Speeding-up project deployment and unlocking finance at scale, faster and further, is necessary to accelerate the retrofitting of buildings to meet Europe’s climate goals.
In Europe, buildings are responsible for the largest share of final energy consumption (40%). Despite buildings presenting significant potential for carbon emission reductions, change is not happening fast enough to meet the EU 2030 climate targets. Building renovation rates must triple, increasing from 1% of GDP per year today to 3%. Investments of an additional €100 bn/year is required annually, cumulatively amounting to over €1 trillion.
Meeting these targets is a substantial undertaking, and project deployment remains slow – too slow considering the existential urgency to decarbonize. Investor/contractor deal closure can easily take up to more than six months, undermining the contractor/end-client sales process (typically a 12-18 month process). This is unacceptable. Closing the investment transaction more quickly is crucial and speeding-up the process is urgently needed to retrofit Europe’s building sector at scale.