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Multiple Impacts CAlculation Tool

Periodic Reporting for period 1 - MICAT (Multiple Impacts CAlculation Tool)

Período documentado: 2020-10-01 hasta 2022-03-31

On 9th July 2021, the European Parliament published its European Climate Law, entering into force 20 days later. Besides setting climate neutrality by 2050 as legally binding target, it introduces a reduction in greenhouse gas emissions of 55% until 2030 into legislation, significantly raising the previous objective of 40%. The EU Commission’s Fit for 55 package has outlined a roadmap to achieve the targets by proposing key measures in a variety of sectors. With regard to energy efficiency, a measure package has been conceived regarding energy efficiency, involving a recast of the energy efficiency directive (EED) with more ambitious targets. However, this raises the issue how many cost-effective energy efficiency measures are still available in the Member States. But up to now, cost-effectiveness is merely assessed on the end user level. Thereby, a wide range of further societal benefits is neglected whose consideration significantly extends the societally cost-effective potential. Energy efficiency measures have shown to create new employments, and thereby reduce the burden on public budgets as well as stimulate the GDP. They also reduce the need for fossil fuels and countries’ import dependency, thereby improving the energy security. Regarding environmental benefits, energy efficiency entails reductions in greenhouse gas emissions as well as in local air pollutants. Moreover, increased thermal comfort due to the insulation of buildings and a reduction in severe respiratory diseases linked to air pollution boost citizens’ health and well-being, both aspects financially relieving national health systems Retrofitting and insulating in the residential sector also tackles the issue of energy poverty. Major EU projects such as ODYSSEE-MURE, COMBI or M-Benefits have already focused on societal benefits of energy efficiency both from a policy and from a company-centred perspective. In addition to that, the Multiple Impact CAlculation Tool project (MICAT) aims at enabling policy-makers to use the gathered knowledge in an utterly simple way by quantifying and monetising multiple benefits resulting from given energy efficiency measures within a free, scientifically sound, and straightforward online tool. The tool aims at allowing the quantification and monetisation of multiple benefits of energy efficiency at the EU, national, and local level as well as the assessment via cost-benefit-analysis.
I. Development of an overall quantification and monetisation concept for multiple impacts (MI) as a basis for the online quantification tool (MICATool). This includes a) the categorisation of the MI in in the three overarching categories of social, economic and environmental impacts and preparation of a final list of indicators to be quantified b) the definition of the quantification chain from input data to outputs in the form of quantified and monetised MI c) the analyses and definition of input data requirements from scenario studies and policy impact evaluation.
II. Development of a methodological framework and concepts for the aggregation of monetary values of the multiple impacts assessed and for conducting a comprehensive cost-benefits analysis (CBA). It serves to operationalise the CBA in the MICAT online tool. This includes a) the identification of primary target groups b) the analysis of possibilities for the aggregation of quantified impacts without double-counting c) identification of suitable indicators for cost-effectiveness including the multiple benefits of energy efficiency.
III. Research of quantification and monetisation methodologies for all indicators in the three MI categories (social, economic and environmental impacts) and development of impact factors or functions for inclusion in the MICATool. This also includes a first series of factsheets on a number of indicators, which will be completed in the second half of the project.
IV. First selection of energy efficiency policy measures and scenarios which will be assessed by the MICATool.
V. Development of the structure of the MICATool.
VI. Development of a core stakeholders’ engagement strategy for the three governance levels taken into account in the MICAT project (local, national, EU). Before the relevant stakeholders have been identified, three cities and three EU Member states have been chosen which directly participate in the MICATool and deliver the necessary input data. At the local level, the following cities have been selected in a tender process: Vitoria-Gasteiz (Basque Country, Spain), Calvià (Mallorca, Spain) and Tartu (Tartumaa, Estonia). At the national level, the following Member States have been chosen: Germany, Italy, and Poland.
VII. Conduction of a first series of stakeholder workshops at the three levels of the analysis (EU, national, local). The aim was to specify the needs related to the monitoring of multiple impacts in the respective governance level’s scenarios and policies, including collecting information on the available input data, which will then determine the output results of the tool. On top of this, during this step, the consortium collected the level of interest of the various governance levels on each of the proposed social, economic, and environmental MICAT indicators.
VIII. Development of the communication, dissemination and exploitation strategy for the MICAT project. In the beginning of the project, this strategy was laid down in a plan, which was and will be updated and adapted in the course of the project. Major tools for project communication and dissemination and exploitation of the MICAT results are a stakeholder database, the project websites and other materials as e.g. press releases, indicator fact sheets, key deliverables as well as conference and journal papers and presentations.
The main focus of MICAT during the first reporting period was on the identification and categorisation of the multiple impacts of energy efficiency and on methodological issues with regard to their quantification. In a parallel process, the needs of policy makers and other relevant stakeholders related to the monitoring of multiple impacts in the respective governance level’s scenarios and policies have been collected. Based on this methodological and empirical basis, the MICATool will be further developed and modified with regard to a high policy relevance. The main result expected from the MICAT project is a tool that enables policy makers and other stakeholders to quantify and monetise the various multiple benefits of energy efficiency in a simple, but at the same time scientifically sound way. And this tool should cover the EU, national, and local level as well as the assessment via cost-benefit-analysis. In this way, the MICATool could play a central role in guiding policy processes and energy efficiency legislation drafting, bringing the multiple impacts approach to the fore. Since energy efficiency mainly encompasses societal benefits, the MICATool can support and promote funding programmes, enticing private actors to invest in energy efficiency. Thereby, they can share their incentive in favour of energy efficiency accruing from multiple impacts with actors from the residential and industrial sector in order to entice them to implement energy saving measures. This would expand the range of cost-effective measures without negatively impacting public budgets, due to the variety of accompanying co-benefits and their monetary impact.