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Energy Efficiency of Residential Buildings in the European Union – An Exploratory Analysis of Cross-Country Consumption Patterns

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  • Thonipara, Anita
  • Runst, Petrik
  • Ochsner, Christian
  • Bizer, Kilian

Abstract

Despite a common EU directive on energy efficiency in residential buildings, levels of energy efficiency differ vastly across European countries. This article analyses these differences and investigates the effectiveness of different energy efficiency policies in place in those countries. We firstly use panel data to explain average yearly energy consumption per dwelling and country by observable characteristics such as climatic conditions, energy prices, income, and floor area. We then use the unexplained variation by sorting between-country differences as well as plotting within-country changes over time to identify better performing countries. These countries are analysed qualitatively in a second step. We conduct expert interviews and examine the legal rules regarding building energy efficiency. Based on our exploratory analysis we generate a number of hypotheses. First, we suggest that regulatory standards, in conjunction with increased construction activity, can be effective in the long run. Second, the results suggest that carbon taxation represents an effective means for energy efficiency.

Suggested Citation

  • Thonipara, Anita & Runst, Petrik & Ochsner, Christian & Bizer, Kilian, 2018. "Energy Efficiency of Residential Buildings in the European Union – An Exploratory Analysis of Cross-Country Consumption Patterns," ifh Working Papers 12/2018, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh), revised 2018.
    • Handle: RePEc:zbw:ifhwps:122018
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    Cited by:

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    7. Luiz de Mello, 2023. "Real Estate in a Post-Pandemic World: How Can Policies Make Housing More Enviromentally Sustainable and Affordable?," Hacienda Pública Española / Review of Public Economics, IEF, vol. 244(1), pages 111-139, March.
    8. Koengkan, Matheus & Fuinhas, José Alberto & Osmani, Fariba & Kazemzadeh, Emad & Auza, Anna & Alavijeh, Nooshin Karimi & Teixeira, Mônica, 2022. "Do financial and fiscal incentive policies increase the energy efficiency ratings in residential properties? A piece of empirical evidence from Portugal," Energy, Elsevier, vol. 241(C).
    9. Knittel, Tamara & Palmer-Wilson, Kevin & McPherson, Madeleine & Wild, Peter & Rowe, Andrew, 2024. "Heating electrification in cold climates: Invest in grid flexibility," Applied Energy, Elsevier, vol. 356(C).
    10. Runst, Petrik & Höhle, David, 2022. "The German eco tax and its impact on CO2 emissions," Energy Policy, Elsevier, vol. 160(C).
    11. Dorothée Charlier & Mouez Fodha & Djamel Kirat, 2023. "Residential CO2 Emissions in Europe and Carbon Taxation: A Country-Level Assessment," The Energy Journal, , vol. 44(5), pages 187-206, September.
    12. Matheus Koengkan & José Alberto Fuinhas & Magdalena Radulescu & Emad Kazemzadeh & Nooshin Karimi Alavijeh & Renato Santiago & Mônica Teixeira, 2023. "Assessing the Role of Financial Incentives in Promoting Eco-Friendly Houses in the Lisbon Metropolitan Area—Portugal," Energies, MDPI, vol. 16(4), pages 1-20, February.
    13. Ivanko, Dmytro & Sørensen, Åse Lekang & Nord, Natasa, 2021. "Splitting measurements of the total heat demand in a hotel into domestic hot water and space heating heat use," Energy, Elsevier, vol. 219(C).
    14. Runst, Petrik & Thonipara, Anita, 2020. "Dosis facit effectum why the size of the carbon tax matters: Evidence from the Swedish residential sector," Energy Economics, Elsevier, vol. 91(C).
    15. Pereira, Diogo Santos & Marques, António Cardoso, 2023. "How do energy forms impact energy poverty? An analysis of European degrees of urbanisation," Energy Policy, Elsevier, vol. 173(C).
    16. Ahlrichs, Jakob & Rockstuhl, Sebastian & Tränkler, Timm & Wenninger, Simon, 2020. "The impact of political instruments on building energy retrofits: A risk-integrated thermal Energy Hub approach," Energy Policy, Elsevier, vol. 147(C).
    17. Theofano Fotiou & Pantelis Capros & Panagiotis Fragkos, 2022. "Policy Modelling for Ambitious Energy Efficiency Investment in the EU Residential Buildings," Energies, MDPI, vol. 15(6), pages 1-29, March.
    18. Jens Ewald & Thomas Sterner & Eoin Ó Broin & Érika Mata, 2021. "Saving energy in residential buildings: the role of energy pricing," Climatic Change, Springer, vol. 167(1), pages 1-20, July.
    19. Runst, Petrik & Höhle, David, 2021. "Quasi-carbon taxation - The German eco tax and its impact on CO₂ emissions," ifh Working Papers 29/2021, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh).
    20. Chia-Nan Wang & Thi-Duong Nguyen & Min-Chun Yu, 2019. "Energy Use Efficiency Past-to-Future Evaluation: An International Comparison," Energies, MDPI, vol. 12(19), pages 1-15, October.
    21. Thapar, Sapan, 2020. "Energy consumption behavior: A data-based analysis of urban Indian households," Energy Policy, Elsevier, vol. 143(C).
    22. Runst, Petrik & Thonipara, Anita, 2019. "Dosis facit effectum: Why the scope of the carbon tax matters - Evidence from the Swedish residential sector," ifh Working Papers 19/2019, Volkswirtschaftliches Institut für Mittelstand und Handwerk an der Universität Göttingen (ifh).
    23. Aleksejs Prozuments & Jurgis Zemitis & Aleksejs Bulanovs, 2023. "Cold Climate Challenges: Analysis of Heat Recovery Efficiency in Ventilation Systems," Energies, MDPI, vol. 16(22), pages 1-15, November.
    24. Palomba, Valeria & Borri, Emiliano & Charalampidis, Antonios & Frazzica, Andrea & Cabeza, Luisa F. & Karellas, Sotirios, 2020. "Implementation of a solar-biomass system for multi-family houses: Towards 100% renewable energy utilization," Renewable Energy, Elsevier, vol. 166(C), pages 190-209.

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    More about this item

    Keywords

    carbon-taxation; energy efficiency; energy conservation; climate policy; residential buildings;
    All these keywords.

    JEL classification:

    • H23 - Public Economics - - Taxation, Subsidies, and Revenue - - - Externalities; Redistributive Effects; Environmental Taxes and Subsidies
    • K32 - Law and Economics - - Other Substantive Areas of Law - - - Energy, Environmental, Health, and Safety Law
    • P18 - Political Economy and Comparative Economic Systems - - Capitalist Economies - - - Energy; Environment
    • Q58 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Environmental Economics - - - Environmental Economics: Government Policy

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