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Assessment of Socio-Economic and Environmental Impacts of Energy Efficiency Improvements in Multi-Apartment Buildings: Case Study of Lithuania

Author

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  • Rimantė Balsiūnaitė

    (Laboratory of Energy Systems Research, Lithuanian Energy Institute, Breslaujos Str. 3, LT-44403 Kaunas, Lithuania)

  • Viktorija Bobinaitė

    (Laboratory of Energy Systems Research, Lithuanian Energy Institute, Breslaujos Str. 3, LT-44403 Kaunas, Lithuania)

  • Inga Konstantinavičiūtė

    (Laboratory of Energy Systems Research, Lithuanian Energy Institute, Breslaujos Str. 3, LT-44403 Kaunas, Lithuania)

  • Vidas Lekavičius

    (Laboratory of Energy Systems Research, Lithuanian Energy Institute, Breslaujos Str. 3, LT-44403 Kaunas, Lithuania)

Abstract

This research aims to assess the socio-economic and environmental impacts of the Lithuanian long-term renovation strategy, focusing on improvements in the energy performance of renovated multi-apartment buildings in the country. The methodology used in the study is centred on the CleanProd general equilibrium model, which is based on publicly available data from the FIGARO database and Eurostat’s non-financial transaction statistics. The four renovation financing scenarios analysed are represented in the model by changes in the demand for energy resources and construction and other transactions related to the renovation programme. To reflect the dynamic nature of the renovation programme, counterfactual equilibria are sought for each year of the renovation programme. The results revealed that renovation of multi-apartment buildings brings net benefits, including long-term increases in gross domestic products (GDPs) and employment, as well as a decrease in economy-wide greenhouse gas (GHG) emissions, and is aligned with the binding European Union’s energy efficiency target to reduce energy consumption at least by 11.7% in 2030 (in comparison to 2020). The Increase in Taxes on Products scenario is modelled as the most favourable scenario. It assures annual GDP growth by 0.37%, employment growth by 2170 jobs a year, including 606 jobs for young people, and an annual decrease in GHG emissions by 929–1043 ktCO 2eq . It is found that the most considerable benefits are received during the renovation of medium-size buildings when construction demand increases by EUR 600,000–800,000 per year and natural gas and district heating demand are reduced by EUR 59,000–187,000 per year. Other scenarios demonstrating different building renovation and energy efficiency support practices, including Costless, Reallocation of Governmental Expenditure, and Governmental Loan, show relevant but slightly lower benefits.

Suggested Citation

  • Rimantė Balsiūnaitė & Viktorija Bobinaitė & Inga Konstantinavičiūtė & Vidas Lekavičius, 2025. "Assessment of Socio-Economic and Environmental Impacts of Energy Efficiency Improvements in Multi-Apartment Buildings: Case Study of Lithuania," Sustainability, MDPI, vol. 17(3), pages 1-21, January.
    • Handle: RePEc:gam:jsusta:v:17:y:2025:i:3:p:957-:d:1576256
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    References listed on IDEAS

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    1. Choi, Jun-Ki & Morrison, Drew & Hallinan, Kevin P. & Brecha, Robert J., 2014. "Economic and environmental impacts of community-based residential building energy efficiency investment," Energy, Elsevier, vol. 78(C), pages 877-886.
    2. Lisa Ryan & Nina Campbell, 2012. "Spreading the Net: The Multiple Benefits of Energy Efficiency Improvements," IEA Energy Papers 2012/8, OECD Publishing.
    3. Haolan Liao & Rong Ren & Lu Li, 2023. "Existing Building Renovation: A Review of Barriers to Economic and Environmental Benefits," IJERPH, MDPI, vol. 20(5), pages 1-23, February.
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