District-level planning for Dutch housing renovation
Accounting for approximately 40 % of total energy consumption, the building sector has a critical role to play in the energy transition needed to realise the Green Deal. However, only 1 % of building stock is retrofitted annually with energy efficiency measures. The EU-funded DistrictEES project aims to accelerate the rate of energy efficiency renovation in multiple districts in the Netherlands.
Building on energy efficiency subscriptions
Clever financing and enlisting in-demand construction companies are essential to increasing the pace of renovation. Energy performance financing is a market-based instrument that can achieve results. Initially, DistrictEES modelled the project’s concept on a successful small-scale housing subscription. The intention was for the Van Wijnen Group to provide district-level renovation plans targeting private owners, housing associations, public buildings and commercial buildings. Scaling up renovation to this degree has many attractive features. A sufficient aggregation of projects attracts investment and the interest of the construction companies needed to carry out the work. It also raises the awareness of property owners, leading to a higher level of buy-in within the targeted district. Aggregating projects lowers the cost of renovation and yields greater total energy and financial savings for the consumer. While attractive on many levels, DistrictEES determined that the energy efficiency subscription model was not feasible at the district level because assembling the necessary financial and building resources all at once was not possible. Therefore, the project adjusted its approach. According to project coordinator Tristan Dekker: “By being flexible with the original plan, a new equivalent approach that aligns with existing financing methods and works with a phased district approach has been developed. This means a district is made sustainable in steps rather than all at once.”
The district-level approach
The modified approach breaks down each district into subdivisions. Once these sub-districts have been determined, Dekker says: “The homes belonging to the sub-district housing association and those of private homeowners are simultaneously offered options based on sustainability plans. The public and commercial real estate in the same sub-area are offered options based on the renovation plans of the respective owners.” This process is repeated from one sub-district to the next until the entire area has been served. With the district-level approach, the project continues to build up capacity and is currently active in six districts. DistrictEES has achieved notable renovation levels in the districts of Overstegen and Oranjewijk. So far, the project has made 450 homes more energy efficient, with savings of at least 736 278 KgCO2 per year. The overall aim of the project is to develop a business model that will accelerate the transition of the Netherlands to a natural gas-free built environment. This goal derives not only from climate mitigation efforts, but from growing concern over earthquakes caused in the north of the country by natural gas extraction. The project’s investment of over EUR 19 million in the northeastern provinces spurred on the pace of building renovation and led to a total energy savings of 2.725 MWh per year. The district-level approach is coming at the right time, as more citizens and policymakers strive to safeguard the environment. The phased approach implemented by DistrictEES is bringing the Netherlands closer to its goal of a natural gas-free future.
Keywords
DistrictEES, energy efficiency, the Netherlands, financing, district-level approach, natural gas-free, housing renovation, energy efficiency subscriptions
