Upgrading buildings energy performance and smartness

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1 EPBD revisionpolicy background: Upgrading buildings energy performance and smartness Gordon SUTHERLAND Senior Project Advisor European Commission- EASME, Horizon 2020 Energy Unit

2 WHAT ARE OUR GOALS? CREATING JOBS & GROWTH, BRINGING DOWN GREENHOUSE GAS EMISSIONS, SECURING ENERGY SUPPLY Putting energy efficiency first Delivering a fair deal for consumers Demonstrating global leadership in renewables

3 CLEAN ENERGY FOR ALL EUROPEANS PACKAGE Innovative Inter-connected Enabling Framework Energy Union Governance Inclusive Energy Efficiency Renewables Electricity Market Design Socially fair Energy Efficiency Directive, Energy Performance of Buildings Directive Revised Renewable Energy Directive Regulation and Directive on internal electricity market; Regulation on riskpreparedness, ACER regulation Safe for all 3 #EnergyUnion Digital Investmentfriendly

4 Energy efficiency legislation ACHIEVING THE BINDING 30% ENERGY EFFICIENCY TARGET BY 2030 Energy Efficiency Directive Binding 30% energy efficiency target for 2030 Continue & clarify Art. 7 beyond consider energy poverty Empower consumers by granting access to information on their energy consumption --> Create 400,000 new jobs Reduce gas imports by 12% Save 70 billion in fossil fuel imports Energy Performance of Buildings Directive Clear vision for a decarbonised building stock by 2050 Smart & Efficient buildings through use of Information and Communication Technologies and Smart Technologies; EV-charging Smart Finance for Smart Buildings initiative: o More effective use of public funding o Aggregation of funds o De-risking Protect vulnerable groups & address energy poverty Ecodesign Working Plan List of new product groups Outline on how ecodesign will contribute to circular economy objectives Specific measures for verification tolerances and air heating and cooling products Guidelines on voluntary agreements 4 #EnergyUnion 4

5 Good practice in energy efficiency- publication & SWD Examples of good practice from policy, technology and investment in energy efficiency from different sectors and across Europe Link to the publication: sites/ener/files/documents/g ood_practice_in_ee_-web.pdf Full document: Commission Staff Working Document 'Good practice in energy efficiency' Accompanying the document Proposal for a Directive of the European Parliament and of the Council amending Directive 2012/27/EU on Energy Efficiency; SWD/2016/0404 final 5 #EnergyUnion

6 EPBD review: focus on buildings for good reasons FACTS 75% of the housing stock is energy inefficient, missing the benefits of increased renovation. Renovation rates are too low and renovation depth is too shallow. Need to accelerate and finance building renovation investments. Tapping the potential of smart building technologies

7 THE PROPOSAL TO REVISE THE EPBD BETTER BUILDINGS, FASTER Smart- supporting ICT, smart building technologies and infrastructure for e-mobility Simpler Supportive of building renovation 7

8 More impactful provisions Renovation strategies, With a long term vision and financing provisions Long term building renovation strategies (Article 2a) Provisions on long-term strategies in Article 4 of Directive 2012/27/EU (EED) in the EPBD moved in a new article 2a. Completed by 2 new paragraphs: Vision of a decarbonised building stock by 2050; Smart Finance for Smart Buildings approach to mobilisation of investment. Working in synergy with Article 7 of the EED

9 More supportive provisions building on Energy Performance Certificates Financial incentives, transparency in energy performance calculation provide a stronger link between financial measures in the Member States and energy efficiency improvements in the renovation of buildings (Article 10) In addition to energy performance, allow for tracking of actual energy consumption of all types of buildings in existing databases. For buildings frequently visited by the public (over 250 m2) the databases are required to contain this information and be regularly updated. For statistical and research purposes, aggregated and anonymised data shall be made available at least for public authorities. Clarification of the framework for the calculation of energy performance of buildings (Annex I) Including stronger links with CEN standards.

10 Simpler and more impactful provisions Inspections Inspections on heating & air-conditioning systems are updated (Articles 14 and 15) Reduced administrative burden, Focus on medium to large buildings, Leveraging the effectiveness of electronic monitoring. New thresholds introduced: Apartment block with central systems: 100 kw Non-residential buildings: 250 MWh/year primary energy Electronic monitoring - alternative to inspections Deletion of (existing) alternative measures based on advice

11 Smarter provisions Technical Building Systems An updated definition of Technical Building Systems (TBS) and additional provisions to better documenting the initial performance of technical building systems and maintain their operational performance over time Extending the scope of TBS to building automation and control, on-site electricity generation, on-site infrastructure for electromobility (Article 2(3)) System requirements for new, replaced and upgraded TBS (article 8(1)) and tracing, documenting and passing on to the building owner the energy performance of technical building systems following installation, replacement or upgrade (+ inclusion in the national energy certificate database) (Article 8(5)).

12 Smarter provisions Electro-mobility Additional provisions to support the deployment of the EU infrastructure for electro-mobility Installation of recharging points (at least 1 every 10 parking spaces) in non-residential buildings with more than 10 parking spaces. The provision applies to new buildings and buildings undergoing major renovation, and, from 2025, to all nonresidential buildings (Article 8(2)) Pre-cabling of every parking space in new or major renovation of residential buildings with more than 10 parking spaces (Article 8(3)) Some exemptions for buildings already covered by the current legislation and of buildings owned and used by SMEs (article 8(4))

13 Smarter provisions Smartness readiness indicator New article 8(6) proposes introducing a Smart Readiness Indicator for buildings. Will characterize the ability of a building to manage itself, To interact with its occupants, And to take part in demand response and contribute to smooth, safe and optimal operation of connected energy assets. Progress towards smarter building systems can support a more efficient implementation of the EPBD and result in additional benefits for building users, energy consumers and future grids. The Smart Readiness Indicator will support the uptake of technical innovation in the building sector, where there is a lack of investment despite short payback periods.

14 THE "SMART FINANCE FOR SMART BUILDINGS" INITIATIVE MAJOR GOAL - improve investment climate for energy efficiency More effective use of public funds Deploying Financial Instruments and flexible energy efficiency and renewable financing platforms Building on EFSI II blending with ESIF funds Assistance and aggregation Supporting the project pipeline at EU and local level Project Development Assistance facilities "One-stop-shops" De-risking Understanding the risks and benefits for financiers and investors The De-risking Energy Efficiency Platform Commonly accepted underwriting framework

15 State of play of energy efficiency files EED AND EPBD PROPOSALS The negotiations of the energy efficiency proposals are progressing well. The Council reached a General Approach on the EED and the EPBD on 26 June This is a major step forward. In the European Parliament: The ITRE Committee voted its report on the EPBD on 11 October and is planned to vote its report on the EED on 28 November. The first trialogue on the EPBD took place on 7 November.

16 Energy Information Days took place from October 2017 Find out more:

17 Thank you! Gordon SUTHERLAND Senior Project Advisor Horizon 2020 Energy Unit European Commission - EASME 17 #EnergyUnion