Recommendations for a neighbourhood approach to maximize energy efficiency in renovation and energy planification

This position paper calls on the European Commission to integrate the notion of neighbourhood approach in the EU building and energy efficiency policy framework, in the national programmes for buildings renovations and in the upcoming Renovation Wave strategy.

The current energy efficiency legislative framework in buildings already refers to the notion of a district or neighbourhood approach, in particular in Art.19, §2, of the Energy Performance of Buildings Directive (EPBD).

While the article refers to 2026, given the multiple benefits of a neighbourhood approach and the need for accelerating our climate actions, the EU should prioritize the integration of this principle in its climate and energy framework and any new initiatives linked to renovation and decarbonization. This is all the more relevant, as the main challenge today is not so much the construction of new buildings as the renovation of the existing ones.

We need to make sure that the renovation policies deliver fast and concrete results in terms of increased energy efficiency and overall system efficiency, reduced energy consumption and reduced GHG emissions. A neighbourhood approach could help us achieve these goals and the overall objective of a highly energy efficient and decarbonized building stock.

 

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EU wide Renovation Wave: where growth strategy and job creation meet climate goals and social inclusiveness

Unlocking the potential for energy efficiency and carbon footprint reduction that lies in the EU buildings stock is a top priority for the European Alliance to Save Energy.

 

As businesses and investors having energy efficiency and energy demand reduction at the heart of our activities, we look forward to seeing Europe’s global climate leadership translated in green measures which will lead to a sustainable recovery through stimulus packages. We strongly believe that the Renovation Wave as part of the EU Green Deal is a great opportunity to promote a European based industry, with technologies and expertise able to serve the renovation demand locally. This will help to maintain the competitive advantage of the European industry and will contribute to the European green recovery and local job creation while lifting millions of Europeans out of energy poverty.

We support a system-wide approach that puts highly energy efficient, renewable-based, smart and flexible buildings at the center of a fast-changing decentralized energy system.

With this in mind, we envisage an EU wide building Renovation Wave which revolves around the swift implementation of the Energy Efficiency First principle as the fastest and most cost-effective way to reduce emissions and stimulate sustainable economic recovery.

We are convinced that highly energy efficient and smart buildings are the first and indispensable step to:

  • Accelerate the deployment of renewable energy sources
  • Foster sector integration of buildings with other sectors, including industry,
    transport and energy sectors
  • Catalyse energy system decentralization and enhance overall system efficiency
  • Stimulate a sustainable economic recovery, and boost local employment

For this to happen Europe must back an ambitious and impactful Renovation Wave which aims to increase the energy efficiency of buildings by reducing their energy consumption and by fostering the greater quality, the rate, and the depth of comprehensive renovations encompassing envelopes and technical buildings systems. Concretely, and to stay on track with the EPBD goal of decarbonizing the EU building stock by 2050, the Renovation Wave should be designed to reach a minimum of a 3% renovation rate per year combined with an average energy efficiency improvement of 75%.

The social impact of an EU wide energy efficient Renovation Wave would be tremendous. Improved comfort, cleaner indoor and outdoor air quality, reduced energy bills, the emerging role of prosumers with the possibility to optimise and monetise their energy resources on a peer-topeer market place, better and more qualified local jobs are just a few concrete examples of the multiple benefits that Energy Efficiency First in buildings would deliver to those who need them the most, i.e. live in energy poverty.

 

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The Industrial Emissions Directive review and the European Green Deal: fully realise water and energy savings in industry and related emission reduction

We welcome the review of the Industrial Emissions Directive (IED). While we believe the Directive has been responsible for solid progress against identified air and water pollutants, and the BREF process has contributed to identifying Best Available Techniques, in its current form the Directive is not able to contribute toward EU ambitions for climate neutrality.

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EU-ASE contributes to Coalition’s Energy Efficiency package for the European Green Deal

The EU and its Member States have committed to achieving a significant reduction of their overall energy demand by agreeing on 20% and 32.5% energy efficiency targets for 2020 and 2030 respectively. Those targets set by the Energy Efficiency Directive (EED) are minimum targets for which the Member States have to pledge indicative national contributions. In order to secure the achievement of these targets, the EU provides binding measures, including:

  • the energy savings obligation (EED Article 7), requiring each Member State to put in place policies and measures to deliver a minimum amount of new and additional energy savings per year until 2050;
  • Ecodesign, Energy Performance of Buildings Directive (EPBD) and CO2 emission standards for vehicles to ensure that CO2 emissions are reduced, and energy performance is significantly improved.

Although the current policy architecture (EU headline target, indicative national contributions and binding measures) has led to improvements, it is still not delivering enough. Energy consumption has been growing over the last years, and the European Commission does not expect the 2020 target to be achieved. Furthermore, the national 2030 energy efficiency national contributions put forward by Member States in their draft national energy and climate plans (NECPs) bring the EU only halfway to its 2030 energy savings target compared to the baseline.

In this context, the Coalition for Energy Savings notes that the Commission intends to reinforce the existing policy framework. Not delivering the minimum energy efficiency target is not an option. On the contrary, the 2030 target will need
to be revised to get on a path to net-zero emissions and to tap the cost-effective energy efficiency potential of at least 40%.

The Coalition for Energy Savings calls on the Commission to strongly support full implementation and enforcement of existing legislation and, in parallel, to put in place new measures to increase the ambition.

The Coalition proposes the following Energy Efficiency Package as an enabler to deliver the European Green Deal.

10 priorities for transformative policies under the European Green Deal

The European Green Deal Communication acknowledges that in the effort to reduce GHG emissions and achieve climate neutrality by 2050, energy efficiency must be prioritised. At EUASE, we have set out 10 priorities to make sure that the policies under the EGD fully apply the Energy Efficiency First principle.

On December 11, the European Commission presented an outline of its European Green Deal.  According to the proposed timeline, the increase of the EU 2030 climate target – the flagship initiative of the package – will be presented by summer 2020. This timeline will require Member States to agree on a much higher 2030 target at the European Council in June 2020, which will be key to enable the EU to lead the way towards bold climate ambition internationally.

The EGD Communication acknowledges that in the effort to reduce GHG emissions and achieve climate neutrality by 2050, energy efficiency must be prioritised, however the Communication lacks a specific reference to the Energy Efficiency First principle and the commitment to increase the 2030 energy efficiency target.

Here are our 10 priorities to make sure that the policies under the European Green Deal fully apply this principle:

  1. Accelerate the implementation of the Clean Energy Package by strengthening
    and facilitating monitoring, evaluation and exchange of good practices
  2. Reopen the Clean Energy Package in order to align it with increased ambition
    by 2030 and climate neutrality by 2050
  3. Apply the energy efficiency first principle to all energy planning and
    investments
  4. Lead by example ensuring that 100% of public (central, regional and local)
    buildings are nearly-zero energy (NZEB) by 2030
  5. Boost the renovation of existing residential and commercial buildings and
    mobilize resources to eradicate energy poverty
  6. Fully exploit water-energy nexus and introduce energy performance
    objectives in all current and future water policies and regulations
  7. Prioritize finance for energy efficiency in all EU funding programmes post
    2020 and improve access to technical assistance
  8. Remove all existing barriers to the full functioning of energy performance
    contracting
  9. Raise awareness about the multiple economic, social and environmental
    benefits of energy efficiency for citizens, cities and businesses
  10. Promote digitalization as a driver of greater efficiency

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