Fiscal deduction in Italy for energy efficiency in residential buildings: Some insights

Abstract

After more than 10 years since its introduction, the fiscal deduction scheme of 55-65% for energy renovation of existing buildings has represented a veritable break in the Italian energy efficiency world. Such incentives have allowed to limit the serious economic crisis faced by the Italian building sector, at the same time implying the valorisation of buildings and improving life quality of Italian people. In this article, the EU and national regulatory context where the 55-65% tax deduction scheme operates will be briefly summarised, as well as their role relative to the Italian objectives within the implementation of the Energy Efficiency Directive. The savings achieved by different types of interventions will be described, together with the associated investments. The trends on the market of incentivised technologies will be finally identified, also estimating employment impacts on the construction sector and developing other economic considerations and policy implications in order to untap a huge energy saving potential.