Meeting Energy Concept Targets for Residential Retrofits in Germany

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The briefing examines the feasibility of Germany's goal to reduce building primary energy requirements by 80% by 2050. It finds that deep thermal retrofits for multi-family houses are economically viable for owners who capture full energy savings, especially when supported by KfW loans and grants. To achieve a 2% annual retrofit rate, public support would need to increase to between 2 billion and 8 billion EUR per year, depending on the energy standard targeted. If these targets are met, Germany could save 110 TWh and 7.5 billion EUR in energy bills annually by 2020.

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  • The German government's 2010 Energy Concept aims to reduce the primary energy requirement of buildings by 80% by 2050 and increase the annual thermal retrofit rate from 0.8% to 2%.
  • Energy-related incremental costs for retrofitting multi-family houses to the new building standard range from 80 to 185 EUR/m2, while costs to reach 55% of that standard range from 105 to 230 EUR/m2.
  • Deep thermal retrofits are economically viable for building owners across all cost estimates if they capture full energy savings and utilize KfW public support, which covers approximately one-third of costs for the new building standard and 50% for the 55% standard.
  • To achieve a 2% annual retrofit rate without increasing individual support levels, annual public funding would need to rise to 2-4 billion EUR for the new building standard, or 4-8 billion EUR for the 55% standard.
  • By 2020, Germany could save 110 TWh of energy and 7.5 billion EUR in energy bills annually if retrofits average 70% of the new building standard and tighten to 55% by 2015.
  • Approximately 70% of German residential units were built before 1978, prior to the first energy ordinance, making them the primary target for retrofit efforts.

Cite the original document

APA
Neuhoff, K., Amecke, H., Stelmakh, K., Rosenberg, A., & Novikova, A. (2011). Meeting Energy Concept Targets for Residential Retrofits in Germany. Climate Policy Initiative. https://www.climatepolicyinitiative.org/wp-content/uploads/2011/12/Costs-Benefits-and-Financial-Support-for-Thermal-Retrofit.pdf
Chicago
Neuhoff, Karsten, Hermann Amecke, Kateryna Stelmakh, Anja Rosenberg, and Aleksandra Novikova. Meeting Energy Concept Targets for Residential Retrofits in Germany. Climate Policy Initiative, 2011. https://www.climatepolicyinitiative.org/wp-content/uploads/2011/12/Costs-Benefits-and-Financial-Support-for-Thermal-Retrofit.pdf.
Wikipedia
{{cite report |last1=Neuhoff |first1=Karsten |last2=Amecke |first2=Hermann |last3=Stelmakh |first3=Kateryna |last4=Rosenberg |first4=Anja |last5=Novikova |first5=Aleksandra |title=Meeting Energy Concept Targets for Residential Retrofits in Germany |publisher=Climate Policy Initiative |date=May 2011 |url=https://www.climatepolicyinitiative.org/wp-content/uploads/2011/12/Costs-Benefits-and-Financial-Support-for-Thermal-Retrofit.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{neuhoff2011meeting, author = {Neuhoff, Karsten and Amecke, Hermann and Stelmakh, Kateryna and Rosenberg, Anja and Novikova, Aleksandra}, title = {{Meeting Energy Concept Targets for Residential Retrofits in Germany}}, institution = {Climate Policy Initiative}, year = {2011}, month = may, url = {https://www.climatepolicyinitiative.org/wp-content/uploads/2011/12/Costs-Benefits-and-Financial-Support-for-Thermal-Retrofit.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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