Sectoral Collaboration Project with regard to Financing Energy Efficiency in
Buildings within the frame of
EU Regulations and Legal Arrangements
Construction and the construction materials industry is the largest sector in terms of employment within EU. Around 40% of total energy demand in the EU is consumed in the buildings sector. Within this context, it is needed to promote the improvement of energy performance of buildings within the EU through cost-effective measures.
Governments have a role in triggering creative energy efficiency financing and should focus on policies which facilitate private sector involvement and create an energy efficiency finance market for a sustainable change. Market needs in financing energy efficiency are not realized because of the split incentives, absence of clear responsibility, low priority of energy issues, high transaction costs, information failure in finance sector and incomplete markets for energy efficiency. New energy efficiency policies such as public-private partnerships, preferential loans, voluntary partnerships and risk-sharing instruments can help overcome these barriers and trigger increased investments.
Project partner countries (Albania, Belgium, Bosnia-Herzegovina, Macedonia, Montenegro, Serbia and Turkey) have different applications and legal requirements in energy efficient financing. There are many financial barriers as well as the lack of legal arrangements. Furthermore, a fear of hidden costs has discouraged investors from funding energy efficiency. Specific instruments need to be implemented to overcome such financial barriers.
Although governments try to implement fiscal incentives, launch awareness campaigns, and subsidy programmes, private actors, such as banks, haven’t play their roles properly by offering preferential loans and other financial incentives to their customers.
The European Energy Policy targets are 20% reduction of greenhouse gases, 20% savings in primary energy consumption through energy efficiency measure and 20% share of renewable energy in final energy consumption by 2020. In order to reach these targets, it is quite important to share best practices of legal and financial applications in different European countries and create a common model in energy efficient financing.
With this project, Türkiye İMSAD, being the project leader with 9 countries and 49 partners and associates, a unique sectoral collaboration is being made. This will be the first step to reach a solution on the energy efficiency financing in buildings.
To contribute the development of the financial instruments and mechanisms in order to build up the market for energy efficient products and methods in the partner countries.
1. To create a database/document about energy efficiency regulations, incentives and financial mechanisms in the partner countries and in the EU and provide regular flow of information and knowledge sharing between project partners.
2. To provide coordination and regular flow of information between public institutions, private sector and NGO’s about developing financial instruments.
3. To develop recommendations for partner countries, European Commission and public institutions and make contributions for them to form strategic collaborations and action plans
1. Making a research about the energy efficient applications and incentives in the partner countries and the EU.
2. Organizing meetings and conferences in order to share the information about the best practices.
3. Organizing inter-country study visits and attendance to the workshops in France and Macedonia
4. Organizing round-table meetings with sector professionals in every partner country.
5. Procuring coordination and systematic information flow in between public institutions, private sector and NGO’s about improvement of financial equipments.
6. Making recommendations to partner countries, EU Commission and public organizations according to the results of the meetings and conferences.
7. To contribute to form strategic associations and action plans.