Integrated Home Renovation Services

Building refurbishment can be particularly cumbersome in private housing and there are many barriers discouraging homeowners from taking the investment decision. Notably, the market offer for building renovation in the private residential sector is fragmented, composed of a myriad of micro and small companies, and mostly uncoordinated.

Based on good practices and successful models across the EU and in line with the "Renovation Wave" initiative of the European Green Deal^[1], there is pressing need and value in coordinating actions and make home renovation as simple as possible for homeowners. When it comes to building refurbishment, the REPowerEU plan^[2] to phase out EU dependence on fossil fuels imports has clearly identified the need to increase the number of home renovations across the EU and to better integrate the switch to efficient renewable-based heating and cooling as an integral part of home renovations.

This topic aims at: a) supporting directly the creation or replication of innovative local or regional "integrated home renovation services" and b) supporting the skilled practitioners actively involved in the implementation of such integrated services, through the creation of an EU community of practice.

Proposals are expected to address only one of the two scopes below. The scope addressed should be clearly specified in the proposal's introduction.

Scope A: Creation or replication of "integrated home renovation services"

Projects funded under this topic scope A should create or replicate innovative local or regional "integrated home renovation services".

Projects addressing scope A are expected to tackle, but are not limited to, the following aspects:

1/ Improve market conditions and develop integrated home renovation services offers to:

• Reduce complexity, simplify decision making for homeowners to stimulate demand for building renovation and energy performance improvements.
• Create, coordinate and/or optimise the services required along building energy performance investment processes.
• Connect all relevant actors in the value chain (e.g. construction companies, architects, engineers, urban planners, financers, etc.).
• Streamline access to various support measures, especially where there is support for specific target groups (e.g. energy poor households).
• Improve awareness and trust towards such integrated services, through clear accountability, quality assurance and dedicated consumer protection policies.

2/ Develop a self-sustained business model:

• Integration of services can be developed through dedicated operators (new public or public/private entity or mandated private operators) and/or through an improved co-ordination between existing local actors.
• The prospect of economically viable business models is expected, targeting self-sustainability in the medium to long term, i.e. ultimately running without subsidies to cover running costs.

3/ Provide methods and support:

• Build expertise and organisational innovations needed for project development.
• Reduce costs and time on-site through standardised approaches (e.g. optimised business processes, standardised contractual arrangements, branding of the proposed services etc.).
• Ensure cost effectiveness and price transparency of services provided to homeowners.
• Support the streamlining of standards and practices into consistent and transparent processes investors can rely on, and overall improve financing conditions.

4/ Communicate results:

• Mainstream innovative technical and organisational solutions, adapted to local contexts.
• Help improve legal and regulatory environments.
• Demonstrate a high degree of replicability and include a clear action plan to communicate experiences and results towards potential replicators across the EU.

Actions should clearly focus on the energy performance improvement of existing single or multi-family buildings in the private residential sector. Actions in "complex buildings" (e.g. coexistence of owner-occupied and rented housing; coexistence of private and social housing; coexistence of housing and business premises, typically on the ground floor) can be considered, and specific approaches to deal with subsets of the residential sector are welcome, as long as the main focus is on private non-professional decision makers.

The developed services should cover the whole "customer journey" from technical and social diagnosis, technical offer, obtaining permits, finding qualified professionals, contracting of works, structuring and provision of finance (e.g. loans), facilitating access to available subsidies or other support schemes, to the monitoring of works and quality assurance.

The meaning of the word "integrated" is twofold:

• The approach should combine various services in a packaged offer to homeowners, in order to create confidence and simplify their renovation process, and better integrate the switch to efficient renewable-based heating and cooling in renovation projects.
• The approach should also be well integrated in its context, making best use of what is locally available, notably in terms of public support schemes and local market players, and contribute to develop partnerships between local authorities and the relevant market players, in the construction, heating and cooling, and wider energy sectors.

Proposals should foresee to cooperate with the emerging community of integrated home renovation services, notably those funded by H2020 and LIFE CET for analysis, exchange and communication efforts associated to cross-cutting elements.

Proposals under scope A may be submitted by a single applicant from a single eligible country.

The Commission considers that proposals requesting a contribution from the EU of up to EUR 1.5 million would allow the specific objectives to be addressed appropriately. Nonetheless, this does not preclude submission and selection of proposals requesting other amounts.

Scope B: EU community of "Integrated Home Renovation Services" practitioners

Projects funded under this topic scope B should build bridges between existing and emerging local/regional initiatives through the development of an EU community of skilled practitioners, actively involved in the local/regional implementation of "integrated home renovation services".

By fostering international collaboration and incremental innovation among "integrated home renovation services" providers, projects funded under scope B should pool efforts, generate economies of scale and encourage convergence towards best practices. Projects should build up collective knowledge, consolidate findings, debate and present coordinated proposals to policy makers, increase market recognition and strengthen trust of end-users. This community should also support capacity building and contribute to the development of partnerships between key actors at relevant territorial levels.

Building on best practices, this community of practice should support collective productions, incremental innovations and joint efforts to promote "integrated home renovation services". It should facilitate dialogue and insight sharing, fostering the emergence of a common culture among participants and beyond. Particular efforts and results are expected on, but not limited to:

• Strategic positioning and business model: assessing local market gaps, attractive offer development to homeowners (in terms of quality and price of services), possible sources of revenue, associated business models, most appropriate combinations of public and private interventions, potential and conditions for dissemination across Europe, etc.
• Methodologies and tools: how to streamline and optimise the processes to deliver "integrated home renovation services"? Which tools exist and which ones could be developed? Etc.
• Skills and training needs: which new skills or new professions are needed for the implementation and effective operation of "integrated home renovation services"? Conversely, how to motivate and secure career opportunities for skilled professionals in that field? Etc.
• Partnerships with market actors: what types of partnerships could be developed? How to secure partners' commitment to deliver quality and competitive services? Etc.
• Quality assurance and consumer protection policies: what quality guarantees could be offered to homeowners? How to ensure consumer protection? How should disputes be handled? Etc.

This community of practice should consolidate findings from the various experiences across Europe. It should foster dialogue within the community and beyond on cross-cutting issues.

It should support the development of coordinated proposals to policy makers and actively contribute to regulatory and legislative processes at local, national and European levels, in particular by highlighting concrete situations and difficulties faced when implementing "integrated home renovation services", practical challenges and best practices.

Guidance and support should be provided to emerging initiatives, in order to ease the multiplication of local initiatives, and facilitate cross-border replication of best practices.

Proposals should include capacity building activities at national level, focused on the design and implementation of integrated home renovation services. Capacity building approaches may include training of national trainers and/or targeting relevant players such as local and regional authorities, energy agencies and other players involved in the development of renovation programmes.

This community should include effective communication actions to showcase the most relevant integrated packages for home renovation, in particular those most efficient in triggering deep renovation (possibly in a staged approach) and facilitating the switch to efficient renewable-based heating and cooling.

While being specifically focused on "integrated home renovation services" aspects, proposals shall demonstrate knowledge of relevant wider initiatives (e.g. Sustainable Energy Investment Forums, ManagEnergy, BUILD UP Skills, the Blueprint for Sectoral Cooperation on Skills in the Construction sector) and leverage on their results.

Proposals submitted by a single applicant or proposals covering a single eligible country are not considered appropriate under scope B. The community of practice to be established must be transnational and actively involve a variety of representatives of the most relevant implementations of "integrated home renovation services" throughout Europe, reflecting the diversity of situations and approaches across Europe. Therefore, the Commission considers relevant that consortia gather a minimum of 3 applicants from 3 different eligible countries.

The Commission intends to select one single proposal under scope B. The Commission considers that a proposal requesting a contribution from the EU of up to EUR 2.5 million would allow the specific objectives to be addressed appropriately. Nonetheless, this does not preclude submission and selection of a proposal requesting another amount.

Regarding the indicative budget between scope A and B, please refer to the call document section 3 on the Available budget.

Scope A: Creation or replication of "integrated home renovation services"

Proposals submitted under scope A should result in:

• Integrated Home Renovation Services implemented, operational and tested at the end of the action, although upscale may happen after project completion.
• Investments in sustainable energy triggered by the project (cumulative, in million Euro, during the action (pilot phase) and within the first 5 years of operation of the services).
• Strong and trustworthy partnerships with local actors (e.g. SMEs, architects, engineers, ESCOs, financial institutions, energy agencies, NGOs).
• Implementation of economically viable business models, ultimately running without the need for public subsidies to cover running costs.
• Availability of adequate financing offers to support investment in home energy performance improvement.
• Increased awareness and trust of end-users through clear accountability, quality assurance and dedicated consumer protection mechanisms.
• Data and guidance made publically available in order to facilitate replication of the approach by other market actors. Evidence that the value of the services offered is recognised by the market.

Proposals submitted under scope A should quantify their impacts using the indicators listed below, where relevant, as well as other project-specific performance indicators:

• Investments in sustainable energy triggered by the project (cumulative, in million Euro).
• Primary energy savings/Renewable energy generation triggered by the project (in GWh/year).
• Reduction of greenhouse gases emissions (in tCO2eq/year) and/or air pollutants.

The impacts of the proposals should be demonstrated during the project and within 5 years after the project lifetime.

Scope B: EU community of "Integrated Home Renovation Services" practitioners

Proposals submitted under scope B should result in:

• Establishment of a European community of practice gathering relevant stakeholders, deeply rooted in their ecosystem and actively involved in ongoing local implementation of "integrated home renovation services".
• Data and guidance made publically available in order to facilitate the uptake of "integrated home renovation services" across Europe. Evidence that the value of such integrated services is recognised by the market.

Proposals submitted under scope B should quantify their impacts using the indicators listed below, where relevant, as well as other project-specific performance indicators:

• Number, diversity and quality of stakeholders actively involved in the community. This could include, but not be limited to, public authorities, consultants, architects associations, craftsmen associations, homeowners associations, citizens associations, universities, training centres, financial institutions, etc.
• Number, nature and quality of planned collective outputs, distributed between the main categories outlined in the scope section above. In particular, guidance and support proposed to emerging initiatives.
• Number and nature of planned contributions to legislative and regulatory processes at local, national and European levels.
• Number and nature of national capacity building programmes put in place.
• Number, nature and target audience of communication materials.
• Investments in sustainable energy triggered by the project (cumulative, in million Euro).
• Primary energy savings/renewable energy generation triggered by the project (in GWh/year).
• Reduction of greenhouse gases emissions (in tCO2eq/year) and/or air pollutants.

The impacts of the proposals should be demonstrated during the project and within 5 years after the project lifetime.

[1]Communication from the Commission to the European Parliament, the European Council, the Council, the European Economic and Social Committee and the Committee of the Regions The European Green Deal of 11.12.2019 COM(2019) 640 final

[2]Communication from the Commission of 8.3.2022 to the European Parliament, the European Council, the European Economic and Social Committee and the Committee of the Regions, REPowerEU: Joint European Action for more affordable, secure and sustainable energy, COM(2022) 108 final.