|Financing Solution Name||Financing Models for Housing Associations|
|Financing Solution Description||One of the challenges implementing energy retrofitting measures in housing associations is to get the projects financed. ESCO is financing by private funds provided by private companies, where the realized energy savings in the specific apartments are used to repay the investment. This financing method does not demand increase in the rent in apartments and does not demand financial guaranties from the Municipality. However by this method the tenants do not save energy costs, until the investment is repaid. An example of ESCO financing can be building integrated solar cell projects, which typically have a payback period of 10 years and have a lifetime of 25 years.|
During the first 10 years the tenants will not get any reduction in their energy costs, but from year 10 to year 25 the tenants will get reduction in energy costs without having an increase in the apartment rent.
During the last years the ESCO companies have also started financing energy saving measures with a payback period up to 20 years (insulation works etc).
One of the barriers with ESCO financing compared to traditional financing methods is, that the ESCO financing is not very transparent. In traditional projects the housing associations know the specific costs for administration, financing, consulting, implementation. In ESCO projects the financing company takes care of all costs connected to the energy retrofitting, and the housing association has not knowledge to the specifications, as they are used to have.
|Financing Solution Reference||https://go-happi.dk/happi-d3-2-financing-models-for-housing-associations/|
|What type of financial instrument is it?||ESCO|
|Does the Financing Solution targets any of these asset classes?||Housing Associations|
Financing Models for Housing Associations
Exploit the community intelligence.
Contribute, share, chip in.
Let’s get In Touch
For further informations about the encylopenergy, please contact us at email@example.com or simply submit a new form.
Frequently Asked Questions
We have fund our selves at a crossroads. Buildings energy efficiency is not moving fast enough to meet the Paris Agreement goals. Innovative financial instruments, business models and regulatory frameworks are urgently needed.
We can continue in this direction. Or we can explore a new way forward. The encyclopenergy aims to do just that in a bid to streamline and optimise the way the built environment community shares knowledge.
The enclyponergy aims at creating a comprehensive compendium to support the spread and scale of innovation in financing solutions, business models, and regulatory frameworks to accelerate the transition to a less carbon-intensive built environment.
The project ‘Climate Positive Circular Communities’, short name ARV, is funded by the European Green Deal initiative as an Innovation Action within the Horizon 2020 Framework Programme. The enclycopenergy is a flower germinating from the ARV in order to map the world state of art when it comes to energy efficiency financing, business models and regulatory frameworks. The Green Digital Finance Alliance as an ARV Consortium partner is in the lead of such an effort.
The Encyclopenergy is a crowd-open-sourced encyclopedia of energy efficiency enablers. It is a crowdsourced global catalogue of financing tools, business models, and regulatory frameworks enabling, empowering, and scaling energy efficient solutions for the built environment. It also offers intelligence to list demonstrations and organization working in the field with the hope this will be a boomerang to boost the renovation wave.
Everywhere. Ubiquitus. Onlline. And in your pocket. The encyclopenergy wants to be a practical tool available to all at all time. You can surf it, download it and populate it from anywhere.
The encyclopenergy is still in its infancy. It was kickstarted on March 1st 2022. Help this living knowledge hub to grow, refine and ameliorate so that it can graduate into a useful tool for a climate positive built environment.
How do we collect information?
Information in this encyclopedia serves for informational purposes only. The information has been crowed-collected from the global community willing to share their knowledge on energy efficiency enablers. Input has been approved by the Green Digital Finance Alliance (GDFA) team by a validation process via desk research following a transparent approach. However, GDFA does make any express or implied warranty or representation concerning the completeness or correctness of information provided. Therefore, GDFA hereby disclaim any liability for any loss or damage resulting from use of information in this encyclopedia or reliance or decisions based upon the information or outcomes of this database.
Information in this encyclopedia serves for informational purposes only. The information has been crowed-collected from sources believed to be reliable, and input has been approved by the Green Digital Finance Alliance (GDFA) team by a validation process via desk research following a transparent approach. However, GDFA does make any express or implied warranty or representation concerning the completeness or correctness of information provided. Therefore, GDFA hereby disclaim any liability for any loss or damage resulting from use of information in this encyclopedia or reliance or decisions based upon the information or outcomes of this database.Each user and/or third parties are advised that they are responsible for reliance on the database, data, information, findings and opinions provided by GDFA.
Any reference to a specific data source, information or service by trade name, trademark, manufacturer, or otherwise, does not constitute or imply an endorsement, recommendation, or favouring by GDFA.
Ask a different question
This project has received fundings from the European Union’s Horizon 2020 research and innovation programme under agreement No 101036723