Abstract
PurposeMost of the European apartment blocks are rental units of which the majority needs major refurbishments in upcoming years to achieve climate goals. On the other hand, it is still difficult for property owners to evaluate the profitability of energetic retrofitting investments. The purpose of this paper is to contribute to the situation by forming a standardized framework and tool to calculate profitability of energy efficiency investments throughout Europe.Design/methodology/approachFrom a European perspective, several different areas of interest (technical, legal, institutional and financial) have been screened to develop an extensive compendium. This has been performed by literature research and several national surveys. Based on these findings, an online-based tool for profitability calculation has been developed to support the decision-making process of each individual, regardless his knowledge on energy efficiency.FindingsThis paper provides a short overview on main investment barriers in Germany. It is found that both market conditions and information deficits harm energy efficiency investments. Frequently, the decision-making process is found difficult due to inflexible regulations and lack of knowledge. This dramatically reduces market incentives that are already in place. Most often, the investor user dilemma is seen as the main investment obstacle. In this context, transparency and reliability are found to trigger energy-efficient investments.Practical implicationsFindings are used to identify best practice examples and to assess their transferability to other markets and countries. Innovative solutions have been extracted to improve the overall investment climate.Originality/valueThe paper contributes to a sound foundation for energy-related investments and the fulfillment of EU reduction targets.
Highlights
Most of the European apartment blocks are rental units of which the majority needs major refurbishments in upcoming years to achieve climate goals
The purpose of this paper is to contribute to the situation by forming a standardized framework and tool to calculate profitability of energy efficiency investments throughout Europe
This paper provides a short overview on main investment barriers in Germany
Summary
The following findings are based on a three-year European Union funded project, conducted by a consortium of eleven institutes and universities in eight countries, including several German partners and other institutions, such as the University of Cambridge. JPIF 36,1 for energy efficiency upgrades in the consortium European countries were surveyed to provide specific information to residential real estate owners about profitable and cost optimal energy efficiency investments. Best practices in these countries were identified, and their transferability to other markets and countries was assessed. Most of the existing housing stock in Germany can be attributed to the Wilhelmine era of rapid urban expansion and the post-Second World War period of reconstruction and economic growth These buildings should be subject to major lifecycle bound modernization activity. About 40 percent of the rental housing stock is property of individual private landlords, and another quarter is held by condominium associations These target groups need to be attracted to increase retrofit activities (Figure 1)
Sign-in/Register to view highlights & summary Sign-in/Register to access full text options 
Free) 
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a call
