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Heat Monitor 2018: Rising Heating Energy Demand, Thermal Retrofit Rate Must Increase

Author

Listed:
  • Puja Singhal
  • Jan Stede
Abstract
Residential heating accounts for almost one-fifth of Germany’s final energy consumption. This report evaluates an extensive database of heating bills for buildings with two or more apartments, representing more than two-thirds of the total housing stock in Germany. Despite commitments to pressing climate targets, the rate of thermal upgrades of the existing housing stock has remained low since the turn of the 21st century, while heating energy demanded per square meter by private households has been on an upward trend since 2015. This is an alarming development with respect to the 2050 climate goals for the buildings sector. An additional set of policies are therefore necessary to achieve the yet-unrealized reductions in energy consumption in the building sector. These include, for example, tax incentives for top-end retrofits that have been discussed for more than a decade and policies targeting household behavior such as providing consumers with more frequent and timely information.

Suggested Citation

  • Puja Singhal & Jan Stede, 2019. "Heat Monitor 2018: Rising Heating Energy Demand, Thermal Retrofit Rate Must Increase," DIW Weekly Report, DIW Berlin, German Institute for Economic Research, vol. 9(35/36), pages 303-312.
    • Handle: RePEc:diw:diwdwr:dwr9-35-1
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    File URL: https://www.diw.de/documents/publikationen/73/diw_01.c.676270.de/dwr-19-35-1.pdf
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    Citations

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    Cited by:

    1. Puja Singhal & Andrew Hobbs, 2023. "The Distribution of Energy Efficiency and Regional Inequality," The Energy Journal, , vol. 44(4), pages 83-122, July.
    2. Singhal, Puja & Pahle, Michael & Kalkuhl, Matthias & Levesque, Antoine & Sommer, Stephan & Berneiser, Jessica, 2022. "Beyond good faith: Why evidence-based policy is necessary to decarbonize buildings cost-effectively in Germany," Energy Policy, Elsevier, vol. 169(C).
    3. Puja Singhal, 2020. "Inform Me When It Matters: Cost Salience, Energy Consumption, and Efficiency Investments," Discussion Papers of DIW Berlin 1891, DIW Berlin, German Institute for Economic Research.
    4. Singhal, Puja & Hobbs, Andrew, 2021. "The Distribution of Energy Efficiency and Regional Inequality," VfS Annual Conference 2021 (Virtual Conference): Climate Economics 242343, Verein für Socialpolitik / German Economic Association.

    More about this item

    Keywords

    residential buildings; heating energy consumption; heating fuel costs; renovation rate; retrofit rate; energy efficiency;
    All these keywords.

    JEL classification:

    • R31 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Real Estate Markets, Spatial Production Analysis, and Firm Location - - - Housing Supply and Markets
    • Q21 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Renewable Resources and Conservation - - - Demand and Supply; Prices
    • Q40 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - General

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