Report Summary
Tackling building retrofits is crucial if the EU is to meet its ambitious 2020 energy and climate goals: improving energy efficiency by 20% and achieving a 20% reduction of greenhouse gas emissions from 1990 levels. Buildings now account for 40% of total primary energy consumption and 36% of greenhouse gas emissions in the region.
Approximately 40% of Europe’s building stock predates the 1960s and is in dire need of renovation. Unlike emerging economies such as China and India that are experiencing an explosion of new building, new construction in Europe represents only about 1% of building stock. EU energy efficiency laws for buildings are some of the world’s most progressive, but implementation is patchy and varies by country.
Full execution of existing regulation is needed to promote both energy-efficient new builds and retrofits, the latter being where most gains can be achieved. Indeed, most buildings present today in the EU will still be standing in 2050. Yet, renovation rates across the EU are low, standing at approximately 1% of the building stock. Only a minority of upgrades are substantial or what experts refer to as “deep retrofi ts”. Encouraging deep renovations through clear legislation and innovative financing mechanisms would help achieve scale and help meet the 2020 targets.
