About
The idea of a European Renovation Wave is one of the key pillars of the EU Green Deal. Renovation of existing buildings is considered a key priority for achieving climate neutrality by 2050. The measures under the strategy shall partly be funded via the EU long-term budget and the Next Generation Europe programme, but there is also a major need for private investment. Energy efficiency is an important part of the EU plan for reviving the economy after the coronavirus crisis.
At present, the weighted average energy efficient renovation rate is only about 1% per year and the deep renovations that reduce consumption by at least 60% are carried out only in 0.2% of the EU building stock per year. The EU estimates that 85-95% of existing buildings will still be in use in 2050, of which as much as 75% are not currently considered to be energy efficient.
The strategy aims to increase the proportion of European buildings that have been renovated, by at least doubling the renovation rate towards 2030. The ambition is to thereby renovate
35 million buildings over the next decade, and creating up to 160,000 additional green jobs in the construction sector.
The strategy is an important contribution to enabling the EU to meet its emission reduction targets for 2030 and become climate neutral by 2050. The strategy is also a response to European "energy poverty" – 34 million Europeans are currently unable to afford keeping their homes heated, according to the Commission. The strategy shall improve people’s health and reduce their energy costs. Renovation of public buildings, such as council flats, schools and hospitals, are top priorities.
The Commission has announced that it will consider stronger rules, standards and information requirements on the energy efficiency of buildings, including, inter alia, phased introduction of mandatory minimum energy performance standards for existing buildings and updated rules for Energy Performance Certificates, as implemented through the 2024 revision of the EU Energy Performance of Buildings Directive of 2010. Further, implement public sector building renovation requirements.
Who does it impact?
EU member states
Status: Launched
Launched 14 October 2020
Thommessen's comments
All EU member states are required under the EU Energy Performance of Buildings Directive of 2010 (revised in 2024) to prepare a long-term strategy for renovation of buildings, with a focus on energy efficiency and decarbonisation. The said Directive has not been implemented in Norway thus far, nor has such a Norwegian strategy been prepared. However, the Ministry of Petroleum and Energy and the Ministry of Local Government and Modernisation have in April 2021 established a working group charged with preparing a technical basis for developing a long-term strategy for energy efficient renovation, with input from the National Building Authority and Administration and the Norwegian Water Resources and Energy Directorate. Its report was submitted in 2022.
It is too early to say for certain what direct impact the EU Renovation Wave Strategy will have on Norway. Rules, standards and information requirements adopted by the EU on the basis of the strategy may be implemented in Norway via the EEA Agreement. Besides, Norway is already closely aligned with EU climate policy through its agreement on attaining the climate objective for 2030 in collaboration with the EU. Consequently, there is every reason to expect that EU initiatives, focuses and objectives will also influence what will happen in Norway.
A higher renovation rate in Norway will probably, as in the EU, require a combination of government grant schemes and rules/policy tools that stimulate private investment in energy efficient renovation. The Norwegian authorities have been criticised by the construction industry for being slow off the mark in following the good example set by the EU, and for a lack of government energy efficiency grants.