The third, implementation phase of the Energy Efficient Mortgages Initiative has been launched, with the aim of delivering market demonstrators in conjunction with an Energy Efficient Mortgage Label, which the EMF-ECBC says plays into an EU Renovation Wave strategy detailed on Wednesday.

The European Mortgage Federation-European Covered Bond Council (EMF-ECBC) and consortium partners on Thursday announced the launch of the Energy Efficient Mortgage Market Implementation Plan (EeMMIP), the third phase of the Energy Efficient Mortgages Initiative (EEMI), for which EU support and funding under the Horizon 2020 programme was gained in January.

The EMF-ECBC said EeMMIP will build on efforts to develop energy efficient mortgages by delivering the preconditions to secure an integrated market in Europe, and a blueprint for established and emerging markets around the globe, by way of deeper consumer and market research, an Energy Efficient Mortgage Label, market demonstrators, and institutional cooperation and guidance on including energy efficiency in loan risk assessment and prudential supervision.

“We are very glad to see the continuation of the EEMI through this third project, which aims concretely at rolling out energy efficient mortgages in market demonstrator environments in the EU,” said Luca Bertalot, EMF-ECBC secretary general and Energy Efficient Mortgages Initiative Coordinator. “These demonstrators will combine private sector incentives with public sector subsidies and secure benefits for consumers.

“We believe that energy efficient mortgages can play a pivotal role in supporting the Covid-19 recovery plan and making the EU Green Deal and its Renovation Wave a genuine opportunity for all European citizens to invest in their homes.”

The European Commission published its Renovation Wave strategy on Wednesday, aiming to double renovation rates in the next 10 years and ensure that renovations lead to higher energy and resource efficiency.

“With the Renovation Wave, we will tackle the many barriers that today make renovation complex, expensive and time consuming, holding back much needed action,” said commissioner for Energy, Kadri Simson. “We will propose better ways to measure renovation benefits, minimum energy performance standards, more EU funding and technical assistance encourage green mortgages and support more renewables in heating and cooling.

“This will be a game-changer for home-owners, tenants and public authorities.”

According to the Commission, only 1% of buildings undergo energy efficient renovations every year, but under its strategy 35 million could be renovated by 2030 and up to 160,000 additional “green jobs” created.

In parallel with the launch of the Renovation Wave strategy and in conjunction with the Commission’s European Green Deal ambition, president Ursula von der Leyen last Tuesday announced plans for a “European Bauhaus”, seeking to create a forum for experts and citizens to create an aesthetic combining good design with sustainability.

In this vein, the EMF-ECBC is inviting stakeholders to participate in an EEMI Bauhaus, kicking off “green arena” discussions in an online event on 23 November.

“In essence, the idea is to mobilise creativity and innovation in the market and share and leverage on this across jurisdictions,” said Bertalot.

The EMF-ECBC also hopes to launch its EEM Label soon, and recently submitted a new Horizon 2020 application related to the renovation of historic buildings.

Photo: Commissioners Frans Timmermans and Kadri Simson giving Wednesday’s Renovation Wave strategy announcement; Credit: EC Audiovisual Service/Lukasz-Kobus; Copyright EU