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Aggregation and improved Governance for untapping Residential Energy Efficiency potential in the Basque Country

Periodic Reporting for period 2 - AGREE (Aggregation and improved Governance for untapping Residential Energy Efficiency potential in the Basque Country)

Reporting period: 2021-03-01 to 2023-11-30

Energy renovation of post-World War II private multifamily residential buildings has been identified as a great challenge across Europe. Lack of adequate investment schemes, misalignment between residents' needs and grants and loans' design, complex governance and management, and fragmented demand are hindering the great energy saving potential captured in this sector. These barriers are even more stressed in Southern Europe, where energy savings are not perceived as a priority due to its moderate climate and longer return periods in energy efficiency investments.
The overall objective of AGREE is to trigger investments in energy efficient retrofitting of private multifamily residential building estates in the Basque Country, through the development and deployment of innovative mechanisms for demand activation and aggregation, improved governance and tailored financing solutions.
We can confirm that all the objectives of the project have been achieved:
• The systematized methodology based on the analysis of statistical data and municipal information leads to the prioritization of the areas to identify the opportunities for intervention and allows more tailored renovation interventions.
• A Deployment Package for energy efficient retrofitting of private multifamily residential building estates was co-created based in the analysis carried out of challenges and opportunities on current policies, governance and management protocols, and grant and loan design and implementation.
• The Action Plans, ensuring active engagement of residents in the process, was successfully deployed in Basauri, Vitoria-Gasteiz and Donostia by each Housing and Urban Redevelopment Agency (SUR) partner Bidebi Ensanche 21 and Donostiako Etxegintza.
• The activities carried out in the AGREE Academy have fostered the replication and uptake of the project´s lessons and results at regional, National and European level.
The main impacts of the project in figures are 602 households renovated, with a total investment in EE of 10,8 million EUROS, and an average of Primary Energy savings of 123,35 kWh / year.
The project began by developing the methodology for municipalities and for other relevant stakeholders for the diagnosis and prioritization of homogeneous groups of residential estates to address their renovation based on an analysis of their needs and their opportunity. At this early stage of the project each SUR co-created its own Action Plan adapted to the local characteristics which established a strategy that structured the process and the participation of the different agents, establishing their role in each phase, especially that of the residents. The AGREE Academy Plan was designed to facilitate and support the replication process with the aim to extend the benefits of the project, from the local to the European level.
Last period, AGREE focused on deploying the Action Plans in each of the municipalities to reach the expected investments in EE renovations, and PE savings and performing the AGREE Academy activities to facilitate and support the replication process from the local to the European level.

Following the different phases of the AGREE process, the SURs held meetings at different scales (building level and in a personalized way) with the residents to inform about the alternative technical solution and try to reach agreements among the stakeholders. The meetings at area level tried to drive demand aggregation by contracting the same type or with similar renovation projects by the largest number of buildings so that they could benefit from economies of scale.

BIDEBI, E21, and DONOSTIA, together with other SURs assumed the condition of Collaborating Entities so they coordinate, inform and facilitate the management of the NextGeneration EU funds to contribute to facilitate the implementation and integral management of the energy renovation projects in the residential area.

A total of 602 dwellings (46 buildings) have invested in EE in the 3 pilot municipalities BASAURI, DONOSTIA and VITORIA-GASTEIZ reaching the amount of 10.739.853,61 €. The average investment costs of the EE renovation per dwelling is 17.908,91 € and the average of Primary Energy (PE) consumption improvement is 153,03 kWh/year. Most of the dwelling have achieve 2 letters of energy rating improvements from rate F or G to a rate of D or E which can be considered a very relevant improvement.

In addition to the activities carried out in the AGREE Academy, the replication process, during all the project a big effort has been made to disseminate and communicate the project and its activities, participating in conferences and events and promoting the project results.
The work performed in the second reporting period has been the deployment of the Action Plan for each of the 3 pilot cases, resulting in the request for funds for renovation by residents and concession notice by Basque Government, to retrofit 602 dwellings through an investment of more than 10 million € and a total Primary Energy savings of 5,92 GWh/year within its duration (per year).
The AGREE Academy, based on peer-to-peer learning has allowed to multiply the impact of the project and the promotion of the replication process.
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