Midterm review of the use of structural funds for energy efficiency in existing

housing in France

Carine PuyolMarch-23, 2011

L’Union Sociale pour l’habitat

- 4.2 millions of social housing dwellings in France- 10 millions of inhabitants housed

Our commitment:

- 800 000 households will benefit from energy retrofit for their home by 2020

Région ERDF Amount 4% of ERDFERDF allocated for EE of

housing

Alsace 76 3 3

Aquitaine 392 15,7 15

Auvergne 207 8 4

Basse Normandie 181 7 6

Bourgogne 185 7,4 4,5

Bretagne 302 12 6 + 5,7

Centre 196 7,8 4

Champagne Ardenne 196 7,5 1,8

Franche Comté 147 5,8 5,8

Haute Normandie 219 8,8 8

Ile de France 151 6 6+4

Languedoc Roussillon 270 10,8 10,8

Limousin 127 5 1 +1

Lorraine 330 13,2 13,2

Midi Pyrénées 430 17,2 30 enveloppe globale

Nord Pas De Calais 700 28 20+20

Pays de la Loire 302 12 12

Picardie 201 8 8

Poitou Charentes 201 8 8

PACA 302 12 6+2,5

Rhône Alpes 334 13 12,9

ERDF allocation in French regions (without DOM)

March 2011: 82.5% of ERDF funds allocated in 22 months

4% of ERDFERDF allocated

to EE in Housing

ERDF amounts spent (or in process)

216,4 M 186,4 M 153,8 M

-9 regions have spent all ERDF to Energy efficiency to housing-4 have decided to increase ERDF amount to energy efficiency for housing in 4% limitation-2 have have asked to increase ERDF for EE amount beyond the 4% limitation at regional level

How many Households?

March 2011: 44,569 dwellings for low-income households retrofited with the contribution of ERDF (accepted or under approval process)

July 2011: 63,000 dwellings will be supported by ERDF

Average ERDF support: 3452 euros per dwelling

Leverage effect of ERDF

Eco-loan

National subsidies

local subsidies

FEDER

Leverage effect of ERDF

• Criteria of performance: the better the energy performance improvement is, the higher the ERDF co-financing rate is 

ERDF impact

Step change in energy performance

32%

16%

43%

9%

1%

37%

46%

15%

1%

Significant savings per Households

• Energy savings per year per households(*):

– 1170 euros per year or 98 euros per month

– Based on local experience: energy retrofiting means 40% of energy saving

(*) Theoretical savings based on an estimated energy cost of 7,24 euros/kwh

Potential of 15,000 jobs

Total investments generated with

ERDF support in 15 regions (out of 22)

= 570 millions d’euros

=10 317 jobs created or maintained

= 687 jobs per regions

i.e., a potential of 15 000 jobs for the 22 regions (excl. DOM)

• Local jobs:mainly SMEs, jobs that can’t be delocalized

•1MM d’euros investi dans la rénovation de logement= 18.2 emploi (source: FFB)

Success Model: partnership

- Vertical Partnership: From European institutions down to local organisations.– Partnership at european, national

and local level. – Continuous flow of

information/feedback/success stories

– Integration into national and regional environmental strategies

Success Model: partnership- Horizontal Partnership National level: work with the French Administration on

the conditions of implementation of the ERDF measure in regions.

At the local level: Regional Associations Hlm with their partners work on

• Diagnosis and evaluation of needs at regional level• the definition of ERDF eligibility criterion,• Flexibility in the type of ERDF forms of interventions

(allocation/ financial tool) • Accompanying measures: support to social housing

organization• Capitalisation and monitoring

Recommandations

1. Idenfication of the needs to build energy strategy at regional level: end of 4% limitation

2. Mobilization of all partners (Institutional, professional and financial): EC and members state should encourage implementation of partnership

3. Flexibility in the type of ERDF forms of interventions (allocation/ financial tool)

4. Administrative simplification