Information is available, but it is not very appealing and confusing. Information makes people think that energy indicators correspond with energy cost which is not necessarily the case if the EPC is calculated with default values. Furthermore, there is the comparison with the 100 km standard fuel consumption of cars which is problematic, even more since the VW cheating scandal. For example: Environmental counseling organization (NGO): http://www.umweltberatung.at/energieausweis-fuer-wohngebaeude-in-wien

Regional energy agency of province of Lower Austria: http://www.enu.at/energieausweis

Official help website of the federal government: https://www.help.gv.at/Portal.Node/hlpd/public/content/21/Seite.210400.html Consumers’ portal of the Federal Ministry of Labor, Social Affairs, and Consumer Protection: http://www.konsumentenfragen.at/konsumentenfragen/Mein_Alltag/Aktuelles/Energieeffizien z_als_Miet-_oder_Kaufkriterium

Energy supply company: https://www.salzburg-ag.at/energiesparen/energieberatung/energieausweis/

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

16

©ENERFUND

I.2. I.3.1.

BULGARIA Introduction of EPC

The legislation on EPC for residential and commercial buildings is regulated with Ordinance 7 on energy efficiency of buildings which came into force in 2004. EPC for new and existing buildings was introduced in Bulgaria with the new version of Ordinance 7 amending Ordinance 7 on energy efficiency from 2004. In that version of the ordinance was also introduced the definition of NZEB. It affects the old format of EPC from 2004 because a new class of energy consumption – „A+“was integrated to the new version of EPC. This class of energy consumption is one of the requirements for NZEB.

I.3.2.

Actual status of EPC implementation

The EPC legislation is successfully implemented in Bulgaria. It is precisely defined.

I.3.3.

Problems, barriers and potential solutions

There is only one problem regarding EPC in Bulgaria. The EPC database is not public available yet and it is not so well distributed to the wide public and real estate market. It is envisaged the EPC database to become public soon.

I.3.4.

Availability and accessibility of EPC database

Sustainable Energy Development Agency is keeping the database on EPC in Bulgaria. Unfortunately, it is not public available yet. EPC database is available to building owners/renters only for their owned/rented buildings. EPC database will be accessible for the purposes of Enerfund project.

I.3.5.

Buildings’ Energy Certification statistics

The total number EPC issued for all (existing and new buildings; private and public) for the period 2010-2015 is 3396. The total number of EPC related floor area is 15 371 km 2 . The theoretical (normalized) energy consumption (which value is shown in EPC in Bulgaria) of residential buildings for the period 2010-2015 is 0,1567ktoe.

I.3.6.

Reliability of EPC information

EPC contains all the information regarding the energy performance of the buildings. The information in EPC is reliable.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

17

©ENERFUND

I.3.7.

Energy efficiency recommendations

The recommendations include description of prescribed in the energy audit energy efficiency measures and their financial estimation. EE measures connected with building envelope are estimated in details including their financial aspects and the materials which must be used for implementation of the measures. This detailed evaluation of building envelope measures concerns construction work and renovation activities and it is not part of EPC.

I.3.8.

Qualified experts

The number of companies which can issue EPC in Bulgaria for all type of buildings is 306. There are special requirements for the companies to perform energy audits and issue EPC regulated in the Law on Energy Efficiency. SEDA maintains a list on registered companies which fulfill these requirements. One of these requirements is that each company must have at least three experts with diploma on electricity engineering, thermal engineering and civil engineering to issue EPC. The existing companies perform activities in the whole country. They manage to cover the whole country. The information for the above companies can be found in the register which is publicly available in SEDA website: www.seea.government.bg . The skills and competences which the qualified experts of these companies must possess are precisely regulated in the Law on Energy Efficiency.

I.3.9.

Other experts for buildings retrofitting

Energy consultants/energy auditors are involved for building energy refurbishments insofar as they perform energy audits, prescribed energy efficiency measures and issue EPC for buildings. The list contains registered company which can perform energy audits and it is above mentioned.

I.3.10.

Public perception on EPC

EPC contains detailed information on the energy consumption and energy performance of the building and its class of energy consumption. The energy report contains detailed information on the prescribed energy efficiency measures which can be implemented as part of renovation process.

I.3.11.

Available publications

There is no such publications in Bulgaria but there were some seminars and information campaigns to the wider public and stakeholders regarding EPC organized by SEDA.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

18

©ENERFUND

I.3.

Cyprus

I.3.1.

Introduction of EPC

The first minimum energy performance of buildings requirements in Cyprus were introduced with a ministerial order in December 2007. The national scheme for the Energy Performance Certification of new and existing buildings was introduced in 2009 and was take into force the 1/1/2010. The EPC is required to be issued when a new building is constructed, or when a building is being sold or rented out. It is also required for buildings with a useful floor area of over 500 m2 that is occupied by a public authority and is frequently visited by the public. The definition of NZEB for residential and non‐residential buildings in Cyprus is prescribed by the Requirements and the Technical Characteristics of the NZEB ministerial order of 2014 (K.D.P. 366/2014). For the NZEB it is required to reach energy class A (the best class), however, the EPC format did not affect for the moment.

I.3.2.

Actual status of EPC implementation

Since January 2010 when the EPC scheme was taken into force, the minimum energy performance requirements were revised three times to become stricter toward more energy efficient buildings. The first change to the EPC format was the introduction of energy class B+ in 2013.The second change was in the recommendation report which became more detailed, as it now has to cover both single targeted measures and combinations of measures. Up to 2015, approximately 26,000 EPCs have been issued, of which 3,000 are for existing buildings and 23,000 are for new buildings. The EPCs for residential buildings amounts the 90% and the EPCs for non‐residential buildings the 10%. In 2015, thanks to the new governmental scheme granting energy renovation of existing buildings, approximately 1100 existing buildings were issued EPC in order to have access to the grants. •

The weakest points of the EPC legislation implementation in Cyprus are:

•

The compliance of newly build constructions with the building parameters used for issuing the EPC.

•

Very few buildings under rental status were issued EPC

•

Very few public buildings were issued EPC

•

Real estate market does not fully complied with EPC advertising requirements when selling and renting buildings.

•

Tenants are not familiar with EPC and usually do not ask it from the Building Owner.

I.3.3.

Problems, barriers and potential solutions

Ongoing solutions and actions to address the main problems encountered for the establishment of EPC in Cyprus are: D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

19

©ENERFUND

•

The competent authority (MECIT – Ministry of Energy, Commerce, Industry and Tourism) has commenced a campaign to check compliance on how EPCs are displayed when renting and selling.

•

Meetings and seminars with stakeholders

•

Quality assurance on EPCs (desk audits, auditing the Qualified Experts (QEs), on site visits) by the competent authority (MECIT)

•

Awareness campaign for the public.

•

Progressive public procurement for Qualified Experts to issue EPCs for public buildings.

•

Individual commitments of local authorities under the Covenant of Mayors initiative for the energy upgrade and certification of municipal buildings.

•

The new governmental supporting scheme granting the energy renovation of existing buildings.

•

The role of the Cyprus Energy Agency as an information point for the public and important stakeholder for the promotion of the energy efficiency of buildings.

I.3.4.

Availability and accessibility of EPC database

EPCs are produced by QEs. The MECIT is responsible for maintaining the registry of QEs and EPCs. All EPCs have to be submitted via email by a QE, and within one working day they receive it back with a unique number that proves its validity. The MECIT is managing the national database of EPCs which is used for control, but they also extract statistics that are used to shape future policy‐making decisions. This database currently is not available to the public. However is under consideration to be accessible for the purposes of the ENERFUND project.

I.3.5.

Buildings’ Energy Certification statistics

The existing building stock of Cyprus amounts approximately 450,000 residential buildings from which 300,000 units are permanent stay households and 150,000 are holiday houses or empty. The non-residential buildings (commercial, public and industrial) estimated to be around 100,000 building units. According to the 2009 Statistical Service’s Survey for the residential buildings, a very low percentage they have applied any thermal insulation to the ceiling of the building. More specific:

Thermal insulation of existing residential buildings

Share (%)

Walls

7,5

Roof

5,5

Floor

0,8

Double glazing

43,2

Other

0,4

No insulation at all

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

54,4

20

©ENERFUND

By the end of 2015, approximately 26,000 buildings were certified and registered to the official EPC’s registry of Cyprus. An indicative estimation of the Energy Performance of the Majority of existing buildings in Cyprus (built before 2007) according to the EPC methodology varies from E energy class to G. The majority (>95%) of new buildings (Built after 2010) have B energy class and very few were rated to be B+ or A. An estimation for the share of certified buildings in different energy rating classes are described as follows:

Energy Class Percentage of certified buildings

I.3.6.

a

b+

b

c

d

e

f

g

0.2%

0.3%

96.6%

1.7%

0.6%

0.3%

0.1%

0.0%

Reliability of EPC information

The information provided on EPC are calculated based on standard conditions of a building, tenant’s behaviour and external environment according to the EPC methodology. However, the results of the analysis are not consistent with the actual conditions of the examined building. Therefore is not reliable to use the information of the EPC to estimate the real energy consumptions of the building. As a result, EPC should be used only for comparison of different buildings or different energy efficiency measures for a specific building.

I.3.7.

Energy efficiency recommendations

The recommendation report was recently improved to become more detailed, as it now has to cover both single targeted measures and combinations of measures. Also, the report gives for every building element a comparison with the minimum requirements and an indication on how much better or worse it is positioned against minimum requirements. It also includes information whether the energy efficiency measure will recover its initial cost short term, midterm or long term. The information missing from the recommendations is the estimation of the capital cost for measures proposed and the expected savings. Although this information considered useful for a decision to energy refurbishments, accurate estimations for the cost, the savings, NPV and IRR needs thorough analysis which could be provided by an energy auditor.

I.3.8.

Qualified experts

EPCs are produced by QEs. QEs are separated in QEs for residential and QEs for non‐ residential buildings. By the beginning of 2014, their qualifications have been revised. These are the current requirements to become a QE: •

Th ey must be members of the Scientific and Technical Chamber of Cyprus

(ETEK) in the field of architectural, civil, mechanical, electrical, chemical or environmental engineering. The last two academic backgrounds apply only for residential buildings.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

21

©ENERFUND

• • •

They must have one year of experience for residential buildings and three years of experience for non‐residential buildings in matters of energy, buildings or buildings’ technical systems. Non-residential QE candidates that do not have three years of experience can still be eligible if they have issued at least 90 EPCs for residential buildings. They must pass an exam that is organized by the MECIT. There is a different exam for each of the two QE categories.

Training is not mandatory, though it is provided by the MECIT or other private training institutions in order to prepare candidates. Considering residential buildings, the training is usually sixteen hours and it covers legislation, methodology, the use of software and recommendations. The training for non‐residential QEs is about calculating the energy performance of non‐residential buildings with more emphasis on complex building services and giving recommendations. Since 2009, when the EPC scheme was put in place, more than 1,000 people went through these training programmes. Currently there are 223 QEs, from which 109 can issue certificates only for residential buildings, while the rest can issue certificates for all kinds of buildings. Qualified experts registry provides information of their address and contact information and whether are certified for residential and non-residential buildings. The number of QEs consider sufficient for the needs of the Cyprus and geographical coverage is achieved with 109 QEs in Nicosia, 59 in Limasol, 29 in Paphos, 22 in Larnaca and 11 in Famagusta.

I.3.9.

Other experts for buildings retrofitting

Energy Auditors Class A for all type of buildings – Currently 54 registered Inspectors of air conditioning systems – Currently 51 registered Inspectors of heating systems – Currently 49 registered Energy Managers – No registry available. However, around 30 were certified as European Energy Managers (EUREM)

I.3.10.

Public perception on EPC

The general public in Cyprus is considered not to be well aware about the EPC and its importance. The most useful information of the EPC is the energy rating and the recommendations for the energy efficiency improvement of the building. The energy rating could provide simplified information for the energy performance of a building. Thus, potential tenants or buyers of a building could compare it among others and consider its efficiency along with the price. Other information indicated like the primary energy consumption and the CO2 emissions are not easily understandable by the general public. EPC could be also a useful simplified tool to evaluate the energy refurbishment or individual energy efficiency measures to a building by comparing the energy class prior and after the consideration of the improvements. For example, a building owner could

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

22

©ENERFUND

compare the impact to the EPC of thermal insulation of the roof with the installation of energy efficient thermopanes.

I.3.11.

Available publications

Energy Performance Certificates flyer Nearly zero energy buildings flyer What you should know about EPC flyer Energy refurbishment 25 case studies (Eracobuild) report Research results (Eracobuild) report Energy refurbishment of 25 low income households in Cyprus (ELIHMED) short video Energy refurbishment of 25 low income households in Cyprus (ELIHMED) long video Technical solutions for the energy refurbishment of public buildings presentation Buy Smart guidelines for buildings Good practices report for the energy efficiency of public buildings (Serpente) Technical guidebook for NZEB Households guidebook for energy saving Household’s guidebook for energy management

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

23

©ENERFUND

I.4. I.4.1.

DENMARK Introduction of EPC

In Denmark, the EPC scheme came into force in 1997 (The first country in EU). From the very beginning both residential and commercial building were included the scheme.

I.4.2.

Actual status of EPC implementation

Time after time, is has become rather successful. Until 2011, where it was not mandatory to show the EPC rating in advertisement of property sale, not all houses on the property market were equipped with an EPC label.

I.4.3.

Problems, barriers and potential solutions

The Danish EPC is based on calculation, and requires a lot of man power. By this and other reasons, the quality has not been in top. A lot of actions have been carried out to make the certification simpler and to raise the quality.

I.4.4.

Availability and accessibility of EPC database

In Denmark, the responsible for keeping the EPC database is the Danish Energy Agency. The form is an advanced database. The database is not available to the public, except of individual look-ups. See: http://sparenergi.dk/forbruger/vaerktoejer/finddit-energimaerke

(Try for instance with the address: 2960 Rungsted Kyst.Hulsøvang 25). There is no directly access for ENERFUND. We may ask the Agency for access, if possible.

I.4.5.

Buildings’ Energy Certification statistics

No statistics available. SBi/AAU can tailor analyses of the EPCs if required by ENERFUND.

I.4.6.

Reliability of EPC information

The reliability of the information of the individual EPC is rather high, at list concerning EPCs issued after 2005.

I.4.7.

Energy efficiency recommendations

The recommendations included in the EPCs are rather useful, although the financial payback time calculations have become outdated since the fall down of the energy prices. Basically, the recommendations are distributed on cost-effective and not costeffective measures.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

24

©ENERFUND

I.4.8.

Qualified experts

Only registered (EPC-educated) experts are issuing EPCs. The certification does not distinguish between experts for residential and non-residential buildings. There are some hundreds of EPC experts, more than enough to cover the needs. List of all qualified EPC experts are available at the Internet. Their qualifications are adequate.

I.4.9.

Other experts for buildings retrofitting

Special educated Work- and Tradesmen play an important role when it comes to building energy refurbishments. In addition in Denmark there has been established a special Building Energy Refurbishment scheme (Bedre bolig-ordningen; http://sparenergi.dk/forbruger/vaerktoejer/bedrebolig/raadgiver ). There is a list of licensed expert connected this scheme – more or less coincident with that list of EPC experts. The whole country is covered by relevant experts.

I.4.10.

Public perception on EPC

There has been an increasing understanding of the information provided by the EPCs. Now at least the price of higher ranking of buildings is generally accepted.

I.4.11.

Available publications

There is a special site on the web page of The Danish Energy Agency with all information. See http://www.energimærkning.dk/energimaerkning-af-huse/ .

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

25

©ENERFUND

I.5.

FRANCE

I.5.1.

Introduction of EPC

In France, there is a mandatory requirement to run what is called a diagnosis for energy performance (DPE – Diagnostic de performance énergétique), from which the official EPC (or etiquette énergétique) is drawn:

-

Since the 1 st of November 2006 for selling domestic and non-domestic buildings Since the 1 st of July 2007 for leasing properties Since the 1 st of July 2007 for all new buildings which construction permits were released after the 1 st of July 2007

In some public buildings, the EPC has to be disclosed in the entry hall. The definition of nZEB was introduced through the 2 Grenelles of the environment and the building codes 2005 and 2012 (RT2005, RT2012), without affecting the format of EPCs 2.

I.5.2.

Actual status of EPC implementation

Displaying EPCs of domestic buildings is mandatory since the 1 st of January 2011, in real estate agency as well as on Internet Ads, for selling and leasing. This was met with real success amongst individuals. However, according to an article from Plan Bâtiment Durable (a public organization) published in 2013, the EPCs were, at that time, not playing a critical role in the decision of buying/renting. According to the same article, and building on a study from the consumer organization UFCquechoisir, the DPE (mandatory to get the EPC) also led to different results depending on who run the diagnosis. It was therefore asked for technics to make DPEs more reliable 3 and the same issue was also valid for nondomestic buildings. Since then, recent measures were taken (see below), but at this point it remains hard to assess concretely their success and whether they contributed to improve EPC implementation.

I.5.3.

Problems, barriers and potential solutions

Following the assessment presented above, six solutions were proposed and implemented to address the main problems of EPC implementation 4: 1. Improved transparency: to the DPE and EPC is added a technical file with all data entered by the auditor. This allows more transparency and the owner to have a clearer perspective on the energy performance of its property; 2. Improve calculation methods: instead of being based on 30 figures, the new DPE is based on 60 so that results are better tailored to the building situation. Amongst the added data figure hybrid ventilation, electro heaters etc.

http://www.developpement-durable.gouv.fr/-Diagnostic-de-Performance,855-.html http://www.planbatimentdurable.fr/les-6-mesures-pour-ameliorer-et-fiabiliser-le-a222.html 4 http://www.observatoire-dpe.fr/ 2 3

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

26

©ENERFUND

3. Use of software validated by the Ministry. These software went through a process of validation with ADEME and the Ministry between 2008 and 2010;At least 14 Software are validated, according to ADEME database 5; 4. An online database of DPEs: an observatory developed by ADEME allows since 2013 to collect information on DPEs, from which adequate policies are drawn; 5. Building capacities of auditors: two types of exams implemented for auditors, one simpler valid for the domestic sector only and one more complex for all other types of property. Trainings have also been reinforced. 6. More efficient control: certifying organisms will apply stricter controls on auditors to verify the quality of their work.

I.5.4.

Availability and accessibility of EPC database

In France, the ADEME (Agence de Développement de l’Energie et de Maitrise de l’Environnement - Agency of Energy Development and Envionmental Conservation) is keeping the registry of EPCs. An observatory with a website ( http://www.observatoiredpe.fr/index.php/statistique/statDpeParEtiquette ) was launched in 2013, including a database on all DPEs made since then. Professionals (in charge of the certifications, accredited auditors as well as public organization) have a privileged access to this database. For the general public, it allows either to search for a specific DPE using a reference number or to obtain statistics on EPCs per type of building, construction year or type of heaters. However the minimum geographic scale for statistics is the department, and it is not sure whether more detailed information can be obtained for ENERFUND (at city/district levels). Alternative solutions such as independent studies and database from real estate professionals may have to be used.

I.5.5.

Buildings’ Energy Certification statistics

According to data provided by ADEME’s observatory, the following information on EPC could be obtained (data 24th of May 2016, updated daily). EPC

New buildings : 493 489 DPEs A B C 177 31 Number of DPE 258 636 516 978 Percentage 36% 52.4% 6.5%

D 18 003 3.6%

E

F

G

H

I

5 998

574

173

16

5

1.2%

0.1%

10.000 45.00090.000150.000300.000 inhabitants, up to € 6.000.000. The distribution of the budget for an eligible Municipality follows the following breakdown: 1. EE measures in municipal buildings: 55-65% of the total budget 2. EE measures in communal areas: 15-25% 3. Energy efficient transportation: 10-15% 4. Technical infrastructure: 0-4% 5. Actions for dissemination, networking and information: 0-4% 6. Actions to support the preparation and implementation of the proposal: 0-10% Until the beginning of 2016, € 30 million have been granted and 64 municipalities were included in the beneficiaries. Main Outcomes and Results: The results comprise the energy efficiency actions that took place in various municipalities according to their energy needs. The program has not finished so a concrete outcome cannot be provided. With no doubt, this initiative contributes to the national targets on energy saving and the promotion of EPCs since the energy renovated public buildings will have an EPC illustrating their improvement in terms on energy needs.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

104

©ENERFUND

Relevance and usefulness of outcomes for ENERFUND: The objective of the program is to improve the energy efficiency in municipalities’ public buildings, providing reached targets on energy saving, reduction of energy cost and CO 2 emissions. Analysis from the up to now projects is under way and it helps ENERFUND project by providing quantitative data on energy efficiency actions on a big number of buildings. Energy retrofit solutions can be compared according to the building age, type, climatic conditions and the most cost-effective technique can be derived. Action plan to use the results: The project results are a valuable piece of information for the ENERFUND project since they will provide data for the energy efficiency implemented actions on a municipality level. CRES is the management agency of this project so it has access to all information regarding the energy retrofit measures taken place in all beneficiary municipalities. Important information can be derived by the analysis of the above data which can promote the most energy effective actions based on actual numbers.

II.26 DATAMINE Intelligent Energy Europe Grant Agreement N° EIE/05/097 Reporting country Period covered: 2006-2008

Ireland European funded project National grant schemes

National funded project Other ( )

Name of organisation involved : IWU (Germany), NOA (Greece), NAPE (Poland), SOFENA (Bulgaria), Ecofys (Spain), ZRMK (Slovenia), ESD (UK), BuildDesk (Netherlands), Polito (Italy), VITO (Belgium), AEA (Austria), Energy Action (Ireland) Tel:

Email: [email protected]

Website: www.meteo.noa.gr/datamine

Description of the activity/initiative: Objective: At the time of this project (2006), in most of the European Member States only poor information about the actual energy performance of the building stock and the types and rates of applied refurbishment measures was available. However, this knowledge is needed for evaluating and refining policies and measures in order to maximise their impact on energy saving in this sector. The idea of DATAMINE is to use Energy Performance Certificates as an information source for the necessary monitoring activities. Given the great variety of buildings as well as certificate types in the European Member States a harmonisation of the monitoring approaches is necessary in order to compare the energy performance development and learn from successful strategies. The objective of DATAMINE was to develop concepts for such coordinated energy certificate data collection and analysis, to make basic experiences on a practical level and to draw conclusions for establishing harmonised monitoring systems in the European Member States. Datamine was focussed on EPCs from residential building stock. Target Group: The target group was the 12 Member States involved in the IEE project. Budget: €1,596,000. Structure: This IEE project was managed by Institut Wohnen und Umvelt (IWU),Darmstadt Germany with partners from Poland, UK, Netherlands, Italy, Greece, Belgium, Austria, Slovenia, Spain, Ireland and Bulgaria. Main Requirements: IWU and the Partners developed a harmonised EPC data structure. Each of the partners was then required to populate this harmonised EPC data structure with a sample of EPC datasets available from their own country. As EPC legislation was only being introduced at this time, the project provided great assistance to Member States that were still developing EPC management systems.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

105

©ENERFUND

Main Outcomes and Results: During the DATAMINE project the following results were achieved •

Development of the harmonised data structure: The DATAMINE Data Structure involves 255 quantities, of which a suitable sample may be selected to describe the building’s overall energy performance, depending on the available data. The data structure accounts for all kinds of building types (residential, non-residential), for the different types of energy certificates (asset rating / operational rating), for the availability of data from energy audits and for the different monitoring aims.

•

Development of the Energy Performance Indicator Analysis Tool: An MS Excel software was developed which allows for the statistical analysis of data collected in the DATAMINE Model Project data bases.

•

Implementation of 12 national Model Projects: In each Model Project a considerable number of EP Certificate datasets was collected and analysed according to the individual evaluation objectives.

•

Transformation to the common DATAMINE Data Structure: Each partner delivered a database with his datasets in accordance with the harmonised data structure.

•

Exemplary cross-country comparison: A number of energy performance indicators was analysed and compared between the different countries. This was done by using the DATAMINE Analysis Tool.

All partners faced the fact that the implementation of EPBD in their countries was delayed. Since EP certificates according to EPBD were not yet officially issued in most of the participating countries data collection could not rely on official EP certificates alone. In all cases it was possible to use other sources for collecting the necessary building data and related information – mainly from building energy audits or grant applications. However, this did not affect the development of the harmonised data structure. Since all partners were involved in the national discussions about EPBD transposition the concepts for the future EP certificates – as far as already available – could be considered. Relevance and usefulness of outcomes for ENERFUND: The DATAMINE project focused on residential buildings only. DATAMINE and subsequent programmes have not addressed non-residential buildings and public buildings due the variety and complexity of these building stocks. It is interesting to note that 10 years after the Datamine project, no equivalent project has addressed the creation of a harmonized EPC data structure for non-residential buildings. All relevant publications www.meteo.noa.gr/datamine

available

from

the

DATAMINE

website,

Action plan to use the results: As DATAMINE was focused on residential buildings, its results will have no direct impact on ENERFUND. However, DATAMINE does show the value of gathering EPC datasets into a harmonized data structure, which is a concept that needs to be considered for nonresidential buildings and public buildings in the context of the ENERFUND project.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

106

©ENERFUND

II.27 TABULA Intelligent IEE/08/495/SI2.528393 Reporting country

Energy

Europe

Grant

Agreement

N°

Ireland

Period covered: 2009-2012

European funded project National grant schemes

National funded project Other ( )

Name of organisation involved: : IWU (Germany), NOA (Greece), NAPE (Poland), SOFENA (Bulgaria), ZRMK (Slovenia), ESD (UK), Polito (Italy), VITO (Belgium), AEA (Austria), Energy Action (Ireland), ADEME (France), MDH (Sweden), STUK (Czeck Republic), SBi Denmark Tel:+35314548300

Email: [email protected]

Website: typology.eu

www.building-

Description of the activity/initiative: Objective: Due to the needs of climate protection and energy saving, the residential building sector in Europe will have to meet great challenges in the coming years and decades. Decisions will have to be made on European, national and local level concerning energy saving policies and measures which must be based on reliable information sources. Also house owners (private persons or housing companies) must be provided with information about the state and the energy saving potentials of their building. Models of the building portfolio are needed which enable detailed analysis of future scenarios and which at the same time must be based on up-to-date and reliable data. The success of the introduced strategies must be evaluated regularly to improve the models and the analysis. Looking at residential building stocks there is a large variety of buildings and building characteristics according to the national architectural history and different building types. Against that background the TABULA project aimed at laying a basis for models of the building portfolio by handling this variety and providing a public data source of the building sector. This was achieved by the making of building typologies which classify the national residential building stocks and provide information of typical building characteristics with regard to thermal quality of the building envelope and the applied heating systems. Each partner created its own national building typology Target Group: Government officials, energy policy experts, building professionals, energy assessors/ consultants, building owners, public housing programme managers Budget: €1,843,000 Structure: This IEE project was managed by Institut Wohnen und Umvelt (IWU),Darmstadt Germany with partners from 14 other Member States listed above. In addition, the University of Belgrade represented Serbia as an associate partner. Main Requirements: All partners created building typology analysis of their national residential building types using their national EPC method. All partners also entered their building data into the common TABULA database following asset of agreed coding protocols for all data to be displayed in a common typology webtool. Main Outcomes and Results: Results: For each country a brochure was created which contains the different elements of a residential building typology: 

the classification of the national building stock / display of the building type matrix;



frequencies of the building types;



typical energy consumption values of exemplary buildings;

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

107

©ENERFUND



definition and description of refurbishment measures and the energy saving potential;



"Building Display Sheets: A double page showing the existing state of the building and the possible energy savings by distinct measures;

Each national brochure addresses key actors of the respective country and supplies them with information and material for energy advice activities. In some cases, the "Building Display Sheets" are also disseminated separately. The brochures are written in the respective national languages. Contribution to National Strategies: TABULA showed how EPC-based analysis can assist in assessing the energy saving potential on national housing stocks. By identifying the most common building types based on their energy performance, the impact on their EPC can be demonstrated for a range of standard and advanced improvement measures. Relevance and usefulness of outcomes for ENERFUND: As the TABULA project concentrated on residential housing stocks, the TABULA project itself will not have direct potential contribution to ENERFUND. Action plan to use the results: The TABULA results will not be used specifically for ENERFUND. However, it should be noted that one of the recommendations for future development at the close of TABULA was for the development of a national typology for non-residential buildings. This was to include the fixing of classification criteria, the determination of exemplary buildings, the definition of a set of refurbishment measures for envelope and supply system, the elaboration of building display sheets and the collection and processing of consistent statistical information. On the international level the task would be to prepare a common building database on the basis of a concerted calculation procedure.

II.28 EPISCOPE Intelligent IEE/12/695/SI2.644739 Reporting country Period covered: 2013-2016

Energy

Europe

Grant

Agreement

N°

Ireland European funded project National grant schemes

National funded project Other ( )

Name of organisation involved: : IWU (Germany), NOA (Greece), ZRMK (Slovenia), BRE (UK), Polito (Italy), VITO (Belgium), AEA (Austria), Energy Action (Ireland), Pouget(France), (Sweden), STUK (Czeck Republic), SBi Denmark, IVE (Spain), BME (Hungary), CUT (Cyprus), NTNU (Norway), University of Belgrade (Serbia), DUT (Netherlands), BPIE (Brussels) Tel:+35314548300

Email: [email protected]

Website: typology.eu

www.building-

Description of the activity/initiative: Overall Objective: Aiming to support compliance with climate protection targets, the main objective of the action was to make energy saving processes in the European housing sector more transparent and effective. By the provision of information on suitable measures and saving potentials for individual buildings and building stocks as well as on relevant performance indicators, current trends, and recommendations for continuous monitoring activities with regard to building stocks different key actors and stakeholders were intended to be enabled to ensure a high quality of energy refurbishments, track and steer refurbishment processes and evaluate actually achieved energy savings.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

108

©ENERFUND

Specific Objectives: •

A total of seven new residential building typologies (UK, HU, ES, CY, NL, FR, NO) were elaborated, whereas nine typologies developed during the IEE project TABULA (AT, BE, CZ, DE, DK, GR, IE, IT, SI) were updated. The typology approach developed during TABULA was extended to include categories for new buildings exemplifying compliance with current national requirements as well as more ambitious energy performance levels up to NZEB standard.

•

A structure to document relevant energy performance indicators for building stocks was identified, distinguishing between monitoring indicators (reliable data) and scenario indicators (at least partly based on assumptions).

Case studies (pilot actions) were analysed in all participating countries at local, regional or national level: Information on available monitoring indicators (reliable data e.g. on the state of the building stock considered, actual energy consumptions, current refurbishment rates and trends) were collected; available data sources were inspected and evaluated. Data quality and

data gaps were discussed and recommendations for an improved continuous monitoring were derived. Apart from that, scenario calculations have been carried out to show possible path how to meet the climate protection targets in the building stocks considered. Target Group: Government officials, energy policy experts, building professionals, energy assessors/ consultants, building owners, public housing programme managers, product suppliers, energy supply companies Budget: €2,459,000 Structure: This IEE project was managed by Institut Wohnen und Umvelt (IWU),Darmstadt Germany with partners from 16 other Member States listed above. In addition, the University of Belgrade represented Serbia as an associate partner. Main Outcomes and Results: Results: •

Publication of new and updated national statistical data for all participating countries at the public EPISCOPE website and publication of statistical data and monitoring indicators in the EPISCOPE tool of the BPIE data hub.

•

Information on suitable energy saving measures and saving potentials for single buildings published in national/regional typology brochures (in the respective languages of the participating countries) and the upgraded TABULA WebTool (in English language).

•

Information on the inclusion of new buildings in the TABULA typology approach, including information on current requirements for new buildings as well as NZEB requirements/definitions in the participating countries (as far as available) published in a synthesis report (SR1). The example buildings displayed in the typologies and report are supposed to provide valuable input to national discussions on energy performance levels for new buildings and NZEBs.

•

An exemplified structure to collect and document energy performance indicators for building stocks, documented in two publicly available working papers.

•

Information on possible path/suitable measures to meet climate protection targets for building stocks, published in case study reports (in the respective languages of the participating countries) and two synthesis reports (SR2, SR3, in English language).

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

109

©ENERFUND

•

Information on quality and availability of monitoring data for the building stocks analysed in the case studies. Publication of recommendations for improvements and continuous monitoring activities in case study reports (in the respective languages of the participating countries) and a synthesis report (in English language) including methodical recommendations.

•

Launch of a web tool mapping EPC data for the north side of Dublin city, and a multi scenario online tool for the Hellenic residential building stock.

Contribution to National Strategies: EPISCOPE examined how many different types of databases and survey methods can be used in isolation or in as combined fashion to assess the current refurbishment states of housing stocks and to establish the annual refurbishment trends. EPISCOPE identified that EPCs provide a very useful data source when analysing refurbishment trends and also for identifying both the scale of the retrofit challenge. Relevance and usefulness of outcomes for ENERFUND: In general the EPISCOPE pilot actions provide excellent examples of the ways in which the current refurbishments states of building stocks cab be established and future trends can be tracked. The EPISCOPE mapping tool for the Northside of Dublin City showed that by mapping EPC data, the scale of the retrofit challenge can be clearly presented in mapped format and retrofit opportunities can also clearly identified. Action plan to use the results: EPICOPE showed what can be done for residential buildings. The challenge will be to examine can a similar approach be adopted and solutions implemented for commercial and public buildings.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

110

©ENERFUND

II.29 Price Effect of Building Energy Ratings in the Dublin Residential Market Reporting country

Ireland

Period covered: 2015

European funded project National grant schemes

National funded project Other (Research Paper)

Name of organisation involved: : Department of Economics, Trinity College Dublin Tel:

Website:

Description of the activity/initiative: Objective: To establish if there is a correlation between EPC ratings and sales prices for residential dwellings. The paper is an empirical study of the relationship between the energy performance rating of residential in the Dublin market between 2009 and 2014. Main Outcomes and Results: Initial results suggest that energy efficiency has a significant, positive relationship with list 2 price. A 50-point improvement in the Energy Performance Indicator (kWh/m /year) is associated with a 1.5% higher list price. Alternatively, using the Building Energy Rating metric, a one point improvement in the 15-point scale from G to A1 yields a list price increase of 1%. This has no direct impact on National Strategies and policies on EPCs. Relevance and usefulness of outcomes for ENERFUND: This paper demonstrates that there is a definite correlation between energy performance indicators for buildings and their sales prices/ asset values in Ireland. This study focuses on residential buildings only. https://www.esri.ie/publications/price-effect-of-building-energy-ratings-in-the-dublinresidential-market/ Action plan to use the results: No such study has been conducted on commercial or public buildings in Ireland. Nevertheless for commercial buildings, a similar outcome could be expected. The paper contains references to a large volume of research work which look at the impact of EPCs on the rental and capital values of commercial buildings. Thus, further information is directly available that can be researched further for the benefit of the ENERFUND project.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

111

©ENERFUND

II.30 Refurbishment of the Public Building Stock Towards nZEB Reporting country

Romania

Period covered: 01.03.204-31.10.2016

European funded project National grant schemes

National funded project Other ( )

Name of organisation involved : NIRD URBAN-INCERC Tel: +40212550835

Email: [email protected]

Website: republiczeb.org

Description of the activity/initiative: The RePublic_ZEB initiative is an Intelligent Energy Europe project focused on the economically sustainable strategies and policies to enforce the refurbishment of the public building stock towards nZEB levels, according to EU 20/20/20 target. Thus, the main objectives of RePublic_ZEB are to support the South-Eastern European countries to promote on the market a set of concrete technical solutions for the refurbishment of the public building stock toward nZEB by increasing the involved key actors’ confidence on nZEB, and to take concrete steps to accelerate the existing public building renovations. The project mainly focuses on the Mediterranean and the South-East European countries, as there are common conditions in terms of climate, energy performance (both cooling and heating are important) and available RES potential. In order to achieve the predicted goals, the key actors involved are: builders and public building owners, policy developers (authorities), building technology industries and national professionals associations referred to the building industry as architects and engineers. The project primary target group and beneficent will be the relevant Government authorities (from the proposal member’s countries) responsible for the legislation in the area of energy and buildings, as nZEB concept, as well as EPBD recast costs/benefits analysis requirements, are not fully implemented within national regulations yet. In order to promote a large-scale agreements and commitments amongst market actors, and facilitate the building and building technology markets renovations, the secondary target group cover: varieties of Energy Service Companies (ESCOs) and other energy efficiency service providers; energy professionals and energy agencies; national and local authorities (building owners); builders, producers, distributors, installers, and the associations of these, engaged with building renovation materials and measures, both in the field of energy efficiency and renewable energy and stakeholders. The estimated budget of the action is 1,638,795 EUR, of which 1,229,096 EUR from EU. The project consortium consists of twelve partners, eleven of which are from target countries with one from the UK. The UK partner is responsible for providing professional consultancy and support for developing and promoting best practice. The consortium includes the following organizations: -

Educational and academic research institutions: Budapest University of Technology (Hungary) and Politecnico di Torino (Italy).

-

Research and energy policy institutions: BSЕRC (Bulgaria), CRES (Greece), EIHP (Croatia), IREC (Spain), URBAN-INCERC (Romania), LNEG (Portugal), ZRMK (Slovenia).

-

Energy policy developers: CTI Energy and Environment (Italy), which is the Project Coordinator and MACEF (the former YR of Macedonia).

-

Research and policy institute based in Northern Europe: BRE (UK).

Main Outcomes and Results: The main output of the initiative relates to the definition of cost optimal and low-risk technological “packages of measures” for the refurbishment of the public buildings towards nZEB, in which smart and high performing solutions, including both the building envelope and technical systems as well as technologies for RES use are considered. In this way the confidence on nZEB could be increased especially by building industry and building

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

112

©ENERFUND

owners, so to accelerate a real market demand of nZEBs. As to strengthen the concrete building market renovation further outputs are defined as follows: -

provision of guidelines for national or regional authorities, energy agencies and EPC providers in order to address local energy policies, to support the development of financial mechanisms and to spread the use of Energy Performance Certification as a driver for on-going renovation;

-

provision of guidelines addressed to industries, housing organizations and owners of large building stocks for the purpose of overcoming the market lacks of practical experience and improving familiarity with new and smart building technologies, increasing the demand on the market for step-by-step renovations, improving the consumer confidence and understanding of nZEB, bringing the market together with industry to provide one-stop shop solutions and promote large-scale agreements and commitments amongst market actors for refurbishment of the public building stock.

It is expected that the implemented actions produce significant impact on the local energy policies and on the building industries and market. The main expected results are the followings: -

defined and well focused local/national policy strategies acted to enforce/promote the public building refurbishment;

-

building industry offer on the market of specific, low-risk and quality guaranteed techniques for building refurbishment;

-

public building owners higher awareness on the benefits reaching by the building refurbishment into nZEB.

Relevance and usefulness of outcomes for ENERFUND: The first publication from RePublic_ZEB which is relevant to ENERFUND is the Report on the preliminary assessment of public buildings stock (link), which contains information about buildings owned and/or occupied by public authorities in RePublic_ZEB participant countries, which includes Bulgaria, Greece, Romania, Slovenia, Spain - Catalunya Region and UK. Another useful output from RePublic_ZEB could be the results from WP4, i.e the definition of packages of measures for building energy renovation and description of the costoptimisation methodology - both useful for the development of ENERFUND methodology.

Action plan to use the results: Relevant information for Greece and Romania could be easily obtained from CRES and URBAN-INCERC. Ask the coordinator for information from other countries.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

113

©ENERFUND

II.31 National programmes for every renovation of block-of-flats using state and local funding Reporting country

Romania

Period covered: 2008 to date

Name of organisation Administration Tel: +40372114552

European funded project National grant schemes

involved

:

Ministry

Email: [email protected]

of

National funded project Other ( )

Regional

Development

and

Public

Website: www.mdrap.ro

Description of the activity/initiative: In order to improve the energy performance of residential buildings in Romania, several national programmes were defined and implemented, using various funding mechanisms in compliance with: (1) Government Emergency Ordinance 18/2009, for increasing the energy efficiency in residential buildings (approved by Law 158/2011, with further amendments); (2) Government Emergency Ordinance 69/2010 regarding the thermal rehabilitation of residential buildings, with bank funding based on a governmental quarantee and subidised interest rate (approved by Law 76/2011); (3) European funding mechanism provided by the Structural and Cohesion Funds for programmes implementing the thermal rehabilitation of apartment buildings (20072013); (4) Regional Operational Programme 2014 to a low carbon economy”, and “Priority Investment 3.1. buildings, residential buildings and public lighting”.

‐2 0Supporting 3: 2 0 , “P rioritythe Axtransition is ‐

For the efficient use of public funding in implementing various thermal rehabilitation measures to increase the energy performance of buildings, the standard for costs for thermal rehabilitation of residential buildings was developed and approved by Government Decision 363/2010, with further amendments. The national and local programmes established by Government Emergency Ordinance 18/2009, amended by Ordinance 63/2012, establish the following financing mechanisms for rehabilitation works on building envelopes to increase the energy performance of residential buildings and achieve the annual target on specific energy for heating consumption of 100 kWh/m²: (a) the national funding programme, providing: -

50% of funds from state budget allocations approved annually for this purpose in the MDRAP budget;

-

30% of funds approved annually for this purpose in local budgets and/or other legal sources;

-

20% of funds from the owner association's building repair fund and/or other legal sources – representing owner contribution (this share could be taken under local/municipal funding).

(b) Structural and Cohesion Funds from the European Union, in compliance with EU regulations and procedures: -

60% of funds from European funds and state budget allocations approved annually for this purpose in the MDRAP budget;

-

40% of funds approved annually for this purpose in local budgets and/or other legal sources, as well as from the owner association's building repair fund and/or other legal sources;

(c) local programme funding. As a general rule, through this programme, the owner contributions may only be covered by

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

114

©ENERFUND

the local budget for 'disadvantaged' people (disabled individuals, or families with disabled members who need care, single people and families whose average net monthly income (per single person/family member) is below the national average, veterans and their surviving spouses, pensioners, irrespective of their social status, whose average net monthly income (per single person/family member) is below the national average. In all the above programmes, EPCs have been required and issued for all buildings as part of the technical and financial documentation. The budget for the mentioned programs is approved on yearly basis and varied from 3.17 MEUR (2013) to 84.96 MEUR (2009), with 11.25 MEUR in 2015 and 5.56 MEUR in 2016. Other energy renovation programs are aproved and implemented only at local level (in some municipalities and districts of Bucharest) using public funds based on EIB (European Investment Bank) loans. Main Outcomes and Results: By 31 December 2014, thermal rehabilitation works have been finalised under: - the national programme for 1,533 housing units (block-of-flats), accounting for 59,219 apartments, and under the local programmes for almost 210 housing units, accounting for 9,626 apartments. From the total of 223 MEUR invested in the national programme, an average of 3770 EUR/apart. and approx. value of 63 EUR/m² could be calculated. The energy saving output following the implementation of thermal rehabilitation ‐ measures for residential buildings under these programmes was about 35% the final energy consumption (approximately 82 Mtoe) before the rehabilitation work was carried out; -

the operational programme financed by the Structural and Cohesion Funds of the EU, in accordance with the regulations and procedures for accessing these funds and the conditions established in this respect, based on about 108 ongoing contracts aimed at achieving a better energy performance for 680 housing units representing 31,427 apartments.

The Regional Operational Programme (2014-2020) is under implementation, with an open call for energy renovation of residential buildings and a call in preparation (to be launched this year) for improving energy efficiency in public buildings, residential buildings and public lighting. All these programs are taken into account in the National Energy Efficiency Action Plan (NEEAP) 2014 ‐2 0 1 7 w hRomania's achieve ich w a s d eassumed ve lop e d to target of 19% ‐ energy consumption reduction in the building sector (both residential and non buildings) by 2020, in compliance with the requirements of Directive 2012/27/EU. To implement measures for improving energy efficiency and for using Renewable Energy Sources (RES) in buildings owned by or under the management of public administration, as well as for setting an example in reducing energy consumption, a mechanism for developing and cofinancing energy efficiency projects with the participation of Energy Service Companies (ESCOs) is taken into consideration, being currently under discution.

Relevance and usefulness of outcomes for ENERFUND: Data from the implementation of renovation programs and lessons learned should be collected and taken into account in a useful way in the development of ENERFUND tool. Some of the information should be found in various locations mainly in paper format and could be introduced in a database with a defined format while connection to other databases (e.g. EPC database) could be explored. On the other hans, additional requirements for the improvement of funding programs need to be formulated under ENERFUND, regarding, e.g., the information to be collected/provided in the selection of the buildings to be funded, minimum requirements to use qualified installers and/or construction companies, nZEB levels defined for renovation D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

115

©ENERFUND

projects (with additional specific funds for additional ambitiousness), specifications for equipment and procedures for energy performance monitoring for energy renovated buildings.

Action plan to use the results: Further information could be obtained from MDRAP (partner in the project) - from various departments, while the EPC database (managed by NIRD URBAN-INCERC on behalf of MDRAP) could be used. Also active consultation with MDRAP should be performed and effective proposals for the improvement of the EPC processing system in the database should be formulated. Regarding the implementation of the national program for thermal rehabilitation of residential buildings, with bank funding based on a governmental quarantee and subidised interest rate (approved by Law 76/2011), contacts should be made with the National Credit Guarantee Fund for Small and Medium Enterprises (FNGCIMM) as main actor and CEC BANK SA and BCR as secondary actors, in order to facilitate data exchange on the funded buildings.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

116

©ENERFUND

II.32 Governmental Program for thermal insulation Reporting country

Slovakia

Period covered: 2009, 2011, 2012

European funded project National grant schemes

Name of State Fund for Housing Development (Štátny fond rozvoja bývania) Tel: +421 2 5936 4111

National funded project Other ( )

organisation

Email: [email protected]

involved:

Website: https://www.sfrb.sk/

Description of the activity/initiative: The Governmental Program for Thermal Insulation was approved by decision of the Government of the Slovak Republic in May 2009. The target of the program were residential buildings (both the apartment blocks as well as family houses). Eligible projects were those that improved thermal characteristics of buildings built before 1989. The support for implementation of projects was provided through beneficiary loans with 15 years’ repayment period and zero interest rate. The loans were provided up to 100% of eligible costs, but the maximum was: a) 50 EUR/m2 of thermally insulated area in case of family houses and b) 80 EUR/m2 of thermally insulated area in case of apartment blocks. The program required to thermally insulate all building structures that did not comply with thermal requirements. Only un-insulated constructions (including not exchanged windows and doors) were eligible as scope of the projects. Main Outcomes and Results: The results of the Program may be documented in quantitative through following numbers: support

year

budget

2009

71 000 000 €

70 870 807 €

346

14 755

2011

16 755 248 €

16 681 333 €

87

3 745

2012

24 076 013 €

20 939 996 €

108

4 896

loans provided

buildings

flats

Implementation of this program significantly extended the already running support schemes for modernization of the building stock in residential sector. Setting the obligation to comply with the EPBD requirements (as implemented in national legislation) as a condition for obtaining the support helped to fulfill the relevant national policies on energy performance of buildings. Relevance and usefulness of outcomes for ENERFUND: The project results provide important base of data regarding the investment costs for energy efficiency measures focused on the building envelope. Analysis of these data may provide valuable inputs regarding definition of the market price level of these measures in Slovak residential sector. Action plan to use the results: We would like to use results of the Governmental Program for Thermal Insulation as a part of data for providing inputs to the tool. Data will be obtained through personal contacts in the administration body – the State Fund for Housing Development.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

117

©ENERFUND

II.33 Promotion of energy efficiency and use of renewable energy sources in households and public sector Reporting country Period covered: 2008-2015

Slovenia European funded project National grant schemes

National funded project Other ( )

Name of organisation involved : Jozef Stefan Institute – Energy Efficiency Centre Tel: +386 1 588 54 19

Email: [email protected]

Website: http://www.rcp.ijs.si/ceu/sl

Description of the activity/initiative: Two important documents were adopted in 2015 for the promotion of energy efficiency and use of renewable energy resources in buildings.In accordance with Article 331 of EZ-1, the 6 Action Plan for nearly-zero buildings for the period up to 2020 (AP nZEB) was adopted in April 2015 which includes targets in regard to nearly-zero construction of new buildings, renovation and programmes and measures for achieving these targets. By the end of 2018, all new buildings owned and used by public institutions must be nearly-zero energy buildings, and by the end of 2020, this rule will apply to all new buildings. In accordance with Article 348 of EZ-1, the Long-term Strategy for promoting investment 7 into energy renovation of buildings (LTSERB) was adopted in October 2015 by way of which Slovenia has set a goal to significantly improve the energy efficiency of buildings. The Strategy's basic scenario anticipates the level of an integrated energy-renovation of residential buildings to be set at 2% and in the public sector at 3%, and sets its strategic goal to achieve nearly zero-carbon buildings by 2050. In May 2015, the Action Plan for energy efficiency for the 2014–2020 period (AP-EE 2020) 8 was adopted in which measures for more efficient use of energy in residential and public buildings are defined; the same applies for the Operational Programme of measures for reducing GHG emissions by 2020 (OP GHG 2020) which was adopted in December 2014. Likewise, in December 2014, the OP ECP programme was approved which under the fourth priority axis "Sustainable use, energy generation and smart grids" supports the energy efficiency and exploitation of RES in public buildings and in the residential sector. Promotion of energy efficiency and use of renewable energy sources in households: The main measure for promoting energy efficiency and use of renewable sources of energy in households continue to remain financial grants allocated by the Eco Fund, the Slovenian Public Environmental Fund, for such investments in one-apartment and two-apartment buildings since 2008, and since 2009 for multi-apartment buildings. In the 2013–2014 9 period, there were four public calls to tender published and the set of measures differ in regard to the year and the invitation to tender. Funds for grants are collected by means of a contribution paid per energy use in order to increase energy efficiency, and from 2014 onwards, funds from the Climate Fund are also made available by the Eco Fund in the said tenders. Promotion of energy efficiency and use of renewable energy sources in the public sector: In the 2013–2014 period, EE and RES utilization in public sector was promoted mostly by 6

Action Plan for nearly-zero buildings for the period up to 2020 (AP nZEB), Government of the Republic of Slovenia, April 2015 7 Long-term Strategy for promoting investment into energy renovation of buildings (LTSERB) Government of the Republic of Slovenia , October 2015. 8 Action Plan for energy efficiency for the 2014 – 2020 period (AP-EE 2020), overnment of the Republic of Slovenia, May 2015. In case of one-apartment and two-apartment buildings and apartments in three and multiapartment buildings, the public invitation to tender Nos. 18SUB-OB13 and 24SUB-OB14, and for multiapartment buildings, the public calls to tender Nos. 19SUB-OB13 and 25SUB-OB14. 9

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

118

©ENERFUND

grants for energy renovation of buildings provided from the Cohesion Fund within the scope of the OP ETDP 2007−2013. Main Outcomes and Results: Results of promotion of energy efficiency and use of renewable energy in households: In the 2013–2014 period, by means of EUR 42,7 million of grants allocated by the Eco Fund, the investments in households with the value totalling EUR 252,9 million were supported, thus reaching the annual reduction of the final energy consumption by 326,3 GWh, and CO 2 emissions by 47,1 kt. Investments, which had received favourable loans granted by the Eco Fund, achieved additional 16,9 GWh of final energy savings at the annual level, CO 2 emissions were reduced by 2 kt, while within the scope of the programme 10 the final energy consumption was reduced by 10 GWh, involving large energy suppliers and CO 2 emissions by 3 kt. In total, in the 2013–2014 period, a solid 353 GWh/a of savings in final energy consumption was achieved by households, and 52 kt/a of savings in CO2 emissions. All of the above mentioned measures will continue to be implemented in the period leading to 2020; additionally, some funds for increasing energy efficiency in households have been planned within the scope of OP ECP, specifically, funds intended for energy-saving restoration of multi-apartment buildings, special measures for energy restoration of households faced with energy poverty issue and implementation of demonstration projects for integrated energy renovation of multi-apartment buildings following the criteria of nearly-zero energy renovation. By the end of 2023, the annual energy savings should increase by a solid 100 GWh, as a result of these measures. Results of promotion of energy efficiency and use of renewable energy sources in the public sector: In the period of two years, the total of EUR 114 million of grants were allocated within the scope of various calls to tender to 244 projects achieving the reduction of final energy consumption by poor 112 GWh per annum, and in regard to CO2 emissions reduction, a solid amount of 31 kt was reached. In 2013, funds from OP ETID contributed to the implementation of the majority of projects promoted within the scope of the public call for financing operations for energy efficient renovation of public lighting system for the 2011−2013 period, as a matter of fact, 20 projects received EUR 2,5 million of grants, thus reaching the reduction of electricity consumption by 10,7 GWh, and CO2 emissions by 5,3 kt. Some grants for low-energy or passive construction or the renovation of community-owned buildings in which educational activities are carried out were allocated from the Eco Fund, within the scope of its 2012 invitation to tender. In the 2013–2014 period, EUR 3,2 million were allocated to support 8 projects, saving 2,6 GWh of final energy, and 0,6 kt of CO 2 emissions. In total, the 2013–2014 period saw the public sector reaching a reduction of 125 GWh/a in final energy consumption, and 37 kt/a of savings in CO 2 emissions. In the period up until 2020, favourable loans granted by the Eco Fund will continue to be available to the public sector, together with grants available within the scope of the scheme for mandatory final energy savings for companies selling energy, and programmes provided by the European Regional Development Fund. Relevance and usefulness of outcomes for ENERFUND: Results of the activities for promoting energy efficiency in public and household building sector have been presented in previous chapter (Main outcomes and results). Potential contribution for the purposes of the Enerfund is set on data supply regarding building stock renovation intensity and activities: available financial sources in certain renovation programmes, triggered & achieved energy and financial savings, status quo of buildings and the possibility of potential renovations of building stock etc.

The 2014 data on the implementation of programme for large operators were not included as these were not available during the development of this report.

10

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

119

©ENERFUND

Links to relevant publications: •

Slovenia’s Second Biennial Report Under the United Nations Framework Convention on Climate Change

•

Long Term Strategy for Mobilising Investments in the ENERGY RENOVATION OFBUILDINGS

•

National Energy Efficiency Action Plan 2014–2020(An Ure 2020)

•

National Renewable Energy Action Plan 2010-2020 (Nreap) Slovenia

•

National plan for increasing the number of nearly zero-energy buildings

Action plan to use the results: Obtained results from the grants, funds schemes and other activities for promoting energy efficiency in building sector are easily accessible due to exemplary cooperation with Ministry of infrastructure and spatial planning. They can be used for Enerfund in a way for creating energy performance certification scheme of individual units, certain building stock areas or regions. In this way a detailed focus can be given to problematic areas with significant potential of renovations and therefor creating wide data base for designing suitable financial renovation tools. Further information needed for the project are supposed to be obtained directly from the responsible ministries and other involved entities (Building and civil engineering institute – ZRMK).

II.34 Energy Performance Certificates Across the EU – Mapping the National Approaches Reporting country

Spain

Period covered: European funded project National funded project 2011, 2013 National grant schemes Other (Report) Name of organisation involved : BPIE Tel: +32 (0) 2 789 30 00 Email: [email protected] Website: http://bpie.eu/ Description of the activity/initiative: With the EPBD recast (2010), Member States (MS) were asked to revise their national legislation regarding the EPC schemes in place and to further improve them on a broad range of aspects, including: Introduction of an independent EPC control system (art. 18); -

Assuring the competence of the certifiers in the accreditation procedure (art. 17);

-

Introduction of penalties for non-compliance, including for poor quality of the EPCs (art. 27);

-

Increasing the availability of EPCs in sale and rent transactions and the visibility of the energy label in commercial advertisement (art. 13). This study aims to evaluate the implementation status of the EU legislation in EU-28 and Norway by focusing on the quality, availability and usability of EPC data and providing examples of good practices. Based on this in-depth assessment, policy recommendations are provided to further exploit the potential benefits from having a well-implemented quality assurance system and centralised EPC registers.

Main Outcomes and Results: The following recommendations can be made: - There is a need to consistently improve the enforcement of the EPC schemes in Member States and strengthen the monitoring of their compliance both at Member State and European levels. - There is a need to strengthen the role of EPCs in the context of national legislation, D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

120

©ENERFUND

-

-

especially for renovation policies and programmes. There is a need to introduce further quality assurance measures, especially during the early stages of the certification process, as follows: The requirements for qualified and/or accredited experts strengthened and harmonised across Member States. The certifier needs to be physically present onsite (for existing buildings) to gather the technical information required for the certification process. Digital tools for quality checks of the EPC data should be used, such as plausibility check in the calculation software and/or the EPC registers. There is a need for further enforcement and harmonisation of the EPCs quality checks across Member States. There is need for guidance in the development of centralised EPC registries, not only to support the independent control system, but as a tool to map and monitor the national building stock. There is a need to promote the effective use of the EPC data. Finally, there is a need for independent evaluation of the effectiveness of the EPC scheme.

Relevance and usefulness of outcomes for ENERFUND: Although it is not formally required by the EPBD, all MS have considered the establishment of the EPC registers (databases); in most countries a centralised system of data collection has been created at the national level while; in other Member States there are (also) regional systems according to the specific administrative organisation of the country. The ENERFUND Member States which follow a regional approach to EPC registers: the UK, Spain and Austria. Indeed, there are separate databases by building type (for residential and non-residential buildings) in the United Kingdom. In the following figure the EPC registers across Europe can be seen:

In most countries with operational databases, information gathered consists of key indicators presented in the EPC, including: • • • • • • •

Reference information e.g. registration number, building type, name of the owner, year built. Buildings geometry e.g. useful floor area, heated floor area. Type of EPC, i.e. calculated or measured, period of validity. Energy performance information e.g. energy label, annual energy consumption per end-use. Recommendations and expected energy savings. Other e.g. GHG emissions, share of RES, energy losses, the transaction price etc. Energy assessor details e.g. name, registration number.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

121

©ENERFUND

The level of publicly available information in EPC databases varies between Member States. In some cases open access to selected EPC information is provided directly from the database (ENERFUND: in Ireland, parts of the United Kingdom - England and Wales); whereas in others, only aggregated results are made publicly available (ENERFUND: Greece, Cyprus and Romania). In several countries access to EPC information is provided to third-party organisations upon request, mainly for research and (sometimes) commercial purposes. In some countries (i.e. ENERFUND: Bulgaria and Cyprus) there is no public access to the EPC database. Complete access to the core of the database, meaning access to all raw data, is not provided by any MS due to private data protection issues. With growing experience of managing a database, additional functionalities are developed to improve transparency and tackle the issue of data privacy. Examples of the EPC databases are provided for the following ENERFUND member states: Ireland, Slovakia and United Kingdom. Regarding the main outcomes, then good examples for some of the ENERFUND countries: •

• •

The requirements for the qualified experts should be harmonised across Member States. Their competences should be verified and continuous development programs should be offered. The system implemented in Ireland serves as a best practice example in this field: it offers a check of the certifiers based on the penalty system points. In addition a certifier needs to pass mandatory exams every two years to extend the licence, while in Bulgaria every three years. Errors in the input data are among the most typical factors that influence the quality of the EPCs. For example, in Ireland, the first plausibility check on EPC data is conducted before the certificate is officially issued. The monitoring of Art 5 of the current EED can be easily supported. In some countries, such as Bulgaria, there is a dedicated EPC register for public buildings and public procurement obligations. Those databases are available to the State for monitoring and reporting processes.

http://bpie.eu/uploads/lib/document/attachment/81/BPIE_Energy_Performance_Certificates_EU_map ping_-_2014.pdf Action plan to use the results: Use this information for T2.2: Analysis of the EPC implementation on real estate market and T3.1: Definition of key data from EPC and open data to cover the needs identified in WP2

II.35 Energy Performance Certificate & Low Carbon Consultant Design Training by CIBSE – United Kingdom Reporting country

Spain

Period covered: September 2015 - July 2016

European funded project National grant schemes

National funded project Other (Training Course)

Name of organisation involved : The Chartered Institution of Building Services Engineers (CIBSE) Tel: 5211

+44 (0)20 8675

Email: [email protected]

Website: http://www.cibse.org/

Description of the activity/initiative: It is a course designed for those wishing to become Low Carbon Consultants and also those who want to gain accreditation as Low Carbon Energy Assessors able to produce Energy Performance Certificates. The course covers the following: • • • • •

The Energy Performance of Buildings Directive Calculating Carbon Performance Part L - L2A & L2B High Efficiency Systems Energy Performance Certification

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

122

©ENERFUND

• •

Energy Assessor Responsibilities Energy Efficiency in Buildings

To become an LCEA to Produce Energy Performance Certificates (EPCs): for those that are hoping to accredit as an EPC assessor it is important that they complete an expression of interest form, before they complete a training course. Prices: • •

CIBSE Members: £500 + VAT (£600 total) Non CIBSE Members: £560 + VAT (£672 total)

Providing they pass an exam at the end of the course they can join the LCC register. Main Outcomes and Results: A public register to find Low Carbon Energy Assessors who are able to produce EPCs is available online. Relevance and usefulness of outcomes for ENERFUND: As for "certified installers of biomass boilers" it may become evident that a database on “accredited Low Carbon Energy Assessors” is an important factor for promoting financing for deep renovation of buildings T3.1: Definition of key data from EPC and open data to cover the needs identified in WP2. Action plan to use the results: It can be used to support T2.2: Analysis of the EPC implementation on real estate market.

II.36 2016- Implementing the EPBD – Featuring Country Reports Reporting country

Spain

Period covered: European funded project National funded project 2012-2015 National grant schemes Other (Book) Name of organisation involved : Concerted Action EPBD Tel: Email: Website: http://www.buildup.eu/en/freeauthors-tags/concerted-action-epbd Description of the activity/initiative: This is the 4th book in a series that started in 2008. It builds upon the book “Implementing the Energy Performance of Buildings Directive (EPBD) – Featuring Country Reports 2012”, highlighting the important advances achieved across the EU in implementing the EPBD in the period 2012-2015. It is however a self-standing book, as it contains all the pertinent updated information for each country, i.e., it does not call on previous editions for information. This book is addressed to local/regional/national authorities and facilitators and building professionals. It demonstrates the positive effect of the dialogue and exchange of best practices of implementation of regulations between the Member States, on topics in the field of certification schemes, inspection themes, training, nearly zero-energy buildings, compliance and control, support initiatives and energy performance requirements and cost optimum methodology. In part A, experts in each thematic area offer good technical discussions of the issues, provide statistics, and list possible solutions and recommendations. This part describes the main accomplishments and the remaining challenges on a selection of major topics covered by the EPBD across Europe, as well as conclusions and recommendations for the upcoming review of the EPBD, expected for 2016/2017, following the discussions that took place at the Concerted Action EPBD. This part consists of the following chapters: • • • •

Certification Inspections Training Energy performance requirements using Cost-optimal levels

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

123

©ENERFUND

• • •

Towards 2020 – Nearly Zero-Energy Buildings Compliance and Control Effectiveness of Support Initiatives

In part B, country reports describe the status of implementation in all 28 EU MSs and in Norway. There it can be found valuable information about how each country dealt with each EPBD requirement. The individual national and regional reports contain a snapshot of the status of implementation at the end of 2014 or, in other cases, sometime during 2015. CERTIFICATION This report summarises lessons learned regarding the certificate’s content (layout and information included, acceptance of the certificate by the real estate sector, use of the certificate data for monitoring processes etc.), the certification process itself, and the use of the certificate in advertising buildings offered for sale or rent, or frequently visited by the public. The key objectives of this report are described below. -

Key objective 1: Providing an overview of existing solutions Key objective 2: Providing an overview of aspects MS should pay more attention to

This report also presents an overview of the following topics, summarising opinions, solutions, challenges, and opportunities for future development: -

-

-

EPC and the real estate sector: · Requirements of advertising and the role of real estate agents · Display of energy certificates · Making the EPC more user friendly for the general public Validity of EPCs: · Use of default values and calculation of realistic energy savings · Mandatory provision of recommendations for improving energy efficiency · The tradeoff between EPC cost and content Making the best use of EPCs: · Examples of Member States making use of EPC databases · EPC as a supporting document for subsidies related with energy efficiency

Main Outcomes and Results: Regarding CERTIFICATION, the main outcomes are given for several topics. For each of them a conclusion of topic and future directions are given as follows: -

Requirements of advertising EPC indicators  guidelines together with the real estate sector Access for real estate agents and the public to EPC databases  parts of EPC databases are necessary Display of energy certificates  must be clarified in national laws Use of the EPC and meaning of the indicators  friendly Making the EPC user friendly ons  Te should be on the first pages The estimation of buildings’ realistic energy consumption  Trainings and national guidelines are necessary to enable experts to determine realistic default values for energy savings calculations that are closer to reality Trade-off between high degree of standardisation (low cost EPC) and tailor-made  EPCs (high cost EPC) energy efficiency The EPC as a supporting document for subsidies  must be ensured that EPCs are calculated correctly and that the building is constructed as designed Examples of good use of data from the national / regional EPC databases  should link the EPC-databases, in order to tap the full potential for decision-making and policy development

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

124

©ENERFUND

Some of the Lessons learned and recommendations are: -

-

The EPCs’ potential to create sustainable awareness depends mainly on two aspects: first, that an EPC is actually issued, and second, that EPC indicators are correct, in order to build trust in the EPC as a reliable information tool. Display of an EPC in public buildings and buildings frequently visited by the public is also important. The presence of energy indicators in the media contributes to customers’ awareness of and demand for energy efficient buildings. It is important to engage the stakeholders, namely real estate agents and their associations, but also print and electronic media, in the process of developing guidelines. Accessing EPC databases and making use of EPC data offers interesting opportunities, which have to be considered as well. Investment in building renovation opens new opportunities for new services. For this purpose, it could be useful to provide at least limited access to EPC databases because new services can only be developed if comprehensive data analysis is possible. Combined EPCs consisting of asset rating and operational rating represent a cost‐ efficient approach to provide realistic information about the actual building energy consumption. The EIB should request EPCs as mandatory proof for the projects that they finance, before and after the renovation, as the EPC indicates the building‐related energy demand, CO2 emissions, and renewable energy use. The EIB’s use of the EPC will contribute to the EPC’s solid reputation and will also provide an added incentive for MSs to comply with the EPBD.

Relevance and usefulness of outcomes for ENERFUND: Lessons learned from this report support the rationale of ENERFUND. A useful extract for each country can be: Austria: A specific national database (GWR), where all EPC data is going to be registered, is under preparation. Bulgaria: A significant proportion of buildings’ energy demands shall be met by Renewable Energy Sources (RES) systems installed on or around the buildings. The National Programme for Energy Efficiency of Multi‐family Buildings is in the process of being implemented. Cyprus: In order to accelerate renovations, the MECIT has commenced the scheme 'Save – Upgrade' which is focused on existing buildings of all kinds. The scheme also offers the option to renovate further and reach the NZEB national definition and receive more funding. Denmark: In May 2014 the Danish government launched a comprehensive strategy for energy renovation of the existing building stock, compiling initiatives to promote and improve energy renovation of buildings. Initiatives include, among others, an upgrade of the energy requirements for buildings and building parts, reinforcing of information activities, enhancement of data availability, financing, compliance, and steps to making the energy performance certificates more robust and ensure the further support of the energy renovation of buildings. France: The next significant step of the French thermal regulation, set for 2018, will be energy positive buildings, since they will be at the core of the new regulation. Greece: A centrally operated national system of issuing EPCs is in place in Greece and is run by the MEECC. All information required for the calculation of each EPC and used at the first level of quality control is stored in an electronic database. Ireland: The IT system must meet the growing need for access to critical information by stakeholders and emerging Government policies, such as the Public Service Reform Plan 2014 – 2016 and the eGovernment Strategy 2012 – 2015 (Digital Mapping and Geographic Information Systems; ensure that public service data is available for reuse). Romania: The national plan established thermal rehabilitation targets regarding: government buildings; public buildings; apartment buildings; single‐family housing. The Regional Operational Programme 2014‐2020 provides potential investment funding for public buildings, residential buildings

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

125

©ENERFUND

and public lighting. Slovakia: A register of EPCs and inspection reports has been established, as well as a register of experts. Slovenia: The e‐registry of EPCs is informally and provisionally used as a national electronic database of EPCs in Slovenia. Within 2015, the data from this tool was integrated in the official eregistry of EPCs linked to the building cadastre. Spain: One of the main success stories has been the development and implementation of programmes aimed at energy savings in buildings. A grant‐financing scheme for building renovation in Spain, the “PAREER” programme started in 2013. United Kingdom: an EPC register was established in 2008, at the same time as the EPBD requirements were first implemented in England and Wales. It is a legal requirement to enter the EPBD document on the register before giving it to the person who requested it. Action plan to use the results: The information can be used to task T3.1: Definition of key data from EPC and open data to cover the needs identified.

II.37 RENEW SCHOOL Reporting country

Spain

Period covered: European funded project National funded project March 2014 - February 2017 National grant schemes Other ( ) Name of organisation involved : AEE - Institute for Sustainable Technologies (AT) Passiefhuis-Platform vzw (BE) Holzcluster Steiermark GmbH (AT) Trentino Technological Cluster (IT) Wood Industry Cluster (SI) Technical University of Denmark (DK) Asplan Viak AS (NO) National Energy Conservation Agency (PL) Chalmers tekniska högskola (SE) Fraunhofer-Gesellschaft zur Förderung der angewandten Forschung e.V. (DE) Informest - Centro Di Servizi E Documentazione Per La Cooperazione EC (IT) Autonoom Gemeentebedrijf Stedelijk Onderwijs Antwerpen (BE) Politecnico di Milano, Dipartimento di Energia (IT) Tel: 369

+43 (0)3112 5886-

Email: [email protected]

Website: http://www.renewschool.eu/en/home/

Description of the activity/initiative: School buildings are places of major public interest. Our children are educated in life’s basics, in some schools beyond that. Therefore not only the educational system itself, but also the conditions of these buildings are very important signals to the public, even to the pupils themselves. Schools were mostly built between 1950ies and 1980ies. Beside educational aspects the school buildings are presently in high need of renovation. Together with the discussions about future education the topic is on the political agenda. But even when the school buildings are in poor condition most of the school owners lack of financial resources to retrofit them in a comprehensive way. The RENEW SCHOOL project aims at retrofitting a great amount of school buildings to highest nearly zero energy buildings (nZEB) standards. It will, by promoting appropriate tools and measures, help to downsize the energy use significantly as well as create and secure comfortable conditions for the pupils and teachers. Sustainable school renovation actions build on following three focus points promoted by this project (the “RENEW SCHOOL way” of renovation): -

Improvement of the building’s envelope by coating it with insulated prefabricated timber modules including wooden frame windows, solar shading and ventilation

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

126

©ENERFUND

-

components. Improvement of the indoor environment quality (IEQ) by ventilating, passive cooling and daylight upgrading the classrooms. Improvement of the energy generation on site by using active renewable energy sources, beside the passive gains, integrated in the school buildings.

Even more important is supporting decisions for best renovation practice by offering good examples, new ideas and technologies in the field of school renovation and its funding schemes, and last but not least a suitable platform to exchange these knowledge and experiences. Country partners: Austria, Belgium, Italy, Slovenia, Denmark, Norway, Poland, Sweden, Germany. Overall budget: 1,656,534 €. Main Outcomes and Results: The project hasn’t finished yet, so for the moment, these are the main available results: -

D5.1 - Existing school renovation initiative´s database - Part I. A database is available with the following information: Building typology Energy data Ventilation Financial data Timing User’s feedback B 3,/ � -� Cvgqrgl e� qaf mmj� pc l mt _rgml � gl grg_rgt c � ́ s database – Part II. A database with the main organization/initiatives in each country is available there.

Their goal is promoting appropriate tools and measures that help to downsize the energy use significantly. Relevance and usefulness of outcomes for ENERFUND: For D5.1 - Part I. a database is available with the following information: -

-

-

Building typology: function of the building before and after retrofit, year of original construction, year of the retrofit’s finish, total floor area before and after retrofit, total number of building floors, if there are any prefabricated elements used, basic material prefabricated modules, regularity of prefabricated elements, additional works while retrofitting the building shell Energy data: measured final energy consumption before and after retrofit; calculated final energy demand after retrofit; heating demand before and after retrofit; percentage of reduction of final energy demand that was achieved; percentage of reduction of final heating demand was achieved; description of the energy sources used; location of renewable energy production; percentage of renewable energy to the final energy demand;measures taken to achieve the energy-reduction; calculated CO2-reduction in operation; if there was a solar shading system applied; if there were mainly renewable insulation materials used. Ventilation: description of the ventilation system (e.g. natural, mechanical or hybrid ventilation, central unit or decentral unit, one duct or dual duct systems, automatic or manual window opening, façade valves ); location (e.g. urban, rural, suburbs, distance to highway, distance to fossile power plant); ventilative cooling (e.g. night ventilation, free cooling, natural or mechanical or combination, cooling coil, chilled ceiling etc.); if the indoor air quality was part of design strategy; calculated air flow (e.g. Building Code requirements); measured air flow or air change rate; demandcontrolled ventilation (e.g. from sensed values of temperature, CO2 or presence in room); room air supply and location (e.g. ceiling diffusors, walll grilles, perforated airducts, displacement, window opening etc.); number of persons in classroom; sensors (e.g. CO2, temperature, presence); window orientation; window material; glazing; shading; heat recovery type and efficiency; measured electricity year consumption of the ventilation system; if there are efficiency entities; filter type and replacement frequency; cleaning; floorslabs; floor covering.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

127

©ENERFUND

-

-

-

Financial data: total cost per m2 gross floor area (excl. VAT, arch. & engineering cost); cost per m2 façade area (excl. VAT, arch. & engineering cost); total cost / m2 of the energy measures taken; payback time in years of the energy measures (not including other investments in the building renovation); total cost / m2 of the ventilation measures taken; additional cost: architect, engineering, other;total cost (excl. VAT; incl. arch., eng. & other costs; VAT;description of the cooperation model used for financing Timing: time between initial decision and start of tendering, time necessary for tendering; time used for planning; time used for production off-site; time used for installation on-site; time the building could not be used; if the retrofit was done mainly during school holidays; if shorter on site works, the amount of weeks less than classical renovation; Users' Feedback: key words of the building owner’s, financing bodies’s, building users’s and architects' feedback. D5.1 - Part II. A database with the main organization/initiatives in each country is available.

The deliverables are available on: http://www.renew-school.eu/en/links/download-area/ Action plan to use the results: All these data can be part of the analysed data for task 3.1 whose aim is to analyse which data would be needed for the methodology for the development of the tool (ENERFUND) that will facilitate the financing for deep renovation of buildings.

II.38 ZEMedS (Zero Energy MEDiterranean Schools) project Reporting country

Spain

Period covered: European funded project National funded project 2013-2015 National grant schemes Other ( ) Name of organisation involved : ASCAMM Private Foundation (ES) Coordinator ANCI TOSCANA National Association of Italtian Municipalities of Tuscany (IT) Educational Department of the Generalitat de Catalunya (ES) Eurosportello Confesercenti (IT) FUNDITEC Foundation for Development, Innovation and Technology (ES) Gefosat (FR) Local Energy Agency of Montpellier (FR) Municipality of Peristeri (GR) National and Kapodistrian University of Athens (GR) Province of Ancona (IT) Tel: +34 935 944 700 Email: [email protected] Website: http://www.zemeds.eu Description of the activity/initiative: Target group: Local/regional/national authorities and facilitators, Building professionals, Building occupants. Overall objectives: ZEMedS’s project (Zero Energy MEDiterranean Schools) is a 3-year project co-funded by the European Commission within the Intelligent Energy Europe Programme (IEE) that promotes the renovation of schools in a Mediterranean climate to be nearly Zero-Energy Buildings (nZEB).The main goal of ZEMedS is increase the knowledge and know-how on the nZEB renovation of schools in Mediterranean climates and give support to several new initiatives on the nZEB refurbishment of schools in Mediterranean climate regions. Specific objectives: -

Toolkits. Development of high quality toolkits focused on technical and financial aspects of the nZEB renovation of schools in Mediterranean climates. (They have

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

128

©ENERFUND

been applied to 10 case studies) -

Case studies. Development of 10 case studies with extensive details on solutions for the nZEB renovation of schools.

-

Tendering specifications. Development of 5 nZEB tendering specifications, that will be voluntarily adopted by at least 5 public authorities partners of 4 Mediterranean countries.

-

Support new initiatives. Support up to 40 new nZEB initiatives on renovation of schools with the nZEB goals in Mediterranean countries.

-

Trainings. Organization and hosting of 60 trainings and 5 capacity building events, and participation to 8 international conferences.

Overall Budget: 1,294,534 € There main barriers addressed by the project were: -

Lack of knowledge within the building industry to develop NZEB renovation models in a Mediterranean climate.

-

Public sector doesn’t have enough tools to achieve NZEB renovation, especially in terms of design and procurement.

The project has developed technical documents as well as toolkits to support the renovation process. Designers and other professionals in the building industry have been trained on the use of the new approach. The project involves the partners directly in charge of the management of schools Main Outcomes and Results: -

Implementation of 5 new NZEBtendering specifications to be used by the school portfolio managers. 40% of the relevant managers and policy makers have attended a training or capacity building event; The existing knowledge on tendering methods plus the relevant techniques tested in the project have been analysed, filtered and translated into 5 tendering specifications (1 per participant region) where all information on the optimum tendering to convert existing schools into nZEB are given. The specifications include all technical, financial and economic information and are a specific roadmap for decision makers

-

Development of a series of NZEB Toolkits which focus on technical and financial aspects of NZEB renovation of schools buildings in Mediterranean coastal climate, including packaged solutions with market components. The toolkits have been analysed in a series of 10 case studies and the launch of 40 more buildings by the end of the project; The case studies are from existent schools that don’t fit the minimum energy standards and need a renovation. The impact, applicability, cost, time efforts etc. associated to nZEB renovation of these schools have been evaluated

-

Training 4650 school policy makers and building designers on NZEB refurbishment of schools in Mediterranean climate, through 5 capacity building events (including seminars, conference, workshop, site visits etc.) and 60 regional training events;

-

Participation on 8 international conferences, with around 1200 people of target audience;

-

Dissemination of the NZEB concept and schools retrofitting to more than 100.000 school users and participation in 8 international events to promote the concept beyond the Mediterranean region.

Relevance and usefulness of outcomes for ENERFUND: Project partner’s countries that are also present at ENERFUDN consortium are France, Greece and Spain. School toolkits have been designed to be a guideline for Regional Public Institutions,

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

129

©ENERFUND

Decision Makers and Professionals that are looking for information on techniques and financial resources and mechanisms to implement nZEB renovation initiatives in schools.

http://www.zemeds.eu/sites/default/files/TOOLKIT_anci_140115_v9.7%20%281%29.p df All 10 case studies are described in the following way: General data: name of the school type of school owner number of pupils year of construction building typology heated area heating degree days cooling degree days site Current situation: renovation needs building use utilization rate building surroundings building envelope: walls, roof, ground floor, windows airtightness heating/cooling ventilation lighting appliances Domestic Hot Water (DHW) cooking current final energy consumption health and comfort: summer comfort, interior air quality, visual comfort running cost nZEB renovation design approach ZEMedS goals methodology in energy simulations national regulation results: final energy, primary energy global cost and payback for renovation scenarios payback for the renovation implemented Summary results: current situation vs. results of the nZEB renovation under ZEMedS goals All these data are important to document the conditions needed to facilitate the financing for deep renovation of buildings. In the report ‘Energy results for case studies renovations’ an overview of the case studies selected is given. Then, the methodology for the development of case studies is explained and a table with a summary of the packages of measures for the case studies and energy results and paybacks: http://www.zemeds.eu/sites/default/files/Energy_results_for_case_studies_renovations.pdf From the conclusions we can summarise that: - A typical Mediterranean school built in the period 60‐80’s may consume around 110 kWh/m2/y (final energy), count with many overheating hours, has glare problems and inefficient ventilation;

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

130

©ENERFUND

- With the suggested measures, classrooms used during summertime reduce overheating hours to less than 40h; - There is a lack of information of the costs in maintenance and replacements concerning the existing building; - The payback periods are not less than 20 years for deep renovation works carried out in a unique stage; for work plans in different stages it takes more than 50 years - Although improving building efficiency is often profitable, investments are hindered by barriers Action plan to use the results:

II.39 Low Energy Apartment Futures (LEAF) project Reporting country

Spain

Period covered: European funded project National funded project 2013 - 2016 National grant schemes Other ( ) Name of organisation involved : Changeworks- Scotland, UK (coordinator) ALE Lyon- France Centre for Sustainable Energy (CSE) - England, UK e7- Austria Energiaklub - Hungary FLAME- France Fraunhofer Institute for Building Physics (IBP) - Germany Uppsala University - Sweden Tel: +44 131 538 Email: Website: 7954 [email protected] http://www.lowenergyapartments.eu/ Description of the activity/initiative: Low Energy Apartment Futures (LEAF) is a European-wide project aiming to improve the energy efficiency of apartment blocks by overcoming a number of key barriers to retrofitting these properties, such as the limitations of Energy Performance Certificates (EPCs), as well as the difficulties associated with buildings under multiple ownership. LEAF provides a holistic and innovative approach to making apartment blocks more energy efficient. It takes owners through a logical step-by-step process to improving their building, providing guidance and information at every step. In the context of this approach, LEAF has developed two toolkits and is applying them on 24 case study buildings across six European countries (Austria, France, Germany, Hungary, Sweden, and the United Kingdom - England and Scotland). The key objectives of LEAF were to: 1. Demonstrate that EPCs can be used to produce whole-building action plans which deliver over 30% CO2 savings for apartment blocks 2. Demonstrate how additional CO2 savings can be delivered for communal areas and common building systems (heating, lighting and renewables) 3. Demonstrate how owners of individual dwellings within apartment blocks can collectively agree, commission and secure finance for the delivery of whole-building action plans 4. Remove barriers to the adoption of whole-building action plans to enable significant CO2 savings, demonstrating they can be compatible with policy objectives related to preserving historic urban buildings. In order to achieve these objectives the project planned to: - Produce toolkits to support key stakeholders in identifying suitable energy efficiency measures and progress them to install - Work with 24 case study buildings to demonstrate how retrofit projects can take place and pilot the toolkits - Draw on findings from the case study buildings to create a list of policy recommendations for national and EU policy makers.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

131

©ENERFUND

Target Group: Building professionals, Building occupants Overall budget: 1,009,322.00 € Main Outcomes and Results: LEAF TOOLKITS: Engagement toolkit. The goal of the engagement toolkit is to raise awareness of the benefits of retrofitting apartment blocks and provide a ‘helping hand’ to individuals who want to launch these investments but do not know where to start or how to persuade residents. The guide summarises the most important steps of the planning and decision making process, the stakeholders who should be involved, as well as the challenges and difficulties that might arise while preparing or implementing the project. It offers potential solutions for these actions, provides best-practice guidelines and recommendations to aid decision-making. Technical toolkits. The aim of the technical toolkit is to support decision making in multi-occupancy apartment blocks on a technical basis and therefore complement the engagement toolkit. Users can support their decisions by looking at the potential for behaviour change or the implementation of technical measures. At the start of the project the intention was to create a toolkit which assimilated EPC data from multiple dwellings in a block to create a whole building EPC, including recommendations for communal areas of the building. However it quickly became apparent that such a tool was not required in most of the LEAF partner countries because EPCs at the individual dwelling level are only regularly carried out in two countries (UK and France). Therefore the scope of the toolkit was changed to focus on a tool that provides technical assistance and adds information to the existing EPCs (multiple dwellings or whole block), including potential savings from communal areas. Nevertheless a communal EPC tool was created for France and the UK, as planned. This assimilates multiple individual dwelling EPCs into a whole block EPC and is available as an excel tool on the LEAF website. Relevance and usefulness of outcomes for ENERFUND: Involved countries from ENERFUND: Austria, France and UK. EPC evaluation: Views on EPCs were gathered, since EPCs play a major role in energy retrofit. From the perspective of owners, residents and stakeholders involved in LEAF, EPCs are seen as having a limited impact in terms of triggering retrofit in multi occupancy buildings. The quality of EPC recommendations and difficulty residents faced in understanding EPCs was seen as a major weakness. Nevertheless, some aspects of the EPC are assessed as positive, such as the presentation of energy performance ratings (e.g. A to G) which enables a good understanding of the energy efficiency of the building as a whole. Final report: Improving the energy efficiency of apartment blocks http://www.lowenergyapartments.eu/wpcontent/uploads/2016/03/LEAF_Final_Report_D1.1_Mar16.pdf Communal EPC tool for France and UK: a toolkit which assimilated EPC data from multiple dwellings in a block to create a whole building EPC, including recommendations for communal areas of the building Action plan to use the results: Data from the EPC_Communal toolkit can be analyzed for task 3.1.

II.40 ACCENT Reporting country

Spain

Period covered: European funded project 2014-2016 National grant schemes Name of organisation involved : ENGIE (France) ESRI(Switzerland Numtech(France) InstitutoValenciano de la Edificación (IVE) (Spain) ASTER (Italy)

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

132

National funded project Other ( )

©ENERFUND

EIVP(France SINERGIS(Italy) arx IT (France) INNDEA(Spain) Tel: + 33 1 49 22 49 71

Email: [email protected]

Website: www.accentproject.com

Description of the activity/initiative: The main objective of the project is the development of a new and innovative tool that will allow local public administrations to define energy strategies at city scale based on the estimated energy consumption of the buildings of the city, as well as to facilitate the monitoring of actions defined to carry out these strategies.The tool will allow viewing all this information, geolocated, through a GIS system. The initiative addresses all the stakeholders involved in the energy transition toward more efficient buildings and the implementation od new renevable energy systems at the city: Local Public Administrations, Citizens and Companies with their core business on that matter. To get it, the tool will offer specific interfaces and services to them through the ACCENT tool, based on a web platform. ACCENT tool is being developed and tested in 4 pilot cities, Paris, Valencia, Reggio-Emilia and Ferrara. The development of the tool has prior required the analysis of: availability of statistical data related to building characteristics and its energy systems (scale of aggregation of the data, costs, formats, others) availabilty of real energy consumption at city scale (owner of data, scale of data, privacy and legal requirements,...) other tools already in the market, working on the issue (format of data and additional services offered) the stakeholders willingness, and interest on the tool. Global budget: 2.153.000 € Main Outcomes and Results: ACCENT tool will be available for every cities before the end of 2016. The tool will enable the city to locate the zones where refurbishment is a priority. The platform detects the quarters whose buildings have low energy efficiency and the zones or areas of the city that have a high percentage of domestic energy poverty. Based on these data, local government authorities can then prioritise their investments according to real, objective data, for more-effective public action. In addition, the platform allows the local administration to build, evaluate and monitor the section of the city’s energy action plan that deals with buildings, based on a catalogue of pre-established actions, in which the platform assesses the energy savings of the defined actions, CO2 emissions, investments costs and savings in energy bills. Local government authorities can select those actions or sets of actions that are the most efficient and make it possible for the city to meet its climate objectives. Lastly, ACCENT enables the action plan to be shared and released to other sectors of the city, businesses and citizens, and to other cities with similar actions and objectives. The aim is to boost awareness and sensitivity to energy-related topics and benefit from sharing experience with other cities. Businesses in the industry: Companies that do most of their business inside a given city can benefit from access the tool because it will allow them to locate the zones that are ripe for their business, so they can get the most out of their marketing effort. The tool shows companies where energy consumption trends in the available building stock are heading, and it enables companies to anticipate business opportunities, because it gives them information about the city’s action plan. Citizen services: It is vital for citizens to participate, because the private residential stock has a vast potential for energy savings. In most cases, the action plan cannot succeed if you don’t first make citizens aware. Service providers need to let citizens know what they do, find new distribution channels and get their services or products to market. It is therefore highly important for them to know exactly what barriers there are and what needs citizens will have in future. The tool will offer citizens the possibility to estimate the energy performance of their house and will suggest them the potential works they can undertake in order to improve the energy efficiency of their homes and buildings.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

133

©ENERFUND

Relevance and usefulness of outcomes for ENERFUND: Countries in common with ENERFUND consortium: France and Spain. ACCENT will provide city stakeholders data and tools to map and diagnose existing energetic situation, and design energy strategies which maximize energy efficiency. ACCENT tool is being developed and tested in 4 pilot cities and will be available for every cities before the end of 2016. Action plan to use the results: As ACCENT tool is being developed and tested, when task 3.1 will be carried out, if the tool is available it might be used for this task.

II.41 COHERENO Reporting country

Spain

Period covered: European funded project National funded project April 2013-April 2016 National grant schemes Other ( ) Name of organisation involved : Delft University of Technology, Netherlands Passiefhuis-Platform vzw (PHP), Belgium Flemish Institute for Technological Research (VITO), Belgium Austrian Society for Environment and Technology (ÖGUT), Austria SEGEL Consulting Company, Norway German Energy Agency (DENA), Germany Buildings Performance Institute Europe (BPIE), Belgium Flemish Constructors Federation (VCB), Belgium SINTEF Building and Infrastructure, Norway Tel: Email: [email protected] Website: http://www.cohereno.eu/about. html Description of the activity/initiative: The objective of COHERENO is to strengthen collaboration of enterprises in innovative business schemes for realizing Nearly Zero-Energy Building (NZEB) renovations in single family owner occupied houses. The project focuses on eliminating barriers for collaboration, providing enterprises with guidance on how to collaborate and on developing services for the different customer segments. In this way ad-hoc demonstration projects will be replaced by NZEB renovations in a volume market. The major outputs of the project will be: National recognized public lists of actors in NZEB single-family house renovations in Austria, Belgium, Germany, the Netherlands and Norway An overview of structures for successful collaboration between contractors and other actors that are involved in delivering NZEB single-family housing renovation in the partner countries which will include: a. customer segments related to the business models; b. success factors and key barriers and solutions for business collaboration; c. executive summary with success factors and key barriers and solutions for European Contractor Federations. Detailed recommendations on how to implement quality assurance in the various business models, specifically aimed at increasing consumer confidence. The organization, promotion, implementation and documentation of national Business Collaboration Events in Austria, Belgium, Germany, the Netherlands and Norway, and the compilation of high potential models for collaborative NZEB renovations of owner-occupied single-family houses in these countries. The enabling of motivated supply actors to launch integrated services of NZEB renovation of single-family houses and the establishing of about 20-25 new business collaborative models. Target groups: The EU COHERENO project focuses on a variety of target groups. It is intended for

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

134

©ENERFUND

all stakeholders involved in refurbishment who contribute to satisfaction of house owners throughout the construction process and its results. In order to guarantee consistent high quality of refurbishment to nearly zero-energy buildings, and thus to promote their establishment on the refurbishment market, the COHERENO partners are committed to developing and expanding successful business models. The following partners are involved in this: Small and medium enterprises (contractors) - Efforts are undertaken to target an innovator group of contractors, contracting home-owners, acting as the key responsible actor for the nearly zero-energy building renovation. They can employ other contractors and are important contact points for homeowners. Planners (consultants) - Consulting actors consult the home-owners and provide technical specifications, cost calculations, energy saving calculations etc. They can typically include architects, engineers, all kind of advisors, quality assessors, energy performance certificate advisors and providers of passive house certificates. Also actors who inform and advise home-owners on a general basis but do not provide offers including technical specifications and costs are part of this target group. Typically these can be organizations of home-owners, non-profit organisations, material and building products supplier, real estate agents and financial agents. Policy makers and financiers - Financing and policy actors can influence volume market development. Banks, grant providers, energy agencies and policy makers on local, regional, national or European level are typically part of this group. Main Outcomes and Results: During the project term, numerous documents have been produced which can help establish existing cooperation methods and develop additional cooperation models. In addition to this, interim results have been summarised and made available to the public. This provides an overview of best practice examples of nearly zero-energy houses in Austria, Belgium, Germany, the Netherlands and Norway. At the same time, interested parties can research tradesmen, planners and consultants involved in the construction process of nearly zero-energy buildings. Relevance and usefulness of outcomes for ENERFUND: Common countries with ENERFUND: Austria Analysis COHERENO results for Austria can be useful for ENERFUND. From the report "Mapping of frontrunners in nZEB renovation of single-family houses", country specific approaches and key findings are available at: http://www.cohereno.eu/fileadmin/media/Dateien/Cohereno_Executive_summary_Mapping_frontrunn ers_nZEB_renovation.pdf Striking facts and hands-on recommendations: http://www.cohereno.eu/fileadmin/media/Dateien/D4.1_Striking_facts_and_handson_recommendations_AT_english.pdf "Report on business models for NZEB renovation of single- family houses including cross-country analysis". This report is valuable reading for contractors, informing and consulting actors as well as policy and financing actors. It describes how the COHERENO partners have contributed in establishing 24 collaborations between complementary actors in nZEB (nearly Zero Energy Buildings) retrofitting of single-family houses in the five partner-countries; including Austria. Action plan to use the results: Results are useful for task 2.4 Analysis of needs, barriers and general acceptance of EPC/retrofitting actions from the final user perspective

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

135

©ENERFUND

II.42 Introduction of EPC A programme to deliver energy certificates for display in public buildings across Europe within a harmonising framework (EPLABEL) Reporting country

Spain

Period covered: January 2005 - February 2007 Name of organisation involved :

European funded project National grant schemes

National funded project Other ( )

Energy for Sustainable Development Ltd(United Kingdom) Centre Scientifique et Technique de la Construction (CSTC) - Wetenschappelijk en Technisch Centrum (Belgium) Esbensen Raadgivende Ingenioerer A/S (Denmark) Motiva Oy (Finland) Centre scientifique et technique du bâtiment (France) Stadt Frankfurt am Main - Dezernat Bildung, Umwelt und Frauen – Energiereferat (Germany) National and Kapodistrian University of Athens (Greece) National University of Ireland, Dublin (Ireland) DHV Buliding and Industry (Netherlands) CIT Energy Management AB (Sweden) Tel: 0044 1225 812102 Email: [email protected] Website: http://www.eplabel.org Description of the activity/initiative: EPLabel addresses the requirement of the European Buildings Directive for "Public Buildings" over 1,000 m2 to display an Energy Certificate. The aim is to support Member States planning for and implementing Operational Ratings under the Directive, offering sufficient flexibility to accommodate national diversity whilst seeking increased European harmonisation. The project addresses the following building types: public administration offices, higher education, schools, sports facilities, hospitals and other health facilities, and hotels and restaurants. EPLabel intends to demonstrate a "graduated response" procedure, consistent with CEN Standards, which allows a progressive introduction of Article 7.3 to suit the knowledge available in each country for each building sector and the level of resources an organisation is able to apply: an easy entry level for cases where detailed information is hard to get or may be less rewarding, a more detailed assessment where the need and scope for improvement is greater. Overall budget: 1.504.063,00 € Main Outcomes and Results: EPLabel Spreadsheet and EPLabel Online (http://online.eplabel.org/) tools have been developed for accurately demonstrating how energy certificates based on operational ratings can be produced. These tools are fully functional in each of the eight languages of the ten partner countries. Crucial progress has been made towards harmonising the approach to operational rating assessments and developing energy benchmarks for public buildings. The software was demonstrated to regulatory bodies through national and international events around Europe, including a web-cast during the European Union Sustainable Energy Week 2007. The project contributed to the development of the standards prepared by the European Committee for Standardization (CEN) which draws up voluntary technical specifications to help achieve the Single Market in Europe. The software is fully compliant with these CEN standards. Relevance and usefulness of outcomes for ENERFUND: Countries in common with ENERFUND: Denmark, France, Greece, Ireland and United Kingdom Lessons learned There are five key steps in the procedure for building energy certification based on an Operational Rating; EPLabel proposes a clear, robust and pragmatic way for Member States to implement these steps, offering sufficient flexibility to accommodate national diversity whilst seeking the harmonisation the EC desires Building energy benchmarks can be categorised at three levels of sophistication: 1) simple (derived from stock statistics), 2) corrected (for special energy uses not D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

136

©ENERFUND

included in the simple benchmarks) and 3) customised. The simpler Level 1 and 2 assessments may well suit the smaller and simpler buildings and be adopted in initial statutory implementations of Article 7.3, whilst the Level 3 benchmarking approach will allow more meaningful and fairer assessments of a building's energy use Obliging building owners and occupiers to examine their actual energy performance and display the results will establish a fertile environment for reductions in energy demand and CO2 emissions, through investment, purchasing, improvement and management measures and by individual efforts. The key documents can be downloaded on: Operational Ratings : Overcoming the Barriers: https://ec.europa.eu/energy/intelligent/projects/sites/ieeprojects/files/projects/documents/eplabel_operational_ratings_overcoming_the_barriers.pdf Energy Benchmarks in Public Buildings: https://ec.europa.eu/energy/intelligent/projects/sites/ieeprojects/files/projects/documents/eplabel_energy_benchmarks_in_public_buildings.pdf The EPLabel Benchmarking System: https://ec.europa.eu/energy/intelligent/projects/sites/ieeprojects/files/projects/documents/the_eplabel_benchmarking_system.pdf Action plan to use the results: For task ‘Definition of key data from EPC and open data to cover the needs identified in WP2’ the EPLabel Spreadsheet and EPLabel Online tools can be analysed

II.43 Applying the EPBD to improve the Energy Performance Requirements to EXISTing buildings (ENPER EXIST) Reporting country

Spain

Period covered: European funded project National funded project 01/01/2005 to 30/06/2007 National grant schemes Other ( ) Name of organisation involved : Centre scientifique et technique du bâtiment (France) Netherlands Organisation for Applied Scientific Research (TNO)(Netherlands) Fraunhofer Institute for Building Physics (FhG-IBP) (Germany) National and Kapodistrian University of Athens (NKUA) (Greece) Danish Building Research Institute (SBi) (Denmark) Belgian Building Research Institute (BBRI) (Belgium) EBM-consult (Netherlands) Energy for Sustainable Development Ltd. (ESD) (United Kingdom) Tel: 0033 1 64 68 82 94 Email: [email protected] Website: http://www.cstb.fr Description of the activity/initiative: Better energy efficiency in buildings means looking at both existing buildings and future constructions. By improving our knowledge of existing buildings we can put together a roadmap for better energy performance. This was the goal of ENPER-EXIST, which established a snap-shot of current building stock and assessed which building standards might be applied, what alternative solutions are available, and what would be the impact of the new certification schemes on the market, human capital and national administrations. The main goal of the ENPER-EXIST project was to support the take off of the Energy performance of buildings directive (EPBD) in the field of existing buildings. ENPER-EXIST had 4 main objectives: 1) To de-fragment technical work performed on existing buildings. Indeed actions already launched in CEN to apply the EPBD were de-fragmented but mainly focus on new buildings. On the other hand different projects on certification procedures were going on at the European level but were not coordinated. 2) To de-fragment work on legal, economical and organisational problems such as the analysis of certification on the market, the human capital and the national administrations. 3) To achieve a better knowledge of the European building stock.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

137

©ENERFUND

4) To define a roadmap for future actions regarding existing buildings. ENPER-EXIST used an intensive networking of existing national and international projects to reinforce efforts to solve these issues. It worked in close coordination with the Concerted Action set up by Member States to support the application of EPBD. The work program was split in 4 technical work packages in addition to dissemination and management activities. Overall budget 1.305.816,00 € (including 652.908,00 € from the European Union) Main Outcomes and Results: -

Guidelines on application of standards prepared by the European Committee for Standardization (CEN) which draws up voluntary technical specifications to help achieve the Single Market in Europe. Interaction with the CEN Working Groups preparing these standards in order to enhance their applicability to existing buildings. Dialogue with the national authorities in charge of setting up certification schemes in each country. Report on Member State experiences in applying certification to existing buildings, leading to a proposal for maximising its impact. Statistical data on the current energy performance and possible future savings in Europe's existing building stock.

Relevance and usefulness of outcomes for ENERFUND: Countries in common with ENERFUND: Denmark, France, Greece and United Kingdom Lessons learned: A key problem or existing buildings is the collection of high-quality data, not the calculation procedures. It is thus important to develop building inspection guidelines that support data collection To efficiently certify a building it is very important to take into account, and describe, the whole range of necessary steps. Many member states have poor data on their building stock. The certification process can be used to improve this situation and collect data. Project oriented results can be read at: https://ec.europa.eu/energy/intelligent/projects/sites/ieeprojects/files/projects/documents/enper_exist_results_oriented_report_en.pdf The main part of the report gives an overview of possible measures, legal or other type of measures, to encourage the energy efficiency in existing buildings. The list contains more than 50 measures covering both actual measures applied in European countries as well as measures under preparation or discussion. For each measure, national examples are described. The measures are classified according to the following categories: the regulation tool; the financial levers; non-governmental activities; demonstration/research and development projects; promotional measures/increasing public awareness. Data acquisition report. This report describes the results of the tests per CEN standard: http://www.enperexist.com/pdf/reports/WP1%20wd%202%20data%20acquisition%20final%20report%20echt%20final. pdf Analysis of the situation of 8 specific building market sectors: http://www.enper-exist.com/pdf/reports/Roadmap_annex.pdf Action plan to use the results: These reports can be used for both tasks ‘Analysis of Status Quo and needs (retrofitting companies & energy efficiency programs stakeholders)’ and ‘Definition of key data from EPC and open data to cover the needs identified in WP2’

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

138

©ENERFUND

II.44 Countdown to Low Carbon Home Reporting country

United Kingdom

Period covered: January 2012 until December 2014

European funded project National grant schemes

National funded project Other ( )

Name of organisation involved : Severn Wye Energy Agency, The Aristotle University of Thessaloniki, Cyprus Energy Agency Tel:

Email: [email protected]

Website: http://www.countdowntolowcarbonhomes.eu/index.php /gb/

Description of the activity/initiative: The Countdown to Low Carbon Homes project (CDLCH),2012-14 was set up to research, develop and communicate an integrated practical delivery approach to community scale retrofit of energy improvements to buildings, with a particular focus on homes and delivery of retrofit` by Small and Medium Enterprises (SMEs). By exploring the whole ‘retrofit journey’ from planning stage to implementation and post installation energy use, CDLCH aimed to find ways to make domestic retrofit easier and more mainstream, in ways that benefit local businesses. To do this, the project partners worked with households, installers and other key decision makers involved in domestic retrofit in their communities to gather evidence on the situation at a local level. The project was funded by Eracobuild with co-financing provided by Local Authorities. The project partners were SWEA, CEA and the University of Thessaloniki. Main Outcomes and Results: There are three outputs from this project; a research report which captures the work with households, installers and other key actors at local level, a set of case studies charting the journeys of households in Cyprus, Greece and the UK that made energy improvements to their homes, and a guidance toolkit for community scale delivery of home energy improvements. By working in three diverse regions in Europe, the partnership gained a broader perspective as well as scope for exchange of knowledge and experience. This work informed the development of practical delivery models for the retrofit of buildings. Severn Wye Energy Agency developed and trialed a model that could be rolled out at a community scale, linking in with local businesses. As part of the delivery model Severn Wye aimed to develop and pilot a loan scheme offering property owners (domestic) alternative sources of finance for their improvements. The loan was offered at a relatively low interest rate although with a short (5yr) payback period the APR appeared quite high. The loan product was designed specifically for the financing of energy efficiency measures. Those interested had to present an EPC and Green Deal Advice report to demonstrate the considerations they had made to the recommendations on the documentation. This would form the basis of discussions with energy advisors. Also developed and still operational is a local network of installers facilitating the full range of low carbon refurbishment in both domestic and non-domestic buildings. Relevance and usefulness of outcomes for ENERFUND: The CDLCH found that: •

The EPC can be used as a guide for retrofit, but it needs explaining to the public by experienced professionals and where possible tailoring the results of the EPC to the occupiers of the property should be considered. This would need to be done outside the EPC software by a professional with the relevant knowledge and experience

•

There are key trigger points during the refurbishment or building process when energy efficiency measures could be considered. For example if services are being fitted under a suspended floor then consider underfloor insulation

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

139

©ENERFUND

•

‘Payback’ of a measure (financial) is a key consideration when making a decision about installation

•

Resistance to disruption can be a strong barrier.Informing what will actually take place and identifying ways to reduce disruption can help overcome some of this

•

Financial considerations. The upfront cost of installation which can be high for some measures can be a barrier

Action plan to use the results: The development of the financial product as part of CDTLCH is key for EnerFund. Although the project will focus on public buildings, to have long term viability the online tool will need to link to financial products for both the domestic as well as the non-domestic markets. Consideration could be put in to identifying regional or national funding mechanisms as part of the search process/website. The Enerfund tool could integrate information or factsheets explaining the search results and key things to be aware of when considering financial products for the facilitation of energy refurbishment. The network of installers is also a useful aspect, being able to identify recommendations for measures and then linking to businesses that can facilitate the install (and possibly the finance) is also a way in which the learning from CDLCH can help EnerFund. A small membership/ referral fee for installers could also be a way of contributing to the long term sustainability of the toll post 2019. Further research could be undertaken to identify localized financial products (often championed or guaranteed by local authorities) in the UK. This in turn may help to inform partners discussions with stakeholders where similar products do not currently exist. There may also be other localized networks of installers of low carbon technology across the partnership delivery area that could be identified and feed into EnerFund. The following link shows: •

The Research Report

•

A Guide to Community Scale Delivery of Home Energy Improvements

•

Retrofit Casestudies

http://www.countdowntolowcarbonhomes.eu/index.php/gb/project-reports-and-case-studies/

II.45 Green Deal Assessment Mystery Shopper Research Reporting country

United Kingdom

Period covered: February 2014 until April 2014

European funded project National funded project National grant schemes Other ( )

Name of organisation involved : ICF International Tel:

Email: HouseholdEnergyEfficiencyResearch@ decc.gsi.gov.uk

Website: https://www.gov.uk/government/u ploads/system/uploads/attachmen t_data/file/388197/Green_Deal_A ssessment_Mystery_Shopping_FI NAL_PUBLISHED.pdf

Description of the activity/initiative: This project was a research study to better understand the Green Deal Advice report (GDAR) and the customer experience. In the domestic sector the GDAR was an underpinning element of the Green Deal, a pay-as-you-save financial framework for facilitating a large energy refurbishment programme. Loosely based on an ESCO model, repayments were designed to be in line with the (financial) savings made as a result of the installation of a measure(s). A Green Deal Report is based on an D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

140

©ENERFUND

EPCbut allows an element of tailoring to address the issue of standardised occupancy patterns. 12 months of fuel bills were collected as well as information about the number of occupants and heating patters etc. Repayments were based on the savings documented in the Green Deal Advice report. In December 2013, ICF International was commissioned by the Department for Energy and Climate Change (DECC) to carry out research into the customer’s experience of booking and having a Green Deal assessment. This was undertaken through a mystery shopping research exercise in which 48 recruited mystery shoppers booked multiple Green Deal assessments. The study team subsequently analysed the mysteryshoppers’experiencesof booking and having an assessment. In addition, the study teamanalysedthe variation in the conduct of these assessments for 29 of the properties to identify the possible sources of such variations and to examine the implications of variations on assessment outputs. This is key because the output of the assessment, the GDAR is the underpinning factor of the measures that are eligible and the finance that can be released. It should be noted that the research was not designed to be statistically representative of the entire UK housing stock, meaning that findings are specific to the sample. Further research would be needed in order quantify these findings for the wider population and fully understand its implications.This study forms part of the evaluation of the Green Deal and Energy Company Obligation (ECO) programme that is being led by ICF International. However, this study examines the early part of the overall Green Deal customer journey: the experience of participants in this study in obtainingand carrying out a Green Deal assessment for an active consumer (one who proactively attempts to find a Green Deal assessorto undertake an assessment). The aim of this study was to examine how Green Deal assessments were working in practice and to determine whether there is variation in the conduct of Green Deal assessments, to identifythe possible sources of such variations and examine the implications of variations on assessment outputs. Main Outcomes and Results: There was a lack of consistency in the data, results and advice generated by different assessors for the same property. There was significant variation in the GDAR results produced by the different assessments conducted at individual properties. The range of EPC ratings spanned at least two EPC bands for almost two thirds of the dwellings analysed. The analysis found many differences in the values recorded for key input variables at the same property. Input variation was observed with EPCs, particularly for total floor area and the energy efficiency rating of building fabric and technologies. The variation in the inputs to the EPC process contributed to the EPC rating varying by, on average, 11 points in each dwelling. Assessors appear to have adopted a variety of approaches to the selection of measures, such that recommendations for the same property varied widely. There was variation in the recommended measures on the EPC made by different assessors for the same property. The analysis suggests that the variation is likely to be attributable to the input variations described above. The research raises questions about the reliability of the information on which customers are making choices about investments in energy efficiency. The inaccuracy of EPC and Green Deal assessments were cited as one of the reasons why the funding for Green Deal finance was stopped in July 2015. The replacement program was due to be announced in the spring of 2016, but has been delayed for a year. Relevance and usefulness of outcomes for ENERFUND: The sample size for this study was relatively small however it does raise questions about the compliance of EPC’s being completed to an accurate and consistent enough level. However, although this was a published study and was picked up by the media the concerns it raises are not necessarily reflected by building owners. The general sentiment is not one of concern over reports accuracy with most members of the public. Accuracy of data is something that Enerfund should consider carefully given that one of the main data sets that will be used to inform the decision making process of stakeholders is available energy performance data. The largest data set on this is existing EPC’s. It must be assumed that institutions that are considering the design of financial products to

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

141

©ENERFUND

facilitate energy refurbishment will also want to take into account data accuracy- payback is a key component of the design for individual clients as outlined in the CDLCH project. Action plan to use the results: The findings of this project suggest that Enerfund needs to be aware of accuracy issues related to EPC’s and the need to recommend to building owners to interpret existing EPC’s and performance data as the first step in a journey. Data should be used with the caveat that its accuracy cannot be validated and that a second opinion is recommended. This issue should also be considered across the wider project delivery areas, it may for example be prudent to be selective of the sourcing of the data. It may also be worth other partners undertaking a brief literature review for similar publications in their area of delivery to better understand the relative risk.

II.46 Green Deal Assessment Mystery Shopper Research Reporting country

United Kingdom

Period covered: 1995-2011

European funded project National grant schemes

National funded project Other ( )

Name of organisation involved : University of Cambridge, University College London, University of Reading on behalf of Department for Energy and Climate Change Tel:

Email:

Website: https://www.gov.uk/government/publications/an -investigation-of-the-effect-of-epc-ratings-onhouse-prices

Description of the activity/initiative: This report documents the finding of an investigation of the relationship between the energy performance ratings, as documented on the EPC, and the realized sale prices of domestic properties in England. The objective was to explore this relationship and identify evidence to support he thory that properties with a better energy performance rating achieved higher sales prices to inform the development of energy policy. The study considered data related to the sales of 325,950 homes in England and is the first largescale empirical study of the effect of energy labelling on sale prices in the country. Each of the dwellings in the study was sold at least twice in the period between 1995 and 2011. A database was developed incorporating sale prices, dwelling attributes detailedinformation on EPC ratings and a host of socio-economic area variables to analyse the data. The study was commissioned by DECC and undertaken by a study group of professionals from a number of UK Universities as outlined above. The Main Outcomes and Results: The study found that the majority of dwelling sold were in the higher bands of efficiency with nearly 93% of dwellings sold the period being in are in EPC bands C, D and E, 45.5% of properties were in band D alone. Certain property attributes were found to be important determinants of price; size, location and type of dwelling being the more obvious ones. Energy efficiency, although growing in importance, was found to be a weaker determinant in comparison. However, the study also determined that because of the negative relationship between a poor energy efficiency rating and the age of the property (pre 1929 properties usually scoring E or below) the study incorporated a large number of relevant dwelling attributes age, size and type (detached, terraced etc.). Hedonic regression modeling (the standard methodology for examining price or value determinants) was used to isolate the effect of EPC rating on price level and price appreciation. The results of thisanalysis suggest that there is a positive relationship between energy rating and dwelling price per square meter. Compared to dwellings rated EPC band G, dwellings with higher D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

142

©ENERFUND

EPC ratings have sold at a statistically significant price premium and the pattern of the results was shown to be consistent and plausible. As expected, the price difference increases as EPC performance improves. The study estimated that compared to dwellings rated EPC G, dwellings rated EPC F and E sold for approximately 6% more, dwellings rated D sold for 8% more and dwellings rated EPC band C for 10% and A/ B sold for 14% more. When the sample is disaggregated by dwelling type, notably price effects of superior energy performance tended to be higher for terraced dwellings and flats compared to detached and semidetached dwellings. When investigating the relationship between dwelling price appreciation and EPC rating, the evidence was less clear-cut but remains generally supportive of a positive association. Compared to dwellings rated EPC G, the prices of detached and semi-detached dwellings EPC rated C and D appreciated at a significantly higher rate. However, it was also found that semi-detached and terraced dwellings rated EPC F appreciated at a significantly lower rate than dwellings rated EPC G. For dwellings sold with an EPC at the second transaction only, the results are stronger. There are significant positive effects on dwelling price appreciation per square meter for dwellings rated B, C and D compared to dwellings rated G. There are no statistically significant effects of an F rating for this sub-sample. This study was commissioned and published during the development of the Green Deal which was outlined in the Energy Act 2011. It influenced the structure of the programme and also the marketing, aiming to identify incentives for householders to invest in and undertake energy refurbishment. Relevance and usefulness of outcomes for ENERFUND: This initiative found a correlation between energy performance ratings and increased sale prices for property. This has not been fully exploited in the UK as a method of justifying investment in energy efficiency measures and may have relevance for other partner regions. Additionally, for contractors seeking investment opportunities display of recent sale/rental prices where available on the Enerfund tool could be a useful data set to display alongside the energy performance data. At the time of writing no comparable study has been undertaken for non-domestic dwellings. It may be useful to approach the report authors as stakeholders who may be able to positively contribute to EnerFund. No single dataset existed containing all of the information required and was obtained from separate sources. The administrators of some of these data sets will be approached to explore the licencing of relevant data for the Enerfund tool. It is unclear whether data was open source or needed to be purchased (aside from the EPC data) and this will need to be explored for the purposes of the Enerfund project. CalneaAnalytics (http://www.landmarkanalytics.co.uk/ a Daily Mail owned company) for example, supplied the data sets on property sold prices in their capacity as the statistical contractor for the Land Registry. Action plan to use the results: This study gives direction to key data sets that will be useful for the population of the Enerfund tool. Its outcomes will also be a useful reference when in discussions with Stakeholders to demonstrate the positive link between investment in energy refurbishment and property values. There is extensive referencing of sources in the study which can be followed up by EnerFund independently. The authors are also still active in the field for follow up contact.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

143

©ENERFUND

III.

EPC implementation on the real estate market

The third part of this report addresses the objectives of Task 2.2: • • •

Collecting, analysing, and documenting EPC implementation on the real estate market Identification of deficiencies in the system Analysis of gaps in the data available to be included in the interviews to be conducted in T 2.3

The analysis is based on a questionnaire on EPC implementation on the real estate market in the partner countries filled by project partners and on desk research. In addition to the questionnaire, desk research was carried out to describe important aspects of the real estate sector regarding ENERFUND requirements, and to identify comparative studies and recently completed as well as ongoing projects with a potential to provide input to or create synergies with ENERFUND. EPC-related legislation and national implementation relevant for this task: •

•

•

Energy Performance of Buildings Directive (EPBD) 2010/31/EU and the selling / renting process: According to Article 12 Issue of energy performance certificates of the EPBD, an EPC must be presented and handed over to the prospective tenant or buyer. The role of the EPC is strengthened by mandatory publication of energy performance information contained in the EPC, at the time of advertising a building for sale or rent. Energy Performance of Buildings Directive (EPBD) 2010/31/EU and display of EPC in public buildings: According to Article 13 Display of energy performance certificates, the EPC must be displayed in a prominent place clearly visible to the public. This applies where a total useful floor area over 250 m2 of a building for which an energy performance certificate has been issued in accordance with Article 12(1) is occupied by public authorities and frequently visited by the public. The introduction provides a clarification of terms in paragraph (24): “Buildings occupied by public authorities and buildings frequently visited by the public should set an example ….., in particular in buildings of a certain size which are occupied by public authorities or which are frequently visited by the public, such as shops and shopping centres, supermarkets, restaurants, theatres, banks and hotels.”

III.1

Introduction to the questionnaire

This questionnaire refers specifically to the EPC implementation on the real estate market. Definition of terms and system boundary: •

Real estate market = property market = the buying, selling, renting of land and buildings

The questionnaire on EPC implementation on the real estate market was prepared in April and early May 2016 and sent out to partners to be answered. The filled draft questionnaire for Austria was provided as guideline how to fill in the questionnaire. Returned questionnaires are available in Annex 3. Annex 3 contains the full version of submitted questionnaires and an overview with the most important aspects. The overview was compiled in a comparative way to facilitate analysis.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

144

©ENERFUND

III.2 Results of questionnaire by topic and conclusions for ENERFUND concept development 1. Type of EPC and EPC ownership (1) Is the EPC issued for a building or a building unit or can it be both? (2) Who owns the EPC data?

max 200 words

(1) The EPC can refer to:  A building  A building unit  A building and at the same time to all building units in this building  Other, namely: Additional information: (2) Who owns the EPC data:  The owner of the building or the building unit  The property manager of the building  The authority operating the EPC database  The EPC expert issuing the EPC  Other, namely: Additional information:

Most countries answer that all three options are possible: the EPC can refer to a building, a building unit, and to a building and at the same time to all building units in this building. Regarding data ownership, answers differ. Usually the owner of the building owns the data, but there are also multiple ownerships such as the owner of the building and the manager of the EPC database.

To be considered in ENERFUND concept development: EPCs issued for a building unit will differ from an EPC issued for the entire building. For a rough orientation about the energy performance differences in energy performance might not be relevant. For a more detailed level we might need the information whether the EPC refers to the building or building unit. In this case we will have to ask how to make this information available. The issue of data ownership is crucial if we want to use detailed EPC data such as Uvalues of windows. For example, this would be very much appreciated by component producers for planning targeted marketing activities and by ESCOs for developing large and uniform projects with low transaction cost. Clarification is needed about the legal situation and procedures needed to make use of detailed EPC data, addressing building owners (and property managers acting on their behalf) with a large building stock and managers of EPC databases. If we just use published data (see question 2 below) we don’t have to deal with this challenge, but the information is aggregated and will only be useful for rough orientation.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

145

©ENERFUND

2. Publishing selected EPC information in advertisements: national implementation and effectiveness (1) Which parts/information of the EPC must be published in advertisements, required by law? (2) What is the share of advertisements containing the required information? (3) Is there a control system in place and penalties in case of non-compliance? Does it work?

max 200 words per question

Answers show that information published in advertisements is diverse and belongs to three categories: • • •

The EPC rating: color and letter of the scale Energy consumption in kWh/m²/y (primary energy) and CO2 emissions Only in Austria: Heating Energy Demand (Heizwärmebedarf HWB, indicator for the energy efficiency of the building envelope) and total energy efficiency factor (fGEE Gesamtenergieeffizienzfaktor, dimensionless indicator for the energy efficiency of the heating system)

In some countries, a high share of advertisements (or nearly all) contains the required information while in other countries the share is not known. In most countries, control systems and sanctions in case of non-compliance are in place, but are not always successfully implemented. In general, not much detail is provided or available about actual implementation.

To be considered in ENERFUND concept development: Even though not available area-wide, a substantial number of advertisements contain published information and thus represent a potential source of information for populating the ENERFUND Tool. However, published information differs among countries: in some countries the letters of the rating are published (A, B, C, …) while other countries require the publication of different energy performance indicators (useful energy, final energy, primary energy), and / or the publication of CO 2 indicators. The situation is diverse, and if ENERFUND makes use of information published in advertisements in a comparative way, it will be necessary to develop an algorithm to translate available but diverse information into comparable information to be used by ENERFUND. This will be difficult in terms of methodology and require a lot of effort. It might be more realistic to offer this non-comparable information on the national / regional level and provide detailed building data in addition, such as Uvalues of building components, which are rather comparable among Member States than the indicators mentioned above. Although control systems and sanctions are in place in many countries, enforcement procedures do not seem to be strong at present. However, this might change in future as the review process of the EPBD carried out in 2016 has detected deficiencies in this aspect. It is expected, that the revised version of the EPBD to be published in 2017 will put more emphasis on penalties and enforcement. ENERFUND concept development should also consider this aspect when working on the potential cooperation with the real estate sector (see also question 3 and question 5).

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

146

©ENERFUND

3. Handing over the EPC (according to Article 12 EPBD) when renting or selling: national implementation and effectiveness (1) (2) (3) (4) (1)    

Who is in charge of handing over the EPC to the tenant or buyer? Do the responsible parties actually hand over the EPC to the tenant or buyer? Which part of the EPC is handed over to the tenant or buyer? Is the EPC handed over taken from a database or stored in a database?

max 200 words per question

Who is in charge of handing over the EPC to the buyer or tenant: Notary Owner Real estate agent on behalf of the owner Other, namely:

(2) Do the responsible parties actually hand over the EPC to the tenant or buyer? (3) Which part of the EPC is handed over and in what format?  Full EPC on paper: Summary pages and technical annex with building envelope and building systems description and calculations  First page (or pages) with the Rating on paper  Summary pages with the Rating and list of technical energy indicators on paper  Full EPC in electronic format: Summary pages and technical annex with building envelope and building systems description and calculations (PDF)  Other, namely: (4)   

Is the EPC handed over taken from (and stored in): the official database where the original EPC can be found from a database owned by the property manager Other, namely: PDFs collected from the experts issuing the EPCs

In about half of the countries, the owner and the real estate agent on behalf of the owner hand over the EPC, while in about half of the countries it is exclusively the owner who hands over the EPC. Only in UK and Romania, the notary is involved in the process, too. While handing over EPCs has become a standard procedure in Demark, in about half of the countries this is not the case yet, thus the EPC only being handed over on request by the tenant or buyer. In about half of the countries, the full EPC including technical annex with all calculations is handed over, mostly in electronic form. In the majority of countries, EPCs are taken from the official database where the original EPC can be found. The second best option is to collect PDFs from the experts issuing the EPCs.

To be considered in ENERFUND concept development: EPC databases (registries) and owners (or real estate agents on their behalf) are important sources of detailed EPC data (including technical annex). As it might be difficult for ENERFUND to get access to EPC databases it could be considered to approach building owners (and real estate agents acting on their behalf) to upload the EPCs of their buildings into the ENERFUND Tool. It will be necessary to communicate what is their benefit, e.g. to comply with the obligation of handing over, which could be a service offered by the ENERFUND Tool. It might be necessary to provide real estate agents with a suggestion how to avoid legal problems related with data ownership and data protection issues (e.g. approval to making use of ENERFUND service given with signing the contract with the real estate agent, …).

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

147

©ENERFUND

4. Information on real estate transactions (prices of traded buildings and building units) (1) Do you have a real estate transaction database in your country and is it linked with the EPC database? (2) Please provide the link and a contact email for each database owner.

max 200 words

Most countries answer that real estate transaction databases exist but are not linked with the EPC database. Only in Spain, there is no such transaction database, and in Ireland the database is limited to residential buildings. Transaction databases are either operated by private businesses or operated by the government (e.g. France, Slovenia, UK). Some transaction databases are publicly accessible, others are not. Only in France, there is a transaction database operated by notary organisations and linked with EPCs.

To be considered in ENERFUND concept development: Increase in real estate value, or at least ensuring the conservation of value, is an important motivation for building owners to carry out deep renovations. Considering energy-related information in real estate valuation requires information about transaction prices of energy efficient buildings. Therefore, the combined information, namely transaction price and EPC, is vital. As this information does not seem to be available in most countries, ENERFUND could offer this service as part of the premium level offer and charge a fee from real estate valuators for accessing this information. As a starting point for concept development, the existing linked database in France could be investigated as an example.

5. The role of real estate agents regarding EPC and energy efficiency (1) What is the role of real estate agencies? (2) Do they have access to EPC databases? (3) What are the relevant professional organisations? Please provide a link to the website and a contact information.

max 200 words

Most countries answer that real estate agents must include legally required information in the advertisements. They answer that they have a role in handing over the EPC, and also a role informing the client on the EPC. However, they are not allowed to access information available in EPC databases in many countries. In most countries, professional organisations exist. This will allow for structured followup discussions.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

148

©ENERFUND

To be considered in ENERFUND concept development: Real estate agents are subject to enforcement procedures which are likely to be tightened according to the material published during the EPBD review process carried out in 2016. ENERFUND could support real estate agents in complying with their tasks. Real estate agents are expected to inform their clients about the EPC but are confronted with different versions and contents due to the 10 years validity period (EPBD, EPBD recast, changes in between due to reasons on the national / regional level, changes required after EPBD review 2016).ENERFUND could cooperate with the real estate associations and make target group oriented information available. In Spain, there is a ranking of the top 10 real estate agents. This could be taken as an example for ENERFUND how to cooperate with real estate agents and should be investigated in more detail. Criteria for the ranking should be discussed with the real estate associations. Important partners for cooperation will be the electronic real estate advertising portals (see also question 6).

6. The role of real estate internet portals and search engines regarding EPC and energy efficiency (1)What are the main real estate portals in your country? Please provide the link and a contact email for each portal operator/contact person for ENERFUND. (2) Is there a real estate search engine in your country? Provide the link and a contact email for each search engine operator/ contact person for ENERFUND.

max 200 words

Internet portals for real estate advertisements are popular in all countries. The difference between internet portals and search engines was probably not well understood when answering the questionnaire. Therefore the following clarification is provided: Real estate agents use internet portals like print media to publish their advertisements and pay a fee for this service. Search engines search the internet for already published advertisements and make their revenue not necessarily with fees collected from real estate agents, but also with other income.

To be considered in ENERFUND concept development: Cooperation with real estate portals could be interesting in ENERFUND. They could deliver published EPC indicators to ENERFUND and receive international visibility on the ENERFUND website as a benefit. In times of financial crisis and bailing-out of banks, the real estate market has become an even more important target for investors than it already was before 2009.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

149

©ENERFUND

7. Display of EPC in municipalities’ buildings (public buildings) (1) How do municipalities in your country deal with the obligation to display EPCs? (2) Is there an association of municipalities in your country to work with in ENERFUND? (3) Please provide the link and a contact email for each database owner and information about the conditions to make use of the database.

max 200 words

Answers to the questionnaire show that the situation regarding compliance rate as such, but also regarding knowledge about the compliance rate, is heterogeneous. In few countries, it seems that EPCs to be displayed in public buildings are stored in the general EPC registry, but this is cannot be generalised for all participating countries. In Ireland and Denmark, it is explicitly excluded. In Ireland and UK, the DEC (display energy certificate based on measured energy consumption) differs from the usual EPC (based on calculated energy performance), while this is not the case in the other participating countries. In most countries it is possible to approach municipalities through associations or specific governmental departments.

To be considered in ENERFUND concept development: The difference in Display EPCs between Ireland and UK and the rest of Member States (except Sweden with EPCs only based on measured energy consumption, and Germany allowing both, measured and calculated energy consumption) must be taken into account when developing the ENERFUND concept in the area of targeting municipalities. Due to the heterogeneous situation in the participating countries, it might be recommendable to collaborate with selected municipalities (e.g. Greece) and with associations of municipalities (e.g. Denmark, Austria, Romania, France). The ENERFUND concept should include a section how to provide information which will motivate municipalities to display their EPC, for example: In UK, there is circumstantial evidence that large buildings with several years’ worth of continual Display Energy Certificates saved 2% more energy than those that do not. Options should be explored how the ENERFUND Tool could create additional benefit for SEAP implementation (Sustainable Energy Action Plan) and benefit from SEAP implementation at the same time. For example, we could utilise recorded energy consumption data for the ENERFUND Tool. In return, ENERFUND could help to access finance for deep renovations by displaying energy consumption data on a map, making these data available for decision making by large ESCOs active in Europe. Collaboration with ESCOs will be also essential from the viewpoint of budgetary crisis of the public sector and keeping the Maastricht Criteria (see also question 9). In this regard, many municipalities have already been active, and it will be important to identify the regions which are already advanced and those regions where energy saving potential is still to be unlocked.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

150

©ENERFUND

8. Perception of EPC on the real estate market (1) How do real estate agents assess the value of the EPC? (2) How do property managers assess the value of the EPC? (3) Are there any recent surveys available in your country about the acceptance of the EPC by the real estate market (ideally showing a time line, how acceptance has developed)? Please provide a summary and a link to the documents. (4) One of ENERFUND’s tools to be developed is hosting all relevant information about EPCs and additional information on a dynamic map. Which features of such a tool would be considered to be useful to the real estate market?

max 200 words per question

Although recent studies on market acceptance are not available, most countries answer based on the experience of the participating institutions that the the real estate market still perceives EPC is as an additional burden. The following information will be considered useful to be hosted by the ENERFUND tool to be provided on a dynamic map: •

• • •

• •

• •

•

Must be available in national languages; display show-case renovations; rate the property managers regarding the quality of their building portfolio to demonstrate CSR; to use augmented reality tools for the smartphone and combine real estate advertisement Apps (internet-based real estate portals) with energy-related information from ENERFUND. User friendliness, statistics of other properties, search facilities. Besides energy performance rating, features making reference to energy retrofitting proposals, heated area, property value, heat and electricity consumption and year of erection will be crucial. The information provided could be useful to identify first where opportunities for refurbishment exist, then where the most valuable real estate products are located, knowing that these energy efficient buildings/building units can be sold with a price up to and over 20% higher than inefficient ones. It could allow more transparency. Linkage of EPC category, energy data, building materials used, heating/ cooling systems, with geographical area, floor area, age, sales data; availability in various languages. Questions to be answered: Only public and commercial buildings? Or also residential buildings? Display building level data? Data protection issues to be resolved. The tool should identify the EPC rating by location, build upon the EPISCOPE mapping tool and decide which mapping view also match ENERFUND purposes and what additional/ new mapping views are recommended. Energy performance information to be correlated with the transaction value of the property, floor area and building age. Search facilities of the tool. Compatibility with their tools and databases (potential interoperability). The tool should enable possibility of comparing two or more selected real estates (apartments / houses/offices) with: EPC features (taking into account realistic degree days: either real estate is at the coastal area, midland or alpine area, possible renovation needs, price of real estate. Because more people are reaching the web through mobile appliances it should be designed also as an app. The standard or price as in the tool: http://www.cnet.com/au/news/housingzoom-nsw-globe-brings-real-estate-prices-to-google-earth/

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

151

©ENERFUND

•

Previous sale prices. Average EPC rating in the area. Estimated annual running costs, estimated savings achievable from no and low cost measures. Floor area.

To be considered in ENERFUND concept development: Functionalities listed above have to be assessed regarding continuous data availability and potential business cases to ensure the sustainability of the ENERFUND tool under development. It will be important to take into account expected changes resulting from the review of the EPBD in 2016. The main points of attention have been published after the completion of the public consultation and already provide some insight which direction the development might take 11. The answers to the questionnaire demonstrate that the situation is heterogeneous in the participating countries. This reflects the situation in Europe, and more evidence can be found in the thematic reports of the Third Concerted Action EPBD 12. Therefore, for developing the ENERFUND concept there are basically two options: • •

to find the least common denominator to cover many Member States equally; to follow the approach of demonstrating selected functionalities in selected countries where conditions are specifically well suited, and thus demonstrate procedures and benefits to others.

It might be recommendable to combine both approaches and to develop an additional project (to be submitted to Horizon 2020) where selected demonstrations can be further developed, especially taking into account the requirements of the revised EPBD to be published in 2017.

9. Legal framework conditions: conflicting legislation What are the main reasons for lack of deep renovations? For example: • Requirements of building regulation • Depreciation periods – tax legislation • Legal requirements determining reserves for maintenance and repair • Other conflicting legislation

max 400 words

Once more, the split incentive problem (owner – user) is identified as a reason for lack of deep renovation, meaning that life cycle cost calculations are not yet supported by legislation. Several countries (Austria, Bulgaria, Slovenia) identify current national legislation regulating co-ownership in multi-unit residential buildings as a substantial barrier for deep renovation.

https://ec.europa.eu/energy/en/consultations/public-consultation-evaluation-energyperformance-buildings-directive 12 Thematic reports and country reports see: http://www.epbd-ca.eu/ca-outcomes/2011-2015 11

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

152

©ENERFUND

Countries identify economic roadblocks rather than barriers resulting from other conflicting legislation such as tightened requirements of the building legislation which poses a problem in Austria. Economic barriers: • The development of alternative solutions such as renewables pushes the energy price down, and acts as disincentives to energy renovation. • Furthermore, the economic crisis causes a steep decrease of energy demand, and motivation for investment is low. • Massive investments in deep renovation could be a burden for economic actors (lead to rising public debt or decrease in individuals purchase power). • There is a lack of significant tax incentives and a lack of affordable finance options in general. Absence of a compelling case to convince building owners of the merit of investing in deep retrofit is identified as another reason for lack of deep renovation. Focus should be brought to investments where significant benefits can be achieved. Other • • •

reasons for lack of deep renovation: There are no legal obligations to achieve deep energy renovation Low awareness about benefits and feasibility Lack of skills to deliver deep retrofit, both professional design services and installers • Legal exemptions from requiring an EPC (UK) • Consequential improvements required for building over 1,000m 2 , but not for dwellings (UK)

To be considered in ENERFUND concept development: It is the objective of ENERFUND to address economic barriers and facilitate financing dee renovations.

Other aspects the ENERFUND concept development could deal with: • Awareness creation about benefits and feasibility of deep renovations • Presentation of compelling cases to convince building owners of the merit of investing in deep retrofit: if possible, projects using life cycle cost calculations should be presented in order to demonstrate how the user-investor dilemma can be tackled. • Presentation of skilled, both professional design services and installers to deliver good quality deep retrofit For now, multi-unit residential buildings under private co-ownership should be excluded from ENERFUND concept development as this segment is most difficult to deal with. Collaboration with national social housing retrofit programmes could be considered (example Ireland). Significant benefits other than energy savings and energy cost savings should be made transparent and emphasised, in order to compensate for low energy prices and potential difficulties encountered during deep renovation.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

153

©ENERFUND

10. Legal framework conditions: supportive legislation Are there any legal framework conditions in your country promoting deep renovations?

max 400 words

Provisions of the EPBD and the targets set by the EED are considered to be supportive legislation. In this regard, the following specific instruments are reported: • Bulgaria: Tax exemption of buildings which possess a certificate with class of energy consumption C for buildings constructed before 1990 and class of energy consumption B for buildings constructed before 2005 • Denmark: For single family houses a present act promoting energy retrofitting saying that all expensive on labour promoting energy saving can be deducted in order to reduce income tax. • France: Certificates for Energy Savings - “White Certificates”: This is one key measure to support the French government’s energy management policy. • France: Decision-making aids (with financial support): The National Agency for the Environment and Management of Energy (ADEME) supports, financially and technically, owners and managers who want to run assessments on how to improve their buildings’ energy performance. These aids cover a maximum of 50% to 70% of total financial investment according to the size of the company. • France: There is specific support provided at local authority levels • Spain: Specific loans are available for improving the EPC • UK: Consequential Improvements is part of the building law aiming at existing buildings > 1,000m 2 where the proposed work consists of defined elements. At least 10% of the cost of the initial works are to be budgeted for the consequential improvements; a measure with a payback of less than 15 years is economically feasible. • UK: F and G Ratings: From April 2018 dwellings with an F or G rated EPC will not be allowed to be re-let to new tenants. • UK: Interest Free SALIX loan: Schools, Local Authorities, NHS Trusts, and Emergency services can apply for interest free loans for measures with a payback of less than 5 years (8 years for Schools). • UK: Regional Home Owner Loans: Parts of the country have home improvement loans that are specifically designed to be used for improving the energy efficiency of the property. The Green Deal: was cancelled in 2015, due to lower than planned take-up and concerns over the accuracy of the EPCs and Green Deal reports.

To be considered in ENERFUND concept development: Specific instruments for facilitating (deep) renovations which were reported by participating countries could be promoted through the ENERFUND Tool. However, only long-term initiatives should be included due to the long preparation phase of deep renovation projects. Annual programms and frequently changing financing instruments should be excluded. The reasons for cancelling the Green Deal are crucial and very relevant for ENERFUND.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

154

©ENERFUND

11. Major challenges for deep renovation (1) Is the backlog in maintenance and repair an issue in your country? (2) What are the main reasons for the backlog in maintenance and repair in your point of view? Please differentiate by building type. (3) Other major challenges?

max 200 words

Several countries mention the backlog in maintenance and repair, providing the following reasons which might be true for several countries and not just for the ones listing them in the questionnaire: • A lack of funding and consequently lack of coherent maintenance and repair strategy. • Safety and Security is the most important priority to develop maintenance and repair plans. • Lack of competent personnel. • Risks/uncertainties linked to investing in deep renovation (was the assessment and audit correctly done, are the refurbishment works done correctly by relevant professionals etc.). • Low energy prices, payback expectations and the attitude to profitability of renovations; financial returns are not immediately evident. • High initial investment costs are seen as obstacle for consumers to make maintenance and repair decisions. • The biggest backlog is likely to be in private rented dwellings: landlord-tenant divide - conflict between property owners (investors) and tenants about energy saving investments and payback. For instance, how much will it be allowed to increase the rent related to expected energy saving costs. • For public buildings the problem is lack of budgets - budget restrictions. • For residential the problem is lack of money and awareness. There are some country specific challenges such as the high share of fixed tax on district heating in Denmark (the most common way of heating in Denmark), and lack of knowledge about the Salix loan in UK. Public schools are a challenge in Austria and UK: they are totally underfinanced, and installations have to be done during holidays. In France, the situation of public buildings is better, as public buildings benefit from substantial government support. Public office buildings: Many are under monument protection and it is falsely believed that not much can be implemented. Press Coverage: Large parts of the population are influenced by what is said in main stream media. In the UK energy efficiency could be ‘sold’ as property/home improvements and not necessarily linked to the environment or be called ‘green’.

To be considered in ENERFUND concept development: There are challenges connected with cost estimations and payback times: If repair works was postponed (e.g. due to cost reasons), there is some which must be carried out before specific energy-related measures can be implemented. This backlog in maintenance and repair is one reason why cost estimations for energy-related renovations are often not correct, and cost efficiency is difficult to assess.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

155

©ENERFUND

Apart from this, cost-effective renovations might have been already carried out (example Denmark). It will be necessary to include some information on this aspect. Cost efficiency and amortisation of deep renovations should not be overemphasised due to the problems highlighted above. Focus should be put on other than directly energy-related benefits, such as avoiding high humidity accompanied by mould and the associated health problems in residential buildings, as well as bad indoor air quality in buildings with high occupancy rates (offices and schools). Deep renovations should be advertised as a means to tackle these problems. In this regard, we should talk not only about “cost efficient” renovations, but we should also talk about “affordable” renovations. To use the comparison with a car: repair is not cost efficient but affordable and appropriate, or not (in case the car is too old, and a new one is purchased).

12. Major chances for deep renovation What are the major chances to promote deep renovations in your point of view? Please differentiate by building type.

max 200 words

Among suggestions which measures would facilitate deep renovations (but are not yet implemented and thus cannot be used for the ENERFUND Tool) the following aspects were stressed in the questionnaire answers: General remarks, suggesting: • Visualization of bad energy performance buildings • Detection of bad indoor climate • Agitation for better indoor climate Other suggestions: • Private residential houses/apartments: Make them aware of benefits of the deep renovations (lower heating expenses, better living conditions - no moisture etc.). • Multi-unit residential buildings: Owners should be educated that deep renovations are trigger also for higher value of their real estate. If the real estate is rented out, a deeply renovated house / apartment is more attractive for tenants. • Public municipality buildings: Make them aware of energy expenses: many public buildings are not aware of their own energy consumption as the invoices are paid by the local municipality. • Schools: Establish energy consumption benchmarking: e.g. compare public schools with other similar schools; address social responsibility • Ranking of property managers: Give a property manager who owns/manages an energy efficient building stock the possibility to show the effort compared to the average • Cooperation with utilities to make energy consumption data available • Tenant engagement: Most programs to date have not focused on tenants, nor have they sufficiently addressed split-incentive obstacles. In Ireland, many older office blocks and commercial buildings are being renovated as the economy is recovering. It is not clear how strong their focus is on deep renovation. D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

156

©ENERFUND

To be considered in ENERFUND concept development: It will be important to include awareness creation and providing information about selected topics. It is recommended to investigate options how to visualise quality of indoor air linked with energy performance. In this regard, two situations have to be taken into account: • Mould as a consequence of fuel poverty, bad energy performance, low indoor temperature • High humidity and mould as a consequence of insufficient ventilation in airtight highly insulated buildings (but with thermal bridges, e.g. due to lack of quality of the works) The concept development should investigate how to consider public schools, e.g. by comparing public schools with other similar schools (energy and indoor air benchmarking), and by addressing social responsibility and advantages for the national economy (enhancing learning capacity due to good indoor air quality). Cooperation with utilities could be interesting due to the fact that they have to achieve energy savings on the level of end-users (according to EED 13), but it might be difficult to integrate into the ENERFUND concept because of the liberalised energy market and the freedom to choose (and change) the energy supplier. This will affect the collection of meaningful energy data.

Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency 13

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

157

©ENERFUND

III.3

Results of desk research

This chapter provides background information useful for understanding the status quo and the needs of the real estate sector and the most important actors. It presents relevant work carried out in recently completed and ongoing studies in order to use relevant results as a starting point for developing guidelines for interviews with stakeholders but also as direct input into the ENERFUND concept development.

Characterization of the real estate market Properties are also called immovables, demonstrating the peculiarity of this commodity, namely the unique location usually determining the value of the property (Brauer 2013). The real estate market in terms of renting and purchasing properties operates in two organizational forms: • •

Transactions due to direct interaction between actors on the market (supply and demand) Transactions due to an intermediate who is the real estate agent

Real estate agents can be natural persons, SMEs, working on individual basis or belonging to a big company acting on franchise basis, which means they have to comply with the rules of the parent company. Real estate valuators play an important role because they estimate the value of a property. This is relevant in the case of transactions but also for preparing the balance sheets and annual financial statements. Actors on the market are: • • • •

actors interested in selling or renting out a building (developers, cooperative building companies, real estate companies, private building owners etc.); actors interested in buying or renting; actors interested in making use of the building they intend buy; actors interested in investing money to generate revenue.

Their motivations are different, and so are the criteria for decision-making (Brauer 2013).

While the construction and real estate market was dominated locally in the past, globalization has changed the business. Property owners are increasingly forced to optimize their buildings (also in terms of energy performance) to ensure sustainable revenue, although exceptional and highly demanded locations will continue to dominate other features.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

158

©ENERFUND

However, specific regions have “room for development” regarding increase in property values, depending on available infrastructure (public transport), city development plans and potential of the area to undergo a restructuring for more quality of life (e.g. new green spaces and pedestrian areas), subsidies for art, culture, and innovations etc. For example, within 20 years an area can completely change from a low-income district to a middle/high income district with new types of clients who will be ready and be able to pay for increased building quality and comfort. Optimization measures will be necessary or at least advantageous in a saturated real estate market (more offer than demand). However, the medium price level residential market is far from being saturated, on the contrary, the demand for affordable housing is much higher than the supply. This is why clear energy efficiency targets prescribed by law and effectively enforced are necessary in order to promote energy efficiency in the residential building stock. The situation is different in commercial sector. In the 1990s, BREEAM 14 was introduced in UK in a saturated commercial offices market to provide an option of distinguishing environmentally friendly buildings from the average office building. Indoor air quality is part of the assessment which is important regarding health and productivity of employees, and image of the company. In the commercial sector (especially offices and shopping centres), green / sustainable building certification has become mainstream (Nelson and Rakau, 2010).

Conclusions for ENERFUND concept development:

14

•

Provide information which is relevant to assess the development potential of a location in terms of increase in property value

•

Provide information about green / sustainable building assessment schemes at national level (presentation of scheme, building information provided, and how many buildings certified)

•

Provide information about energy-related legislation and enforcement at national level

BRE Environmental Assessment Method, http://www.breeam.com/

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

159

©ENERFUND

Market segments and expectations of market actors The multi-unit buildings residential market is subdivided into the rental market and the condominium market. Usually, energy efficiency is not among the top-ranked requirements and the role of the EPC as an instrument of market transformation is limited. A study carried out in Germany suggest that the EPC, as currently designed, has only played a limited role in purchasing decisions in Germany. Among the key findings (Amecke, 2011): • •

The EPC does not show the information that purchasers want: financial implications. Purchasers do not care strongly about energy efficiency.

These findings are supported by the IDEAL EPBD 15 project (2008-2011) and also by the latest results of the Third Concerted Action EPBD (Geissler and Altmann-Mavaddat 2015): Although there is more awareness of energy efficiency among consumers thanks to the EPC, much improvement is still necessary. The EPC is too technical and complicated for consumers to understand it. These conclusions are shared by most of the MSs represented at the Concerted Action EPBD. The UK, Germany, and Portugal have already undertaken efforts to make the EPC more user‐friendly. In the residential sector, legal framework conditions have an impact on the implementation of energy-related improvement measures. Looking at the rental market, the argument that investors invest in energy efficiency and should therefore be allowed to increase the rent because the tenant will save energy cost, might be correct from the technical point of view, but is not valid in all Member States. It is difficult to justify the increase in rent, for example because in case of whole building EPCs the energy performance of the entire apartment building will be different from the one for a specific apartment on the top floor and one on the ground floor, and there is the influence of user behaviour. Especially in the residential sector, the investor-userdivide is still an important to barrier to overcome (see also Economidou 2014). In the commercial sector, market actors are rather used to the concept of “Total Cost of Ownership” or “Green Leases" than residential renters in multi-unit residential buildings.

Depending on the role and type of market actor, different expectations regarding buildings and quality criteria apply (see Table 1and Table 2).

IDEAL EPBD - Improving Dwellings by Enhancing Actions on Labelling of the EPBD https://ec.europa.eu/energy/intelligent/projects/en/projects/ideal-epbd 15

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

160

©ENERFUND

The following tables on quality criteria or building requirements are based on the author’s experience with developing and operating green / sustainable building certification schemes in Austria and the collaboration and exchange with colleagues active in the International Initiative for a Sustainable Built Environment (IISBE 16, formerly Green Building Challenge). Table 1. Market actors and quality criteria – demand side

Type of actor

Building users office (rent)

Building users residential (rent and condominium)

Quality criteria

Image / CSR

Monthly expenses

Location (priorities depending on the type of business)

Location (vicinity of schools, amenities, public transport etc.)

Expenses per employee

Suitable floor plan

(no ranking, this will depend on the individual situation)

Up-to-date building automation and control

services

Daylight and green spaces

Safety and Security

Limited noise levels

Healthy indoor climate

Safety and Security Healthy indoor climate Limited natural hazards

Table 2. Market actors and quality criteria – supply side

Type of actor

Building owners office (renting out)

Building owners residential (renting out)

Investors (institutional investors, funds)

Quality criteria

Sustainable revenue

Sustainable revenue

Sustainable revenue

(no ranking, this will depend on the specific situation)

Stability of value / increase in value

Stability of value increase in value

Green / Sustainable building certificate

/

Value development potential of the location Green / Sustainable building certificate

Time to rent (vacancy) is an important aspect influencing the criterion “sustainable revenue”. In commercial office buildings, time to rent (vacancy) is influenced by: • • •

16

Flexibility of the building to adapt to the needs of different users Flexibility to adapt the technical installations to the latest standard Availability of Green / Sustainable Building Certificates

http://www.iisbe.org/

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

161

©ENERFUND

There are specific market actors with a natural interest in a high building quality including energy efficiency, for example building owners who are the building users at the same time (e.g. company headquarter in the commercial sector), or housing associations who construct and also operate these buildings. Usually, they have well managed repair and maintenance plans. The role of municipalities as building owners and building users is special as they should represent a leading example in energy efficiency in buildings. Many are members of the Climate Alliance 17 and the Covenant of Mayors 18 and have committed themselves to report the reduction of energy consumption and CO 2 emissions. To this end, energy accounting and systematic data collection and control is necessary. However, keeping the Maastricht Criteria hinders expenses in energy efficiency in the building sector on several levels (administration and investment). It is not clear, what percentage of SEAPs is actually based on specific and systematic bottom-up data collection in the building sector.

Conclusions for ENERFUND concept development:

17 18

•

It might be useful to indicate the composition of the building stock on the national level and assess the framework conditions with regards to renovations: For example, percentage of residential buildings in total, percentage of multiunit residential buildings and single apartment buildings, percentage of rental and condominium apartments in multi-unit buildings. It is understood that there are some blurred lines and simplifications might be necessary. Nevertheless, it will be important for decision makers to see a rough assessment of legal boundary conditions which are either helpful, irrelevant or a potential barrier with respect to deep renovations.

•

It should be indicated on the national level whether the law allows for “Green Leases” in the residential sector (increase of residential rent in case of energy efficiency improvements).

•

Information about other building qualities than energy efficiency market actors are interested in should be made available, and if possible linked with energy efficiency (healthy indoor climate, monthly expenses).

•

Municipalities could be supported in their reporting obligations towards the Covenant of Mayors and the Climate Alliance.

http://www.climatealliance.org/home.html http://www.covenantofmayors.eu/actions/sustainable-energy-action-plans_en.html

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

162

©ENERFUND

Property valuation and building energy performance Real estate valuation follows international rules and agreed methodologies. Usually, the location is the all-determinant factor. Whether energy performance will be reflected in the property valuation result will depend on the valuation method and on the availability of data. Increase in value can be due to the following reasons: shorter time from advertisement to contract (reduced vacancy), increased selling or renting price, reduced cost for maintenance and repair. In Austria, a calculation guideline was developed together with the stakeholders of the Austrian property valuation sector in collaboration with representatives from Germany, and a suggestion for the revising the respective Austrian standard was developed (Geissler et al. 2010). However, there was no political will to make the suggested changes legally binding, and application is still voluntary. In Germany, the respective legislation was adjusted in 2010 (ImmoWertV) and promotes energy efficiency in buildings because the “remaining useful life” will be extended through energy efficiency measures and thus has an impact on the valuation result. The valuation must consider whether the property has areas which are devoted to be used for renewable energy technologies. However, it remains a methodological challenge that calculation results must be weighted according to market demand, meaning that in a market with low demand for energy efficient buildings, energy efficiency will not be rewarded accordingly. In order to assess market demand, real estate valuators make use of transaction data: they adjust the calculated value of the building under assessment compared with recently transacted buildings similar in location, size, age, use, and development potential. At the moment, there is no evidence of a systematic link between transaction data and energy performance data in Member States, and available studies on building energy performance and property value indicating a relation between the two aspects are based on samples (see for example Mudgal et al. 2013, Fuerst et al. 2013, Brounen and Kok 2011), and on econometrics (Næss-Schmidt et al. 2015). In general, energy related data are difficult to access and hard to understand for real estate valuators who often have an educational background in business administration or law. This is why they often operate with default values, and the report remains superficial. However, this procedure is in line with the methodology. Furthermore, it must be borne in mind that the valuation result does not necessarily equal the actual transaction price. There are two relevant EU projects dealing with these aspects: IMMOVALUE (01/09/2008 to 30/04/2010): This completed project tackled methodological aspects and revealed that EPCs and EPC information is extremely different in the Member States, so that it is impossible to make use of them in internationally standardized valuation procedures. Due to the fact, that the EPC calculation methodology is very general as defined by the EPBD, indicators calculated according to national or regional rules are not comparable although they have the same name (Bienert et al. s.a.).

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

163

©ENERFUND

For example, this means that the actual figure of specific final energy use in Austria is not comparable with the one in another country, because the definition of the reference area is different as well as the boundary conditions of the calculation procedure (e.g. taking into account consumption of electric appliances or not, different user profiles etc.). It is another challenge that real estate valuators consider the actual condition of a building and the actual energy consumption in the valuation process and need support in deriving this information from the EPC or other sources. RENOVALUE (13/02/2014 to 12/02/2016): This project started 2014 and responds to the challenge mentioned above. It addresses real estate valuators aiming at supporting them in taking energy-related aspects in the valuation process into account. Serious barriers are the lack of training offers and the lack of easily accessible building energy data as well as building transaction data. http://renovalue.eu/ REVALUE: (01/03/2015 to 01/03/2018). The project aims to lead the development of appraisal norms and standards that recognize Energy Efficiency Value in social and private residential real estate. http://revalue-project.eu/

Prior to the transaction of large properties, a financial and technical due diligence will be carried out. A real estate valuation does not substitute these in depth examinations.

Conclusions for ENERFUND concept development: •

Real estate valuators could benefit from mapped energy-related building data stored in ENERFUND, as the location is a very important parameter for them.

•

It will important to include the information needed for assessing the value development potential of a specific location.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

164

©ENERFUND

Financing and energy efficiency measures in buildings

According to the ESRB Report on commercial real estate and financial stability in the EU, published in December 2015, data on CRE (commercial real estate) are in general especially real com pared w ith R scarce, incomplete or inconsistent ‒(residential estate) data ‒ m akingaccurate provide it difficul descriptions t to and analysis. In contrast to RRE markets, in CRE markets a significant proportion of financing is provided by entities that are not banks (“non-banks”). Historically, across Europe, the relative importance of debt and equity financing of CRE has been similar on average, but since the financial crisis the proportion of equity financing has risen. Moreover, within debt financing, there is a shift from bank lending towards non-bank financing (e.g. by insurance companies and asset managers). There are real estate funds and mixed funds, also holding real estate. Especially pension funds and insurance funds are interested in stable long-term revenues and invest in real estate. Economidou (2014) presents a classification of financing instruments which is shown in the figure below.

Figure 17. Overview of financing instruments

According to Paulou et al. (2014) financial instruments can be characterized as follows (for more information and original sources see Appendix A of the report): Grants: Grants are non‐reimbursable financial contributions and are usually conceived to promote new technologies and are more suitable for early stage development including projects below cost‐optimal levels. They can be combined with other financing instruments. Debt financing: •

Preferential loans: A basic loan is the simplest form of debt. It is an agreement to lend a principal sum for a fixed period of time, to be repaid by a certain date and with interest calculated as a percentage of the principal sum per year and other transaction costs. Soft loan or preferential loan schemes are a mechanism whereby public funding helps to reduce the cost of loans disbursed by financial intermediaries such as commercial banks. A dedicated system of preferential loans might be implemented through: o o o

Selected commercial banks delivering loans. A revolving fund managed by a third party. A fund managed by the EIB or a national energy agency.

• Guarantees: Guarantees are a type of risk sharing mechanism where the guarantor (e.g. a public body) assumes a debt obligation should a borrower default.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

165

©ENERFUND

Energy Performance Contracting (EPC): Depending on the implementation model, the contracting partner to implement the measures is either a general contractor (GC), a general planner (GP) or an Energy Service Company (ESCO). In an EPC, investments can be financed by the building owner, by an ESCO or by a financial institution (Third‐ Party Financing ‐ TPF), either directly or, more generally, through a combination of financial products (equity, loan, grant, incentive scheme etc.).

Forfeiting typically refers to a financial arrangement between an ESCO and a bank that can provide immediate cash flow to support project implementation. Forfeiting can be used when an ESCO is in an energy performance contract (EPC) arrangement with an end‐user and the ESCO sells future receivables (e.g. the end‐user payments) to the bank. The bank then assumes the credit risk, in return for a discounted one‐time payment.

Figure 18. Extract from guidance report on design of financing instruments (Paulou et al. (2014)

The Core Theme of the Third Concerted Action EPBD on “Effectiveness of Support Initiatives” provides an overview about the application of financing instruments in the field of energy efficiency in the Member States. The following figure is taken from the report published 2015 (O’Rourke, 2015).

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

166

©ENERFUND

Figure 19. Member States views on the most important financing instruments according to building type

The Core Theme report results in the following main conclusions: •

• •

• • •

At individual project level, the scope of the EPC and perceived quality of the recommendations in its present form is not considered sufficient evidence for an ‘investment grade’ energy audit. However, there is the emergence of a number of standardised, versatile international protocols to assist the ex ante and ex post evaluation of energy savings, e.g., the International Protocol for Measurement & Verification of Performance (IPMVP, http://evo-world.org/en/) and the Investor Confidence Project (ICP, www.eeperformance.org). These constitute an integrated set of existing standards, practices, and documentation in order to create the data necessary to enable underwriting (guarantee) or managing of energy performance risk. National authorities and energy experts must learn and apply bankers’ language and frameworks of risk assessment and decision making. Banks favour ‘standardised’ administrative procedures and technical methodologies for project evaluation, monitoring and verification to maximize confidence and minimize transaction costs. Trust in a project team is based on the credit risk rating of its weakest member. The ESCO sector is at various stages of development in the Member States 19. While relatively well developed in public buildings, accounting and procurement rules can be a barrier. ESCOs are seldom being applied to deep renovation or to housing. Extending to these areas will require new financial structures and models. Energy Efficiency Obligation (EEO) schemes have varied from one Member State to another, in scope, design features and institutional

See also: Panev, S., Labanca, N., Bertoldi, P., Serrenho, T., Cahill, C., Boza Kiss, B., JRC Science and Policy Reports: ESCO Market Report for Non-European Countries 2013, Report EUR 26989 EN, 2014

19

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

167

©ENERFUND

arrangements at national level. In six Member States (Denmark, France, Ireland, Italy, Poland and The UK), they have transitioned from a voluntary status to a legislated status. EEOs are being applied to shallow renovation only. O’Rourke (2015) also presents a table showing areas of potential interaction between European Directives (see the following figure; note that a ‘no’ entry in this table means ‘no mention’ in the Directive concerned, but it does not mean that the item has no relevance to that Directive.) Making use of synergies resulting in reduced effort for the administration could facilitate implementation of energy efficiency measures.

Figure 20. Areas of potential interaction between the EPBD, EED and RESD

Energy-related improvements of the building stock can be related with the trend of social finance and ESG consideration (Environmental, Social, and Governance): ESG strategies request for the relevant information when setting up the fund and / or trading through the lifetime. Green / sustainable building certificates and also EPCs can serve as a proof with regard to ESG requirements. However, assessment is done by specialized agencies and it is up to them what to accept as a proof. Social finance refers to any investment activity that generates financial returns and considers social and environmental impact. It encompasses four primary strategies: socially responsible investing (SRI), environmental finance, development finance, and impact investing (BSR Research Report, 2015).

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

168

©ENERFUND

Novethic (subsidiary of Caisse des Dépôts) is the leading research centre in France on Socially Responsible Investment (SRI) and Corporate Social Responsibility (CSR) and did a survey in 2010 on ESG adoption. The purpose of the survey was to determine how these investors align ESG practices with their fiduciary responsibility and how these practices take on a better long-term perspective. 251 asset owners from 9 countries, representing a total of EUR 7,500 billion in assets, were asked how they define these new and developing concepts. 84% of the investors surveyed believe that integrating ESG criteria maximizes beneficiaries’ long-term interest. Just five years ago, before the United Nations Principles for Responsible Investment (PRI) were published, investors thought that ESG integration could conflict with their fiduciary responsibility. 69% state that they have adopted this type of management. Practices vary considerably from one country to another. Survey: http://www.novethic.com/novethic/v3_uk/upload/ESG_Survey_2010.pdf The Novethic study was repeated in 2013, showing that heterogeneous views on motivations and procedures hinder wide-spread responsible investments. Often, ESG considerations are limited to excluding investment into problematic sectors such as mining, nuclear power or the palm oil industry. Cross-sectoral criteria such as energy efficiency in buildings do not seem to be applied 20. ESG investment trends 21 according to BSR Research Report (2012a, 2012b): • •

Asset owners including pension funds, insurance companies, and sovereign wealth funds, which have long-term liabilities and a fiduciary duty to their members, are integrating ESG criteria across their entire portfolio. Private equity (PE) firms are facing increasing scrutiny and greater demand for transparency from investors and stakeholders at large. To secure long-term success, the PE sector needs to adopt a more transparent and open approach to show its contributions to social and economic welfare.

Conclusions for ENERFUND concept development: •

The current version of EPC does not replace an investment grade energy audit.

•

Consider assessing the investment options regarding the specific project monitoring options: For example, are meters at building level / building zone level installed or not? How is the inspection of heating and cooling systems required by the EPBD done, e.g. through continuous monitoring and benchmarking as suggested by the iSERV 22-Project?

•

Consider a link to ESG, impact investment, social investment: Will an EPC showing NZEB performance be accepted as a supporting document?

•

Consider the information needs of insurances and pension funds as possibly important investors in energy efficiency.

Original link not available anymore, German summary: https://www.nachhaltigkeit.info/artikel/esg_1609.htm 21 See also: Deutsche Asset & Wealth Management: 2014 Real Estate ESG Strategy Update 22 http://www.iservcmb.info/ 20

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

169

©ENERFUND

Definition of deep renovation: single measures allowed or not Saheb and Szabó (2015) state in a presentation of the Joint Research Centre, that combining EED (in particular Article 4 - cost-effective deep renovations) and EPBD (in particular Article 2 – major renovations), results in the following definition of deep renovation: Deep renovation is the renovation that is technically feasible and economically viable. This definition would include single measures such as exchange of windows. The Global Buildings Performance Network provides other, more specific definitions 23: •

• •

Deep Renovation or Deep Energy Renovation is a term for a building renovation that captures the full economic energy efficiency potential of improvements. This typically includes a focus on the building shell of existing buildings in order to achieve very high-energy performance. The renovated building consumes 75% less primary energy compared to the status of the existing building before the renovation. The energy consumption after renovation for heating, cooling, ventilation, hot water and lighting, is less than 60 kWh/m2/yr. Deep Retrofit or Deep Energy Retrofit implies replacing existing systems in a building with similar ones that are of higher quality and performance, which leads to a better energy performance of an existing building. Deep Refurbishment or Deep Energy Refurbishment means to bring something back from a state of reduced efficiency to a better state with ‘deep’ indicating a very substantial improvement of the energy use.

Building components such as parts of the energy supply system but also parts of the building envelope such as the façade, windows and the roof have different lifespans which should be reflected in the maintenance and repair/replacement plans of buildings. If maintenance and repair/replacement is managed properly it will hardly be economically viable to upgrade the performance of all building components at the same time in order to achieve a 75% reduction in energy demand. It will be rather necessary to check the maintenance and repair/replacement plans regarding the potential to improve energy efficiency and to adapt them accordingly. However, buildings with a backlog in maintenance and repair offer the opportunity to improve several building components in a combined way and achieve higher energy savings.

Conclusions for ENERFUND concept development: •

23

Define the term “Deep renovation” as it is used by ENERFUND, in order to avoid wrong expectations and hindering limitations.

http://www.gbpn.org/newsroom/report-gbpn-defines-concept-deep-renovation

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

170

©ENERFUND

Relevant general studies and comparative surveys The following general studies and comparative surveys deal with data collection and economic instruments in the field of energy efficiency and the existing building stock. They contain information possibly relevant for ENERFUND. Short summaries are provided below, and more information possibly relevant for ENERFUND is available in Annex 1.

Data collection and making use of data Bloem et al. (2015) provide an overview of existing data collections relevant for energy efficiency in buildings and describe a pilot on the European Union Location Framework (EULF). In this regard, INSPIRE (http://inspire.ec.europa.eu/) might be relevant for ENERFUND. INSPIRE supports common data models and common data access rules adopted by all EU MS and a roadmap to provide interoperability. More selected information is available in Annex 1. Tsionis (2015) provides an overview of projects dealing with data for monitoring the energy performance of buildings. Apart from the projects mentioned in the ENERFUND proposal (ENTRANZE, EPISCOPE), the following projects are described: • •

BPIE web data hub with statistical data on buildings across 30 European countries http://www.buildingsdata.eu GE2O project, defining geo-clusters across EU countries with a view to deploy the potential of energy efficient buildings http://www.geoclusters.eu

A publication edited by Philippe Moseley (EASME) mentions among others the BPIE Data Hub and the forthcoming Buildings Observatory, as well as ODYSEE-MURE http://www.indicators.odyssee-mure.eu/.

Economic instruments Economidou and Bertoldi (2014) present an overview of financing instruments applied in Member States to promote energy efficiency in the building stock. Economidou (2014) presents different type of lease models and approaches how to overcome the split incentive barrier in the building sector. Gee (s.a.) presents ten exemplary financing models drawn from across a number of member states. All models address residential buildings and are comparatively analyzed, e.g. regarding the achieved standard – i.e. how far along the road to nearly zero. Eurosif (2014) presents a comparative assessment of SRI (Sustainable and Responsible Investments) and presents the concept of Impact Investment among other growing ESG (Environmental, Social and Governance Consideration) strategies. EEFIG (2015) presents an analysis of status quo and barriers regarding energy efficiency investments. It lists existing and emerging financial instruments suitable for energy efficiency investments and describes best practice examples.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

171

©ENERFUND

Relevant other projects The projects listed below were recently completed or are still ongoing. They could provide input to ENERFUND and / or should be checked whether potential synergies exist. In many projects, partner countries are also present in ENERFUND, which will make it easier to make contact. In a few cases even project partners are identical. At least collaboration in planning / attending project events should be envisaged. More information about the content, coordinator and participants is provided in Annex 2 and the Permalinks below.

Relevant other projects on data collection Bottom-up data collection activities at the building level take place in projects dealing with Smart Cities and ICT. There are many ongoing projects tackling the challenge of how to make use of various data sources for smart urban development and management. In this regard, another trend is very important for ENERFUND, and this is Building Information Modelling (BIM). Platforms and interfaces are being developed to make use of building planning and execution data during building operation (ISO/TS 12911:2012). BIM is based on the Drawing Interchange File Format (DXF) which is an acknowledged standard and supported by all building related software products. plan4business, Project reference: 296282, Funded under: FP7-ICT A service platform for aggregation, processing and analysis of urban and regional planning data From 2012-04-01 to 2014-03-31 Permalink: http://cordis.europa.eu/project/rcn/103682_en.html

Easy access to mapped data in the EU: http://www.whatstheplan.eu/ proDataMarket, Project reference: 644497, Funded under: H2020-EU.2.1.1.4. Enabling the property Data Marketplace for Novel Data-driven Business Models From 2015-03-01 to 2017-09-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194214_en.html

iKaaS, Project reference: 643262, Funded under: H2020-EU.2.1.1. iKaaS – (intelligent Knowledge-as-a-Service) Platform, will develop an intelligent, privacy preserving and secure SmartCity Platform based on a Big Data resource and an analytics engine built atop heterogeneous cloud platforms with data collected from a variety of sensors from Internet of Things (IoT) environments deployed as mobile terminals, smart devices, and smart homes From 2014-10-01 to 2017-10-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194000_en.html

ExtraLytics, Project reference: 641222, Funded under: H2020-EU.1.1. ExtraLytics: Big Data Analytics for Real Estate From 2014-11-01 to 2016-04-30, ongoing project Permalink: http://cordis.europa.eu/project/rcn/193793_en.html

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

172

©ENERFUND

EDI-Net, Project reference: 695916, funded under: H2020-EU.3.3.7. EDI-NET – The Energy Data Innovation Network; using smart meter data, campaigns and networking to increase the capacity of public authorities to implement sustainable energy policy From 2016-03-01 to 2019-02-28, ongoing project Permalink: http://cordis.europa.eu/project/rcn/200163_en.html

Relevant other projects on financing and Energy Contracting The projects listed below are considered most relevant, more information is available in Annex 2, as well as information about other projects which could also generate synergies with ENERFUND. BUILDINT EREST, Project reference: 695996 funded under: H2020-EU.3.3.7. Improving the attractiveness of investments in energy efficiency and sustainability in buildings by creating three national sustainable energy financing platforms. From 2016-04-01 to 2018-03-31, Grant Agreement signed Permalink: http://cordis.europa.eu/project/rcn/200165_en.html

ICPEU, Project reference: 649836 funded under: H2020-EU.3.3.7. Developing Protocols to standardize the development and documentation of energy efficiency projects in the built environment and accelerate their financing. From 2015-02-01 to 2018-02-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194624_en.html

ET RISK, Project reference: 696004, funded under: H2020-EU.3.3.7. Measuring energy transition (et) risk for investors: developing an energy transition assessment framework for equities and bonds From 2016-02-01 to 2018-07-31, ongoing project Permalink: http://cordis.europa.eu/project/rcn/200070_en.html

EPC_PLUS, Project reference: 649666, funded under: H2020-EU.3.3.7. Energy Performance Contracting Plus: The ultimate goal of the EPC+ project is to reduce transaction costs of energy service packages drastically so that smaller investments and projects in SMEs become possible for companies offering energy services. From 2015-03-01 to 2018-03-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194603_en.html

guarantee Project reference: 696040, funded under: H2020-EU.3.3.7. Energy Efficiency with Performance Guarantees in Private and Public Sector: Based on a concise market analysis, guarantEE will develop innovative business and financing models addressing and overcoming the split incentives dilemma in performance based ESCO projects. From 2016-04-01 to 2019-03-31, Grant Agreement signed Permalink: http://cordis.europa.eu/project/rcn/200155_en.html

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

173

©ENERFUND

Identification of deficiencies in the system The following main deficiencies with respect to making use of EPCs in ENERFUND are identified: • • •

EPCs as such are not comparable, and publicly available EPC indicators are not comparable Access to EPC input data would be necessary but is not always possible Close to reality EPCs would be needed but are not always available

More information is provided in the paragraphs below.

EPCs are not comparable – Publicly available EPC indicators are not comparable EPC indicators are published in advertisements and therefore publicly available, but EPC indicators are not comparable all across Europe. Therefore, rather EPC input data should be used as much as possible (U-values, efficiency of heating systems, …) than EPC indicators. This means that the original EPCs including technical annex displaying the input data should be available for ENERFUND. Regarding recommendations presented in the EPC, the same challenge arises. While some countries use standard recommendations, they are specific in other countries. The fact that the EPC has a validity of 10 years, but the legal framework conditions have changed in most countries due to the EPBD recast 2010 and related adaptations on the national and regional level, there are different EPC versions circulating even on the national or regional level. There is a similar problem with NZEB definitions which differ substantially in Member States 24. This again strongly supports the recommendation to use EPC input data for ENERFUND.

Access to EPC input data would be necessary but is not always possible The conclusion that access to EPC input data will be necessary is supported by the fact that property valuators and other stakeholders such as ESCOs need actual (as close to reality as possible) information about the building in terms of the technical building condition and energy consumption, although it is clear that the latter will be influenced by user behavior. This means that data input used to calculate the EPC must be accessible. In theory, this is possible through accessing EPC databases and retrieving basic building data such as U-values and product data on efficiency of the heating system. However, the establishment of EPC databases is not mandatory, and rules of granting access to EPC databases is different in the Member States.

For more information see Thematic Reports of the Third Concerted Action EPBD, available at: http://www.epbd-ca.eu/ca-outcomes/2011-2015 24

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

174

©ENERFUND

Close to reality EPCs would be needed but are not always available How close is the EPC to reality and how reliable is it? If ENERFUND will use EPC data, this is the key question to success. Also in this regard, there is a huge difference between Member States. There are still member states only requiring the EPC at building permit stage, which means that an updated EPC with design and execution changes included is not available. Such an EPC is not a good basis at all to decide upon improvements in the future. While quality control is comprehensive and strong in a few Member States, it is neglected in many others. ENERFUND could rate the reliability of EPC information by using the information on quality assurance and control systems published by the Third EPBD Concerted Action. There is another aspect influencing the quality of the EPC: With regard to EPCs for the building stock, there is often a lack of specific information for EPC calculation, and default values are used. Calculating the EPC based on actual building components and technical systems data instead of using default input values will result in a more realistic picture, but may increase the cost of the EPC. It will be good to display in ENERFUND whether the input data are specific or default, and rate the quality of default data in terms of how close to reality they are (there is some effort to further develop default values to arrive at more realistic EPCs while keeping costs modest). However, it is not clear whether this information is available. In general, it is a challenge to establish a simple and affordable certification method, providing useful information for both the whole building and each apartment.

Gaps in the data available – input for interviews Input for interviews was provided for the following stakeholder groups (see Task 2.3 questionnaires / interview guidelines): • • •

Building owners Financing institutions Energy Services Companies (ESCOs)

Regarding financing institutions, specific focus should be put on ESG considerations, impact finance and social finance, and which role energy efficiency in buildings already plays or could play in the future. It will be important to find out whether the EPC would be accepted as supporting document. Interviews with building owners should take into account that monitoring and verification of actual energy performance and energy savings is the key to success for unlocking investment in energy efficiency in buildings. To be discussed with selected stakeholders: •

Monitoring and verification of energy savings is usual practice in the ESCO field and is also presented as the key to success by the Investors Confidence Project. However, ICP protocols are based on standards and procedures common in the US (e.g. ASHRAE), but not necessarily applied in Europe. Duplication of procedures will increase transaction cost and thus exclude certain projects.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

175

©ENERFUND

In addition, real estate valuators should be interviewed regarding the following question: •

Which information is needed to assess the development potential of a location in terms of real estate valuation?

INSPIRE 25 makes geo-data sources available which could be useful for assessing the value development potential of a property. In Austria, relevant information is accessible via the Austrian Federal Ministry of Agriculture, Forestry, Environment and Water Management (BMLFUW): https://www.bmlfuw.gv.at/service/geo-informationen.html and the Austrian INSPIRE Portal: http://www.inspire.gv.at/ The following tools could be useful to be combined with ENERFUND:

Noise level map: Lärminfo http://www.laerminfo.at/

Figure 21. Screen Shot of noise level map

Hazardous sites: Altlasten GIS - Altlasten in Österreich https://secure.umweltbundesamt.at/altlasten-service/map_public.xhtml

25

http://inspire.ec.europa.eu/index.cfm/pageid/48

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

176

©ENERFUND

Figure 22. Screen shot of hazardous sites

Flooding risk map: HORA – Hochwasserrisikozonierung Austria http://www.hora.gv.at/

Figure 23. Screen shot of flooding risk in the city of Tulln

The Vienna City Map provides mappings at building level of solar potential, green roofs, geothermal potential, ground water energy potential.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

177

©ENERFUND

Figure 24. Screen shot of Vienna solar potential roof map

Conclusions for ENERFUND concept development Definition of Deep Renovation in the context of ENERFUND Deep renovation should be defined: what does it mean in the context of ENERFUND? We should not limit ourselves and stick to the criterion of 75% energy saving. Deep renovations should be advertised as a means to tackle indoor air /climate problems, reduce expenses, and contribute to reducing the ecological footprint. In this regard, we should not only talk about “cost efficient” renovations, but emphasize “affordable” renovations. Significant benefits other than energy savings and energy cost savings should be made transparent and emphasised, in order to compensate for low energy prices. Two stage approach due to heterogeneous EPCs in Member States The answers to the questionnaire demonstrate that the situation is heterogeneous in the participating countries. This reflects the situation in Europe, and more evidence can be found in the thematic reports of the Third Concerted Action EPBD 26. There are basically two options for developing the ENERFUND concept, and the combination of both: • •

26

to find the least common denominator to cover many Member States equally; to follow the approach of demonstrating selected functionalities in selected countries where conditions are specifically well suited, and thus demonstrate procedures and benefits to others.

Thematic reports and country reports see: http://www.epbd-ca.eu/ca-outcomes/2011-2015

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

178

©ENERFUND

Regarding EPC utilisation, it is suggested to follow a two stage approach: (1) European map: present basic building information such as U-values, type of heating system etc., retrieved from the technical annex of the EPC. (2) Regional / national map: present energy performance indicators and NZEB related information (which is not comparable among Member States at the moment) at regional/national level, e.g. for a “best in class” ranking or benchmarking of buildings. It might be recommendable to exclude specific features from ENERFUND and to develop an additional project (to be submitted to Horizon 2020) where selected demonstrations can be further developed, especially taking into account the requirements of the revised EPBD to be published in 2017. Ensure interoperability with existing and future data sources as well as adaptability to future requirements The concept must have the potential to be further developed according to the revised version of the EPBD which is expected in early 2017. It will be important to take into account changes resulting from the review of the EPBD in 2016. Concept development meets the INSPIRE 27 requirements and makes use of geo-data sources available through the country specific INSPIRE portals. There are important data sources with the potential of automatic data transfer to ENERFUND and automatic update if the appropriate interface is provided: building energy accounting systems, smart meters / utility data, smart city data platforms, and BIM. Learn from other projects for concept development Two projects have been identified which contain some interesting features, although testing them shows that they do not seem to be fully operational yet: Plan4business project: What’s the plan? Easy access to mapped data in the EU http://www.whatstheplan.eu/ This tool promises a location evaluator to assess: • areas suitable for investment or for building a house • locations that can be affected by floods Assessment of areas prone to being affected by natural hazards and assessment of the value development potential of specific locations would be very useful, but the data provided do not meet these objectives. GE2O project: Defining geo-clusters across EU countries with a view to deploy the potential of energy efficient buildings http://www.geoclusters.eu Geo-clusters are wide trans-national areas with similar building typologies, climatic conditions, macroeconomic situation and regulatory framework. A web-based mapping tool was developed for the visualisation of data regarding inter alia the age of construction (given in number of buildings per km2) and use (residential or non residential) of buildings at NUTS3 level and in the large geo-clusters.

27

http://inspire.ec.europa.eu/index.cfm/pageid/48

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

179

©ENERFUND

In fact, according to the Austrian Association of ESCOs called DECA this information is required to develop large uniform investment projects with low transaction cost, which are currently missing. However, the tool does not seem to be fully populated, and might not serve the intended purpose. ENERFUND concept development should consider collaboration with the tool providers or consider integrating the features described above on a more elaborated level. Collection of ideas for concept development Concept development should explicitly respond to the existing doubts and concerns regarding EPCs and consider to provide additional information about the EPCs used as a data source to allow for a rough assessment of reliability of information: • • • • •

Information whether the EPC refers to the building or building unit Information whether the EPC represents the as-built situation (including design and execution changes) Information whether the EPC is based on specific input data and includes specific recommendations Information about the regional/national EPC control and enforcement scheme in place Information about quality assurance procedures in place (targeting independent experts calculating and issuing EPCs)

Aspects to be considered in the field of public buildings: • •

•

•

•

Many municipalities have already been active in collaboration with ESCOs, and it will be important to identify the regions which are already advanced and those regions where energy saving potential is still to be unlocked. Options should be explored how the ENERFUND Tool could create additional benefit for SEAP implementation (Sustainable Energy Action Plan) and benefit from SEAP implementation at the same time. For example, we could utilise recorded energy consumption data for the ENERFUND Tool. In return, ENERFUND could help to access finance for deep renovations by displaying energy consumption data on a map, making these data available for decision making by large ESCOs active in Europe. Bear in mind that there is a difference in Display EPCs between Ireland and UK and the rest of Member States (except Sweden with EPCs only based on measured energy consumption, and Germany allowing both, measured and calculated energy consumption). Case study approach: Due to the heterogeneous situation in the participating countries, it might be recommendable to collaborate with selected municipalities (e.g. Greece) and with associations of municipalities (e.g. Denmark, Austria, Romania, France). Provide information about best practice examples, e.g. in UK, there is circumstantial evidence that large buildings with several years’ worth of continual Display Energy Certificates saved 2% more energy than those that do not.

Provide additional information: •

Presentation of skilled, both professional design services and installers to deliver good quality deep retrofit.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

180

©ENERFUND

• •

Short description of legal situation for specific market segments: Green lease in residential buildings prevented by law or not? Provide information needed for ESG and SRI assessments

Provide examples: Examples should represent typical business cases to convince building owners of the merit of investing in deep retrofit and of making use of ENERFUND. Sources of building renovation examples: e.g. Power House Nearly Zero Energy Challenge: http://www.powerhouseeurope.eu/nc/cases_resources/case_studies/list_view/ The EU-funded project REQUEST 2 ACTION (http://building-request.eu/) has explored several options of how to make use of EPC-databases, and the following pilot projects could be presented as examples in the context of ENERFUND: • • •

The Netherlands: Comparison of EPC data with actual energy consumption. Slovakia: Municipalities using local data to plan retrofit strategies. The UK: Pilot of using EPC data by private sector market actors.

Data sources: Automated data input: •

•

Real estate portals could deliver published EPC indicators to ENERFUND and receive international visibility on the ENERFUND website as a benefit. Due to inhomogeneous information this should only be done on a regional/national bases. EPC databases (registries) and owners (or real estate agents on their behalf) are important sources of detailed EPC data (including technical annex).

Individual data input: •

Individual building owners (and real estate agents acting on their behalf) could upload the EPCs of their buildings into the ENERFUND Tool.

Output of results - choice of reporting options: Building characterisation: • • • • • • • • • • • •

Market segment / building functions Usage pattern Construction period Gross floor surface Installed technologies U-values of envelope components Ratio of exposed envelope area to gross floor surface Climatic conditions Measured energy consumption (average of 3 years) Energy monitoring and verification options Part of ESCO Building Pool (yes/no) Degree of energy-related building upgrade (no replacement measures since 50/30/20 years)

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

181

©ENERFUND

Visualisation of quality of indoor air/climate linked with energy performance, e.g.: • •

Probability of occurrence of mould as a consequence of fuel poverty, bad energy performance, low indoor temperature Probability of occurrence of high humidity and mould as a consequence of insufficient ventilation in airtight highly insulated buildings (but with thermal bridges, e.g. due to lack of quality of the works)

Benchmarking, e.g.: • • •

Comparing public schools with other similar schools (energy and indoor air benchmarking), and by addressing social responsibility and advantages for the national economy (enhancing learning capacity due to good indoor air quality). Ranking of the top 10 real estate agents (see example Spain), building owners, real estate funds, building renovation projects, … Ranking of building owners: show their building stock rated in comparison with the national average building stock and in comparison with 2030 energy goals and other criteria such as indoor air quality, especially for schools

Link EPC information with other databases or information from other data sources, e.g.: • • • •

Transaction price linked with EPC information based on the French example to demonstrate the increase in real estate value, or at least ensuring the conservation of value Energy consumption data combined with EPC information Energy audit according to EED combined with EPC information (national energy audit database if available) Inspection of heating and cooling systems according to EPBD combined with EPC information (national /regional inspection databases if available)

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

182

©ENERFUND

Literature and sources Amecke, H., The Effectiveness of Energy Performance Certificates - Evidence from Germany. CPI Report, Climate Policy Initiative Berlin, 2011Deutsche Asset & Wealth Management: 2014 Real Estate ESG Strategy Update Bienert, S., Schützenhofer, C., Leopoldsberger, G., Bobsin, K., Leutgöb, K., Hüttler, W., Popescu, D., Mladin, E., Koch, D., Edvardsen, D., s.a., ImmoValue – Improving the market impact of energy certification by introducing energy efficiency and life-cycle http://immovalue.ecost into property valuation practice. sieben.at/pdf/immvalue_wp7_report_d7.2.pdf, 1.6.2016 Bloem, H., Boguslawski, R., Borzacchiello, M., T., Cipriano, P., Kona, A., Martirano, G., Maschio, I., Pignatelli, P., JRC Technical Report: Location data for buildings related energy efficiency policies. European Union Location Framework (EULF) Project Feasibility Study, 2015 BPIE, 2015a, European survey shows different speeds on the road to an energy http://bpie.eu/wpefficient building stock. content/uploads/2015/09/Press_Release_BPIE_nZEB.pdf, 9.6.2016 BPIE, 2015b, Nearly Zero Energy Buildings Definitions across Europe. http://bpie.eu/wpcontent/uploads/2015/09/BPIE_factsheet_nZEB_definitions_across_Europe.pdf, 9.6.2016 BPIE, 2015c, Energy Performance Certificates across the EU – A mapping of national http://bpie.eu/wp-content/uploads/2015/10/Energy-Performanceapproaches. Certificates-EPC-across-the-EU.-A-mapping-of-national-approaches-2014.pdf, 13.6.2016 Brauer, K., 2013, Grundlagen der Immobilienwirtschaft: Recht - Steuern - Marketing Finanzierung - Bestandsmanagement – Projektentwicklung, 8. Auflage. Springer Gabler, Wiesbaden, ISBN: 3658016582 Brounen, D., Kok, N., On the economics of energy labels in the housing market. Journal of Environmental Economics and Management, 2011 Elsevier Inc. BSR Research Report 2015: Conditions for Scaling Investment in Social Finance SEPTEMBER 2015 BSR Research Report 2012a: Reporting on Environmental, Social, and Governance Considerations in the Private Equity Sector, A Report for General Partners, August 2012 BSR Research Report 2012b: Trends in ESG Integration in Investments, Summary of the Latest Research and Recommendations to Attract Long-Term Investors, August 2012 EEFIG, Energy Efficiency – the first fuel for the EU Economy. How to drive new finance for energy efficiency investments. Final Report covering Buildings, Industry and SMEs, Energy Efficiency Financial Institutions Group (“EEFIG”), European Union, February 2015 Economidou, M., JRC Science and Policy Reports: Overcoming the split incentive barrier in the building sector. Workshop Summary, 2014, Report EUR 26727 EN

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

183

©ENERFUND

Economidou, M., Bertoldi, P., JRC Science and Policy Reports: Financing building energy renovations. Current experiences & ways forward, 2014, Report EUR 26718 EN Erhorn, H., Erhorn-Kluttig, H., Core Theme Report of the Third Concerted Action EPBD on “Towards 2020 Nearly Zero Energy Buildings”, Overview and Outcomes, 2015 ESRB Report on commercial real estate and financial stability in the EU, published in December 2015 Eurosif, European SRI Study, Eurosif A.I.S.B.L. 2014 Fuerst, F., McAllister, P., Nanda, A., Wyatt, P., Final project report: An investigation of the effect of EPC ratings on house prices. A report for the Department of Energy and Climate Change, 17th June 2013 Gee, L., Financing Nearly Zero Energy Housing Projects: Exemplary financing models from across the European Union, CECODHAS Housing Europe - The Federation of public, cooperative and social housing, s.a. Geissler, S., Altmann‐Mavaddat, N., Core Theme Report of the Third Concerted Action EPBD on “Certification”, Overview and Outcomes, 2015 Geissler, S., Groß, M., Treberspurg, M., Djalili, M., Grünner, R., Brammer, O., Lipp, B., Fellner, M., Sammer, K., Wolfinger, K., 2010, Weiterentwicklung von Immobilienbewertungsmethoden zur Differenzierung von nachhaltigen Gebäuden im https://www.klimafonds.gv.at/assets/Uploads/Blue-GlobeWertermittlungsergebnis. Reports/Forschung/20082010/BGR82010KB07EZ2F44359FSImmobilienbewertung.pdf, 15.6.2016 Hellerforth, M., 2014, Energieeffizienz in der Wohnungs- und Immobilienwirtschaft, 1. Auflage. Haufe Gruppe, Freiburg, ISBN: 978-3-648-05049-1 IFMA, The Economics of Sustainability in Commercial Real Estate, International Facility Management Association 2009-2010 INSPIRE, Commission Regulation (EU) No 1312/2014 of 10 December 2014 amending Regulation (EU) No 1089/2010 implementing Directive 2007/2/EC of the European Parliament and of the Council as regards interoperability of spatial data services ISO/TS 12911:2012 Framework for building information modelling (BIM) guidance Mudgal, S., Lyons, L., Cohen, F., Lyons, R., Fedrigo-Fazio, D., Energy performance certificates in buildings and their impact on transaction prices and rents in selected EU countries. Final Report, European Commission (DG Energy), 19 April 2013 Næss-Schmidt, S., Heebøll, C., Fredslund, N., C., Do homes with better energy efficiency ratings have higher house prices? Econometric approach, Danish Energy Agency, 18 November 2015 Moseley, P., 2016, Practical Approaches to the Building Renovation Challenge, Horizon 2020 Energy Unit, EASME Nelson, A., J., Rakau, O., Green Buildings – A niche becomes mainstream, RREEF Research - A Member of Deutsche Bank Group, April 2010

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

184

©ENERFUND

Novethic Press release: European asset owners and ESG integration: practices differ but ideas are changing, Paris, 3 December 2010 http://www.novethic.com/novethic/v3_uk/upload/ESG_Survey_2010.pdf O’Rourke, K., Core Theme Report of the Third Concerted Action EPBD on “Effectiveness of Support Initiatives”, Overview and Outcomes, 2015 Panev, S., Labanca, N., Bertoldi, P., Serrenho, T., Cahill, C., Boza Kiss, B., JRC Science and Policy Reports: ESCO Market Report for Non-European Countries 2013, Report EUR 26989 EN, 2014 Paulou, J., Lonsdale, J., Jamieson, M., Neuweg, I., Trucco, P., Maio, P., Blom, M., Warringa, G., TECHNICAL Guidance Financing the energy renovation of buildings with Cohesion Policy Funding. Final report, study carried out for the European Commission, DG Energy, European Union 2014 Roelens, W., Loncour, X., Antinucci, M., Core Theme Report of the Third Concerted Action EPBD on “Compliance and Control”, Overview and Outcomes, 2015 Agenzia perRENOVALUE Project, 2014, RenoValue – Triebkräfte für den Wandel: Stärkung der Rolle von Wertermittlern bei der Markttransformation. http://renovalue.eu/wp-content/uploads/2015/12/Fact-Sheet_German.pdf, 1.6.2016 REVALUE - Recognising Energy Efficiency Value in Residential Buildings, Project reference: 649705, funded under: H2020-EU.3.3.7. Permalink: http://cordis.europa.eu/project/rcn/194598_en.html Saheb,Y., Bódis, K., Szabó, S., Ossenbrink, H., Panev, S., JRC Technical Report: Energy Renovation: The Trump Card for the New Start for Europe, 2015, Report EUR 26888 EN Saheb, Y., Szabó, S., Energy renovation How deep can we go? JRC presentation, July 2015 Salden, G., 2014, Die Dynamische Methode – Erfolgreich in Immobilien investieren durch perfektes Timing und ganzheitliche Betrachtung, 1. Auflage. Haufe Gruppe, Freiburg, ISBN: 978-3-648-04910-5 Schulte, K., Schäfers, W., Bone-Winkel, S., 2016, Immobilienökonomie Band 1: Betriebswirtschaftliche Grundlagen, 5. Auflage. De Gruyter, Oldenbourg, ISBN: 3486712551; S. 15 Tsionis, G., JRC Technical Report: European building inventory Framework, 2015 ImmoWertV 2010: Verordnung über die Grundsätze für die Ermittlung der Verkehrswerte von Grundstücken (Immobilienwertermittlungsverordnung –ImmoWertV vom 19. Mai 2010 (BGBl. I S. 639), Bundesministeriums der Justiz und für Verbraucherschutz

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

185

©ENERFUND

Annex 1: Relevant general studies – comparative surveys Bloem, H., Boguslawski, R., Borzacchiello, M., T., Cipriano, P., Kona, A., Martirano, G., Maschio, I., Pignatelli, P., JRC Technical Report: Location data for buildings related energy efficiency policies. European Union Location Framework (EULF) Project Feasibility Study, 2015 This feasibility study has focused on the role of location data in support of energy efficiency policies, taking into account the requirements of INSPIRE, EPBD and EED Directives, as well as the CoM initiative. INSPIRE (http://inspire.ec.europa.eu/) can provide common data models and common data access rules adopted by all EU MS and a roadmap to provide interoperable datasets of high relevance with energy efficiency. The study has identified areas of development and analysis that can be useful to fill the recognised “data gap”, and proposed an initial pilot activity as a startup project to investigate concretely these ideas with a limited number of pilot cities. An overview of existing data collections and a figure showing the architectural concept of the methodology is provided below.

Figure 25. Overview of existing data collections

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

186

©ENERFUND

Figure 26. Conceptual architecture to support the methodology

The aims of the EULF Pilot Project on "Location data for energy efficiency policies" include the following: a) To support local authorities (e.g. Covenant of Mayors signatories) to enhance the energy efficiency policy-making process (from planning to implementation and monitoring), improving the quality of data they use (particularly time series local data). b) To develop a methodology and to provide local authorities with tools to build and update a robust inventory of reliable local energy performance of buildings data (not only based on statistical indicators), to generate energy density maps, a dashboard of indicators and changes over time of energy performance. c) To provide local authorities with tools to share data of better quality related to energy consumption, which can be used by citizens and businesses, including energy saving companies. d) To put in place harmonised data flows to support energy related initiatives at local level (e.g. the CoM) and to align them with the national energy efficiency planning obligations (set by the Energy Efficiency Directive or the Renewable Energy Directive). e) To provide more effective scientific and technical support to European energy efficiency policy-making process, particularly in relation to the collection and use of high quality and reliable data for reporting and monitoring.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

187

©ENERFUND

f) To provide a real example of how INSPIRE can better serve data collection, collation and sharing among different stakeholders. This may include developing a formal definition of an extension of the INSPIRE data specification on Buildings and other data themes related to energy efficiency. g) To provide a best practice case study for the EULF and contribute to implement and test its guidelines where appropriate.

In this section five possible use cases are presented, that the Pilot should develop and test, highlighting how the whole energy efficiency policies life-cycle can be supported. In the pilot project a thorough revision of these examples, following the approach described in the previous section, together with a detailed formal description of the use cases, will be done. Use Case 1 assumes that a local public administration relies on a default dataset for energy performance of buildings (e.g. based on national or local statistics). In this case, the dataset can be improved with data relevant to the physical structure of the buildings, obtained from diverse data sources or collected in-situ. Use Case 2 aims at improving the quality of the estimation of energy consumption at building level (and the corresponding CO2 emissions) to improve the quality and the level of details of the Baseline Emissions Inventory (BEI) for buildings. In this case, the use of actual energy consumption data at building level allows to improve the estimated energy consumptions at building level based on a default energy performance label. Use Case 3 assumes that a local public administration wants to update the energy performance labelling default dataset using the data contained in the energy performance certificates available and to create a web service showing the buildings having an energy performance certificate. Use Case 4 aims at contributing to the national energy efficiency targets using location in data relevant to energy efficiency policies at urban level. In this case, the datasets dealt with in the previous use cases, combined with other urban planning related datasets, can facilitate to set priorities and financial incentives for the refurbishment of a target buildings stock at urban level as a contribution to national renovation targets. Use Case 5 aims at supporting the CoM signatories to prepare and monitor the Emission Inventory, as the main pillars of their Sustainable Energy Action Plans. In this case, in addition to the datasets dealt with in the previous use cases, also data related to the energy production will have to be considered.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

188

©ENERFUND

Tsionis, G., JRC Technical Report: European building inventory Framework, 2015 Data for monitoring the energy performance of buildings Europe-wide building inventories have been developed for monitoring and improving the energy performance of buildings. The Building Performance Institute Europe created a web data hub with statistical data on buildings across 30 European countries (http://www.buildingsdata.eu). A team of experts in each country extracted data from official statistics and studies and resorted to expert estimations in cases where official data were not available. The data of interest for seismic risk assessment that are accessible through the web portal, include the total number of buildings or dwellings in a given country by type (office, education, hospital, hotel/restaurant, sports, wholesale/retail, residential, other) and period of construction, the total floor area by age and building type and the energy consumption by building type. The ENTRANZE project provides data, analysis and guidelines to promote the introduction of nearly zero energy buildings in the existing building stock in Europe (http://www.entranze.eu). Among the collected data that are available by means of an online tool, the percentage of dwellings by period of construction and by type of building (single- or multi-family) and the average floor area by type of building are useful for risk assessment studies. All data are available at country level. The databank was compiled from several sources, including previous research projects, European and national statistics institutes as well as national authorities. The EPISCOPE project focused on the energy refurbishment of houses in 20 European countries (http://episcope.eu). Among the collected information, data regarding the construction period (different classes are defined in each country) and the building type (single-family, terraced house, multi-family house and apartment block) may be useful for risk assessment of large geographic areas. The information was aggregated in climate zones that encompass several regions, i.e. NUTS 1 or higher. The GE2O project defines geo-clusters across EU countries with a view to deploy the potential of energy efficient buildings (http://www.geoclusters.eu). Geo-clusters are wide trans-national areas with similar building typologies, climatic conditions, macroeconomic situation and regulatory framework. A web-based mapping tool was developed for the visualisation of data regarding inter alia the age of construction (given in number of buildings per km2) and use (residential or non residential) of buildings at NUTS3 level and in the large geo-clusters. Within the IMPRO-Building project (Nemry et al 2008), data were collected from several sources and harmonised in order to define an appropriate building stock typology based on several aspects (e.g. population and residential area, building type, age, structure). The overall objective of the project was the analysis of the environmental improvement potentials of residential buildings. The database covered 25 member states of the European Union and defined 72 building types. It collected information on the number of buildings and dwellings by period of construction, material of the load-bearing structure, floors and roof, number of storeys etc. Data are available for countries.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

189

©ENERFUND

Practical Approaches to the Building Renovation Challenge, edited by Philippe Moseley, Project Advisor, Horizon 2020 Energy Unit, EASME BPIE Data Hub and the forthcoming Buildings Observatory: The Buildings Performance Institute Europe (BPIE) Data Hub is supported by several EU-funded projects, including ENTRANZE, ZEBRA2020, EPISCOPE and TABULA, and ODYSEE-MURE, which are helping to fill the gaps that existing in data on the energy performance of the European building stock. FP7 project CommONEnergy is also collecting data related to shopping centres.

Economidou, M., Bertoldi, P., JRC Science and Policy Reports: Financing building energy renovations. Current experiences & ways forward, 2014, Report EUR 26718 EN The structure of this report is as follows: Chapter 1 offers an overview of EU28 economic instruments and their key features. Chapter 2 deals with each type of instrument in detail, drawing key elements for each phase of their policy cycle and providing observations and conclusions. Innovative measures going beyond what is currently in place are proposed in Chapter 3 and conclusions are drawn in Chapter 4. The questionnaire is summarised in Annex I and an overview table of all identified instruments is presented in Annex II. Types of conventional instruments dealt with in the study are displayed in the figure below.

Figure 27. Financing instruments

Economidou, M., JRC Science and Policy Reports: Overcoming the split incentive barrier in the building sector. Workshop Summary, 2014, Report EUR 26727 EN The report presents various types of leases in selected EU Member States and the US and analyses their potential on overcoming the split incentive barrier in the building sector and thus on energy efficiency investments. 'Green lease' is a lease between a landlord and tenant of a commercial building which provides obligations on both parties to minimise adverse environmental impact in areas such as energy, water and waste, and is an important approach to overcome the split incentive barrier. Traditional forms of leases (gross or net) create asymmetries in the relationship between landlords and tenants and therefore do not set the ground for energy efficiency investments. In the commercial sector, green leases can bridge these differences by splitting costs and benefits between the parties in such a way that both parties can benefit from an energy retrofit. Despite their potential, green leases are not currently widely used in Europe. Sharing standard green lease guidelines can increase awareness among key interest groups. The public rental sector can also lead by example by adopting green leases for their rented premises. D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

190

©ENERFUND

Regarding Energy Performance Certificates, the report states that EPCs have failed to create a strong impact on the market. Quality problems, lack of enforcement and poor implementation in practice are some of the issues that need to be addressed. A distinction between building- and user-related energy consumption, where the responsibility of the first lies with the landlord and the second with the tenant, is increasingly needed.

Gee, L., Financing Nearly Zero Energy Housing Projects: Exemplary financing models from across the European Union, CECODHAS Housing Europe - The Federation of public, cooperative and social housing, s.a. Ten exemplary models drawn from across a number of member states are discussed and analysed in the next section, with consideration given to the following questions: What is the scheme for? How is it funded? What is the amount of funding available? How does it work? How long has it been running? What results have been achieved so far? What lessons can be learnt? How easily could it be replicated in other countries (and how)? Does it work on its own or does it need other funding streams/support What environmental standard has it achieved – i.e. how far along the road to nearly zero. These ten models belong to four different types of financing model which are used for funding energy efficient building and refurbishment in Europe: •

•

• •

Enhanced loans – these are loans which have been supported with low interest or interest free periods as part of the loan. These are usually structured so that the Government provides some funding to banks, who in turn lower their interest rates accordingly. Pay as you save (PAYS) – A third party pays the upfront cost of refurbishment, which is then recouped gradually through a charge added to the utility bill. This is often combined with the enhanced loan approach, allowing tenants to access low rate funding for the upfront costs initially too. Guarantee programmes – this model helps to bring financial institutions on board by spreading the credit risk of energy efficiency schemes, making them more attractive to both providers and customers. Energy service companies (ESCO’s) – works carried out by energy providers, where the energy savings created generate revenues which can be used to fund installation of required measures. This is usually done through use of an Energy Performance Contract (EPC), which will stipulate a level of payback as a percentage of energy savings achieved.

Eurosif, European SRI Study, Eurosif A.I.S.B.L. 2014 The 2014 European SRI (Sustainable and Responsible Investment) Study confirms some industry trends already detected in the previous editions. Data was collected or estimated at the end of 2013 covering institutional and retail assets from 13 distinct European markets. The first finding of the Study is that all surveyed Sustainable and Responsible Investment strategies are continuing to grow, in aggregate, with no exception, and they do so at a faster rate than the broad European asset management market. The Study also confirms that Exclusions has gone ‘mainstream’ as a strategy with, by far,

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

191

©ENERFUND

more assets covered than any other strategy, and with the most consistent usage across Europe. For the first time, the Study looks in detail at ESG (Environmental, Social, Governance Consideration) integration practices. Three categories of practices have been defined. • • •

In the first category, ESG analysis is made available to mainstream analysts and fund managers and no formalized process exist. Eurosif calls this “nonsystematic ESG integration.” In the second category, investors systematically consider or include ESG analysis when rating or valuing investments. Finally, the third category covers assets subject to mandatory investment constraints based on findings from ESG research/analyses.

Figure 28. Comparison of SRI Classifications

Impact investment is part of SRI strategies but there are strong differentiators with respect to all other SRI strategies: (a) the explicit expectation of measurable social impacts and (b) the active measurement of these. Impact investors seek to generate measurable benefits and actively measure these. This is a core characteristic of Impact investors and is what makes them distinct from other SRI investors, at least at this stage of the SRI market development. Typically, Impact Investors invest in a portfolio of social enterprises that are seeking to generate social benefits for a specific local community (whether in an OECD country or a developing one). Insurers have had historically little involvement in social investment as underlined by a recent World Economic Forum report from 2013.27 However, a few recent moves indicate that this may change as illustrated in the following table.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

192

©ENERFUND

Figure 29. Examples of Impact Investment Initiatives by European Insurers

EEFIG, Energy Efficiency – the first fuel for the EU Economy. How to drive new finance for energy efficiency investments. Final Report covering Buildings, Industry and SMEs, Energy Efficiency Financial Institutions Group (“EEFIG”), European Union, February 2015 The report presents an analysis of status quo and barriers regarding energy efficiency investments. It lists existing and emerging financial instruments suitable for energy efficiency investments and describes best practice examples. Existing Financial Instruments: • • • • • • •

Dedicated Credit Lines Risk-sharing facilities (Guarantee funds and First-loss Facilities) Subordinated Loan Covered Bonds Real Estate and Infrastructure Funds Energy Performance Contracting (Private Sector Provider) Leasing

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

193

©ENERFUND

Emerging financial instruments: • • • • • • • •

On-Bill Repayment On-Tax Finance (PACE) Energy Efficiency Funds Green Bonds Energy Services Agreement Public ESCOs for Deep Renovation (Public Buildings and Housing) Factoring Fund for Energy Performance Contracts Citizens Funding

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

194

©ENERFUND

Annex 2: Relevant projects, recently completed or ongoing

Projects on data collection plan4business, Project reference: 296282, Funded under: FP7-ICT A service platform for aggregation, processing and analysis of urban and regional planning data From 2012-04-01 to 2014-03-31 Permalink: http://cordis.europa.eu/project/rcn/103682_en.html

The plan4business project consequently aims to develop a platform that can serve users a full catalogue of planning data such as transport infrastructure, regional plans, urban plans and zoning plans. The platform offers clients not just the data itself in integrated, harmonised and thus ready-to use form, but it also offers rich analysis and visualisation services via an API and an interactive web frontend. Functions offered range from simple statistical analysis to complex trend detection and to 2D/3D representations of these. http://cordis.europa.eu/docs/projects/cnect/2/296282/080/publishing/readmore/PlanFo rBusiness-Publishable-summary-2014.pdf Easy access to mapped data in the EU: http://www.whatstheplan.eu/ Coordinator: FRAUNHOFER-GESELLSCHAFT ZUR FOERDERUNG DER ANGEWANDTEN FORSCHUNG E.V Germany Participants: HELP SERVICE - REMOTE SENSING SRO Czech Republic ZAPADOCESKA UNIVERZITA V PLZNI Czech Republic INTERNATIONALE VERENIGING VAN STEDEBOUWKUNDIGEN Netherlands ASPLAN VIAK INTERNET AS Norway GEOSYSTEMS POLSKA SPOLKA Z OGRANICZONA ODPOWIEZIALNOSCIA Poland

proDataMarket, Project reference: 644497, Funded under: H2020-EU.2.1.1.4. Enabling the property Data Marketplace for Novel Data-driven Business Models From 2015-03-01 to 2017-09-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194214_en.html

proDataMarket aims to disrupt the property data market and demonstrate innovation across sectors where property data is relevant, by integrating a technical framework for effective publishing and consumption of property-related data, showcasing novel data-driven business products and services based on property data. proDataMarket will provide a digital data marketplace for open and non-open property and related contextual data, making it easier for data providers to publish and distribute their data (for free or for a fee) and for data consumers to easily access the data they need for their businesses. Coordinator: STIFTELSEN SINTEF Norway Participants: CERVED GROUP SPA Italy EVRY NORGE AS Norway EMPRESA DE TRANSFORMACION AGRARIA SA Spain KOMMUNAL- OG MODERNISERINGSDEPARTEMENTET Norway

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

195

©ENERFUND

SPAZIODATI SRL Italy ONTOTEXT AD Bulgaria ISTITUTO NAZIONALE DI STATISTICA Italy

iKaaS, Project reference: 643262, Funded under: H2020-EU.2.1.1. intelligent Knowledge-as-a-Service Platform From 2014-10-01 to 2017-10-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194000_en.html

iKaaS – (intelligent Knowledge-as-a-Service) Platform, will develop an intelligent, privacy preserving ans secure Smart City Platform based on a Big Data resource and an analytics engine built atop heterogeneous cloud platforms with data collected from a variety of sensors from Internet of Things (IoT) environments deployed as mobile terminals, smart devices, and smart homes. We envisage that this data and the analytics engine – a knowledge base – would be fundamental building blocks for cross-border business-to-government (B2G), business-to-business(B2B) and businessto-consumer(B2C) applications, such as lifestyle recommendation, future city planning, academic research and analysis, location-and behaviour-specific targeted services and so on. Coordinator: UNIVERSITY OF SURREY United Kingdom Participants: WINGS ICT SOLUTIONS INFORMATION & COMMUNICATION TECHNOLOGIES EPE Greece ATOS SPAIN SA Spain CREATE-NET (CENTER FOR RESEARCH AND TELECOMMUNICATION EXPERIMENTATION FOR NETWORKED COMMUNITIES) Italy INNOTEC21 GMBH Germany OULUN YLIOPISTO Finland EMPRESA MUNICIPAL DE TRANSPORTES DE MADRID SA Spain AYUNTAMIENTO DE MADRID Spain COMUNIDAD DE MADRID Spain

ExtraLytics, Project reference: 641222, Funded under: H2020-EU.1.1. ExtraLytics: Big Data Analytics for Real Estate From 2014-11-01 to 2016-04-30, ongoing project Permalink: http://cordis.europa.eu/project/rcn/193793_en.html

Currently, big data analytics is employed only by technologically savvy organisations with control over the relevant data. This further exacerbates the information asymmetry that has been plaguing many of these areas: real estate where buyers have long suffered from limited information, often controlled by the seller; or retail markets where sellers are now employing sophisticated competitive price intelligence solutions unaffordable to buyers. Who can tell you if it is better to buy a house with a garden or with a garage; or where renovations will yield more rent over time? ExtraLytics answers these questions through a combination of big data extraction and analytics. ExtraLytics introduces analytics and prediction models into DIADEM’s platform for accurate big data extraction from the web, which is able to extract required data at massive scale from the web. For the proof-of-concept, ExtraLytics initially focuses on residential real estate in the UK, a £4,135bn market (UBS), where buyers and renters are required to make fast decision with limited information—time on market is often

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

196

©ENERFUND

below a week or even below a day as for desirable rentals in Oxford. ExtraLytics addresses this lack of data-driven analytics by giving consumers and investors alike a tool for better understanding properties, their location, their neighborhood, and their investment potential compared to other properties. Coordinator: THE CHANCELLOR, MASTERS AND SCHOLARS OF THE UNIVERSITY OF OXFORD United Kingdom

EDI-Net, Project reference: 695916, funded under: H2020-EU.3.3.7. EDI-NET – The Energy Data Innovation Network; using smart meter data, campaigns and networking to increase the capacity of public authorities to implement sustainable energy policy From 2016-03-01 to 2019-02-28, ongoing project Permalink: http://cordis.europa.eu/project/rcn/200163_en.html

The core of EDI-NET is the analysis of smart meter data from buildings, from renewable energy systems and from building energy management systems (BEMS) using Big Data analytics technologies. The attractive fruit around this core is an online forum to spread knowledge and facilitate exchange of experience and best practice through peer to peer education in a friendly and useful way. The tree that supports and ripens the fruit is the existing European network of Climate Alliance that builds the capacity of EU public authorities to more effectively implement sustainable energy policies. Coordinator: DE MONTFORT UNIVERSITY United Kingdom Participants: CLIMATE ALLIANCE - KLIMA-BUENDNIS - ALIANZA DEL CLIMA e.V. Germany LEICESTER CITY COUNCIL United Kingdom CENTRE INTERNACIONAL DE METODES NUMERICS EN ENGINYERIA Spain Departament de Territori i Sostenibilitat - Generalitat de Catalunya Spain EMPIRICA GESELLSCHAFT FUER KOMMUNIKATIONS- UND TECHNOLOGIE FORSCHUNG MBH Germany STADT NURNBERG Germany

Projects on financing BUILDINT EREST, Project reference: 695996 funded under: H2020-EU.3.3.7. Improving the attractiveness of investments in energy efficiency and sustainability in buildings From 2016-04-01 to 2018-03-31, Grant Agreement signed Permalink: http://cordis.europa.eu/project/rcn/200165_en.html

BUILDINTEREST will structurally improve the financeability and attractiveness of investments in renewable energy or energy efficiency in buildings by creating three national sustainable energy financing platforms. BUILDINTEREST will develop three national sustainable energy financing platforms: in The Netherlands (Duurzaam Gebouwd), Italy (ASTER) and France (BPIFrance). To further increase its impact, BUILDINTEREST aims at rapid replication of the national platforms in other European countries. Among other activities, 6 large-scale (inter)national events are organized during the project.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

197

©ENERFUND

Coordinator: PNO CONSULTANTS BV Netherlands Participants: ASTER - SOCIETA CONSORTILE PER AZIONI Italy BPIFRANCE FINANCEMENT SA France EUROPE UNLIMITED S.A. Belgium STICHTING ENERGIEONDERZOEK CENTRUM NEDERLAND Netherlands

ICPEU, Project reference: 649836 funded under: H2020-EU.3.3.7. Developing Protocols to standardize the development and documentation of energy efficiency projects in the built environment and accelerate their financing. From 2015-02-01 to 2018-02-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194624_en.html

The importance of increasing investor confidence in energy efficiency as an asset class was stressed in a recent EU chartered Energy Efficiency Financial Institutions Group report which also highlighted the US based Investor Confidence Project as “a relevant model” and recommended “an EU Investor Confidence Project”. This project will deliver that Investor Confidence Project (ICP) to the EU. The project will work with key stakeholders to develop open source Protocols and apply them to real projects. Coordinator: ENERGYPRO LIMITED United Kingdom Participants: PLUS ULTRA ASSET MANAGEMENT GMBH Germany RDA - CLIMATE SOLUTIONS UNIPESSOAL LDA Portugal DENKSTATT GMBH Austria THE ECOFIN RESEARCH FOUNDATION United Kingdom DNV KEMA LIMITED United Kingdom VERCO ADVISORY SERVICES LIMITED United Kingdom

SEAF, Project reference: 696023, funded under: H2020-EU.3.3.7. Standardisation Framework

and

Communication

of

Sustainable

Energy

Asset

Evaluation

From 2016-02-01 to 2018-01-31, ongoing project Permalink: http://cordis.europa.eu/project/rcn/200071_en.html

The main barriers to finance of Sustainable Energy Assets (SEA) projects – namely energy efficiency, demand response, distributed renewable energy generation and electricity storage – are: 1) project valuation difficulties; 2) difficulties in project optimisation; 3) a communication gap between contractors and investors leading to a lack of trust. Today, protocols and tools exist for project valuation, but they are used separately, in different ways by different investors or contractors. Therefore, SEA projects are valuated on a one-off basis, without any standardisation. The SEAF project will significantly lower the entry barriers to finance for small to medium projects, through combining existing tools and protocols, namely Joule Assets’ market valuation tool, the risk assessment methodology from insurance company HSB and the Investor Confidence Project’s energy performance protocols. These three service tools will be integrated into an all-in-one, easy to use, single source valuation and risk assessment framework. Coordinator: JOULE ASSET EUROPE AB OY Finland Participants: ARISTOTELIO PANEPISTIMIO THESSALONIKIS Greece THE UNIVERSITY OF MANCHESTER United Kingdom

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

198

©ENERFUND

HSB ENGINEERING INSURANCE LIMITED United Kingdom SEA - SERVIZI ENERGIA AMBIENTE SRL Italy

RentalCal, Project reference: 649656, funded under: H2020-EU.3.3.7. Incentives through Transparency: European Rental Housing Framework for Profitability Calculation of Energetic Retrofitting Investments From 2015-03-01 to 2018-03-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194612_en.html

The current level of energy efficiency investments in the rental housing sector is in danger of missing EU policy targets. RentalCal aims to develop models and tools for assessing the commercial viability of energy efficiency retrofitting in the rental housing stock. This will reduce split incentive barriers, price in green added value and show a clear road map towards a sustainable housing stock. In particular, RentalCal seeks to make the following key contributions: 1. Develop the first commercial viability assessment framework for energy efficiency refurbishments specifically for rental housing 2. Increase the transparency of investment conditions in the EU housing industry 3. Disseminate key insights into the 'Green Value' proposition to specific target groups Coordinator: INSTITUT WOHNEN UND UMWELT GMBH Germany Participants: EUROPEAN GREEN CITIES APS Denmark STU-K AS Czech Republic DELPHIS DEVELOPPEMENT ETUDES POUR LE LOGEMENT LA PROMOTION DE L'HABITAL'INNOVATION ET LE SOCIAL ASSOCIATION France Narodowa Agencje Poszanowania Energii SA Poland UNIVERSITAET REGENSBURG Germany UNIVERSIDAD DE ALICANTE Spain THE CHANCELLOR, MASTERS AND SCHOLARS OF THE UNIVERSITY OF CAMBRIDGE United Kingdom KARLSRUHER INSTITUT FUER TECHNOLOGIE Germany TiasNimbas Business School B.V. Netherlands AALBORG UNIVERSITET Denmark

ET RISK, Project reference: 696004, funded under: H2020-EU.3.3.7. MEASURING ENERGY TRANSITION (ET) RISK FOR INVESTORS: DEVELOPING AN ENERGY TRANSITION ASSESSMENT FRAMEWORK FOR EQUITIES AND BONDS From 2016-02-01 to 2018-07-31, ongoing project Permalink: http://cordis.europa.eu/project/rcn/200070_en.html

The transition to a low-carbon economy creates financial risk and opportunities. A key barrier for investors in responding to this risk relates to the shortcomings of the current landscape of asset valuation and credit risk models in capturing this financial risk and opportunity. The objective of the project is to develop an Energy Transition (ET) risk and opportunity assessment framework. The objectives of this framework are to help investors and policy makers understand the materiality of energy transition risk and opportunity, help investors assess this materiality for bond and equity portfolios, and engage with investors & policy makers on responding to these risks in order to mobilize capital for sustainable energy investment. The activities focus on seven key

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

199

©ENERFUND

industries. The core focus is on building bottomup databases, Energy transition risk and opportunity scenarios net margin impact models. These outputs will then feed into newly developed equity valuation (developed by Kepler-Cheuvreux) and credit risk models (developed by S&P Capital IQ). The project enables investors and analysts to implement these models into their investment decisionmaking, either through the assessment framework or directly equity and bond indices developed in the course of the project. Coordinator: ASSOCIATION 2 INVESTING INITIATIVE France Participants: KEPLER CAPITAL MARKETS SA France THE CHANCELLOR, MASTERS AND SCHOLARS OF THE UNIVERSITY OF OXFORD United Kingdom CARBON TRACKER INITIATIVE LIMITED United Kingdom THE CO FIRM GMBH Germany ASSOCIATION POUR LA PROMOTION DE LARECHERCHE SUR L ECONOMIE DU CARBONE APREC France MCGRAW HILL INTERNATIONAL (U.K.) LIMITED United Kingdom

Projects on Energy Contracting EPC_PLUS, Project reference: 649666, funded under: H2020-EU.3.3.7. Energy Performance Contracting Plus From 2015-03-01 to 2018-03-01, ongoing project Permalink: http://cordis.europa.eu/project/rcn/194603_en.html

Energy Performance Contracting (EPC) is generally looked upon favourably, but its implementation can be complicated and lengthy. The reason lies mainly in the procurement law provisions and the long-term and complex contracts, which impede a real breakthrough in the spread of the EPC methodology. The other main barriers for the implementation of EPC in SMEs are: • The transaction costs for procuring energy services are too high • Investments and project sizes are too small • It is difficult to obtain financing for such small projects • High costs for guarantees, measurement and verification procedures The ultimate goal of the EPC+ project is to reduce transaction costs of energy service packages drastically so that smaller investments and projects in SMEs become possible for companies offering energy services. This can only happen if both the technical solutions as well as the contractual issues of energy services are highly standardized. The energy services offered can be either partly or wholly financed with innovative financing solutions, or may be more service-oriented solutions with guaranteed energy performances. Coordinator: CENTRE FOR RENEWABLE ENERGY SOURCESAND SAVING FONDATION Greece Participants: Arbeitsgemeinschaft ASEW c/o VKU Germany FACTOR 4 BVBA Belgium GRAZER ENERGIEAGENTUR GMBH Austria E7 ENERGIE MARKT ANALYSE Austria TIPPERARY ENERGY AGENCY LBG Ireland ESCAN SL Spain

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

200

©ENERFUND

INSTITUTO DE SISTEMAS E ROBOTICA-ASSOCIACAO Portugal ESCO ITALIA SRL Italy INSTITUT JOZEF STEFAN Slovenia HELESCO ENERGY SERVICES SA Greece SDRUZHENIE CHERNOMORSKI IZSLEDOVATELSKI ENERGIEN TSENTAR Bulgaria

Guarantee, Project reference: 696040, funded under: H2020-EU.3.3.7. Energy Efficiency with Performance Guarantees in Private and Public Sector From 2016-04-01 to 2019-03-31, Grant Agreement signed Permalink: http://cordis.europa.eu/project/rcn/200155_en.html

Based on a concise market analysis, guarantEE will develop innovative business and financing models addressing and overcoming the split incentives dilemma in performance based ESCO projects. This will be done by adequately sharing costs and benefits between user, building owner and ESCO (triple-win approach), thus opening up new project opportunities. Furthermore, EPC contract variants will be elaborated and tested, addressing the need for enhanced flexibility (e.g. exit clauses, simplified M&V, future energy market needs, storage). The target groups are public and – especially in advanced EPC markets – private sector clients. The developed models will be applied in 33 pilot projects involving private and public building owners. Coordinator: BERLINER ENERGIEAGENTUR GESELLSCHAFT MIT BESCHRANKTER HAFTUNG Germany Participants GRAZER ENERGIEAGENTUR GMBH Austria NORSK ENOK OG ENERGI AS Norway CITY OF DUBLIN ENERGY MANAGEMENT AGENCY LIMITED Ireland FACTOR 4 BVBA Belgium INSTITUT CATALA D'ENERGIA Spain TUD BUSINESS CONSULTING SRL Romania ENERGETICKE CENTRUM BRATISLAVA Slovakia PUBLIC INVESTMENT DEVELOPMENT AGENCY Lithuania ENVIROS S.R.O. Czech Republic INSTITUT JOZEF STEFAN Slovenia MINISTERIE VAN ECONOMISCHE ZAKEN, LANDBOUW EN INNOVATIE Netherlands AGENZIA NAZIONALE PER LE NUOVE TECNOLOGIE,L'ENERGIA E LO SVILUPPO ECONOMICO SOSTENIBILE Italy SEM ENERGIES POSIT'IF France

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

201

©ENERFUND

Annex 3: T2.2 Questionnaires received from partners Annex 3 is attached as zip-file containing the full version of submitted questionnaires and an overview with the most important aspects. The overview was compiled in a comparative way to facilitate analysis.

D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

202

©ENERFUND

PROJECT DETAILS: Website:

www.enerfund.eu

Twitter:

@enerfund

Facebook:

/enerfund

Disclaimer: The sole responsibility for the content of this publication lies with the authors. It does not necessarily reflect the opinion of the European Union. Neither the EASME nor the European Commission are responsible for any use that may be made of the information contained therein. D2.1 - Report on current status of EPC in targeted countries, relevant data from existing initiatives, and on EPC implementation on the real estate market

203

©ENERFUND