Hurdling Financial Barriers to Low Energy Buildings: Experiencesfrom the USA and Europe on Financial Incentives and Monetizing Building Energy Savings in Private Investment Decisions
Secondary Author(s)
Baden, Steve; Waide, Paul; De T'serclaes, Philippine; Lausten, Jens
Report Number
FSEC-PF-396-06
URL
http://publications.energyresearch.ucf.edu/wp-content/uploads/2018/06/FSEC-PF-396-06.pdf
Keywords
Buildings; Commercialization; Financial incentives; Building energy savings; Low energy buildings; Private investment; Energy policy
Abstract
There is a growing awareness by policy makers, the news media and consumers on both sides of the Atlantic that private investment decisions concerning the energy performance of the building stock do not reflect the cradle to grave value of potential building energy saving investments. Not only is a large part of the building stock leased to tenants, thereby taking away the owners direct interest in investments to lower energy bills, but the vast majority of owner-occupied buildings undergo multiple changes in ownership during their lifetimes and thus each individual owner has a limited financial interest in undertaking investments to minimize the buildings long-term energy costs.
If low or zero energy buildings are to be achieved beyond a niche market for "early adopters" and the wealthy, it is necessary to adopt market forces that will enhance the demand for such buildings. Financing practices that monetize long-term energy costs in near-term investment decisions can make a major contribution to this effort. This paper reports on a number of such initiatives that have been implemented in the European Union and the United States. It also examines complementary policies in both regions that are creating a more favorable environment for such investments. The paper will also explore new options to financing and identify areas where the European Union and the United States can cooperate.
Date Published
8-22-2006
Identifiers
488
Subjects
Buildings--Energy conservation; Investments; Energy consumption--Economic aspects; Energy policy; Financial services industry
Local Subjects
Buildings; Commercialization
Type
Text; Document
Creator (Linked Data)
Fairey, Philip W. [LC]
Collection
FSEC Energy Research Center® Collection
STARS Citation
Florida Solar Energy Center and Fairey, Philip W., "Hurdling Financial Barriers to Low Energy Buildings: Experiencesfrom the USA and Europe on Financial Incentives and Monetizing Building Energy Savings in Private Investment Decisions" (2006). FSEC Energy Research Center®. 488.
https://stars.library.ucf.edu/fsec/488
Rights Statement
Notes
© ACEEE Summer Study on Energy Efficiency in Buildings