Building retrofit is a complex and capital-intensive process requiring collaboration between the public and private sectors, often requiring a life cycle approach to minimise environmental and social burdens.
Retrofits range from single-measure improvements, such as insulation or heating system upgrades or window replacements, to more comprehensive building overhauls involving the entire envelope and system upgrades. This report focuses on a particular type of building retrofit—the deep energy retrofit—which aims to significantly reduce energy consumption and emissions while enhancing building energy performance.
The definition of deep retrofit is shaped by the context, where interpretations vary regionally due to differences in needs and goals.
The concept of deep retrofit is relatively well established in European countries, as buildings have become more of a focal sector for decarbonising the EU economy in the past 20 years. In recent years, the social and economic impact of the recent energy crisis has made accelerating and deepening energy renovation a high priority in the region. For other countries, the concept of deep retrofit (or lack thereof) as a specific set of measures in policy making is shaped by other factors such as:
The barriers to deep energy retrofit gathered from surveys and desk research are grouped into four categories: policy and regulatory, technical, financial and social.
Insufficient building retrofit ambitions
Lack of definition addressing deep retrofit and of policies such as minimum energy performance standards
Lack of integration between renewable energy policies
Frequent changes in political priorities
High up-front costs and occasional long-term payback periods
Lack of affordable financing options and subsidies for low-income households
Hindrance in investment due to the landlord-tenant dilemma
Skilled labour shortage and instability of labour supply
Constraints on the availability of construction materials due to international supply chain issues
Lack of awareness of benefits of deep energy retrofits among owners and tenants
Lack of expertise and technical advice
The report’s recommendations address the challenges faced by governments, as well as create a framework for how deep retrofits enable building decarbonisation. Mirroring the barriers, the main recommendations are:
Strengthen and harmonise existing policies and regulations to set ambitious energy efficiency targets
Develop comprehensive energy efficiency policies and regulations including an established definition of deep energy retrofit
Expand existing financial support mechanisms to encourage and incentivise deep energy retrofits
Establish dedicated funding mechanisms or funds to provide support specifically for deep energy retrofit
Establish training initiatives and capacity building programmes
Continue knowledge sharing among national governments as well as local stakeholders
Launch public awareness campaigns highlighting the benefits of deep energy retrofit
Establish technical assistance programmes and support
This report provides a framework to inform policy makers, industry stakeholders and practitioners to implement deep energy retrofits more effectively, ultimately contributing to global decarbonisation goals.
Task Group members have expressed their commitment to expand and deepen their analysis of deep energy retrofits and to continue developing enabling frameworks.
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