Annelii Ausmees, Kredex Project Manager of external assistant Ministry of Economics of Latvia, as EU SBSR Policy Area ‘Energy’ coordinator, is organizing a series of online discussions on the topic "Financing renovation project: mapping roles and responsibilities". In cooperation with the Swedish Institute, we have already established a strong network of experts in the field of energy efficiency by successfully establishing a Baltic Leadership Programme on Energy Efficiency. With the new series of discussions, we aim to discuss associated funding structures, project implementation, execution, main obstacles, and how to overcome them. The ultimate aim is to continue building a macroregional flagship

1. Energy efficiency measures
(grant) for apartment
buildings
Tallinn

2. KREDEX Fund
Founded in 2001, under the jurisdiction of the Ministry of Economic Affairs
and Communications.
 Enterprise Department (focusing only financial instruments)
 Housing and Energy Efficiency Department:
 Apartment and housing loan guarantees (National budget allocation)
 Renovation grant for apartment buildings (Structural Fund (ERF) budget
allocation 148 mio eur). Fully committed!
 Renovation Grant Scheme will be launched under RFF (71 mio)
 Other housing related grants for private persons and local municipalities
(National budget allocation)

3. Content „Housing stock“
Apartment buildings
 Over 90% of housing stock is in
private ownership
 ~70% population living in apartment
buildings
 Managed by Apartment Associations
(legal body, non-profit association)
 All apartment owners are responsible
for decisions and payments
 50%+1 simple majority

4. Grants
2015-2020 (Structural funds, 148 mio €)
Aim: To reduce the energy consumption!
Comprehensive renovation projects (complex cheme)
-up to 50% grant allocation in rural areas
- 40 % in large settlements
- 30% in Tallinn, Tartu
 Energy class: at least „C“ (some cases possible „D“
 Max: sum: 1 mio
 Eligibility period: 24 month
 Compulsory technical consultants, third party expertise for design
documentation, ventilation airflow measurement protocols etc.
Results
 Average investments 280 €/m² (grant 100 €/m²)
 Total ~400 buildings, mostly 40% grant applications

5. SF renovation grant principals
 Open–call scheme –usually open limited time, because of high investment need
 Verification controls (factual controls at the entry level/ register based)
 Evaluation process (compliance controls)
 Verification of procurement (purchase) control (the public procurement register is compulsory)
 More complex building design documents (energy efficiency calculation)
 Expertise for building design documents
 Compulsory technical consultants
 Measurements protocols of ventilation and heating systems
 Agreements for post-maintenance
 Measured energy label
 On- the-spot verifications-
Problems:
 General public procurement rules have to be followed (in overal the household associations are
not the subject of public procurement law)
 Low rate of infringements
 The renovation prices

6. Ground cheks (Ist stage)

7. Conclusions 2021+
 Best way is to combine different measures
(guarantees, loan, grants)
 Market situation and economic cycle
 Loan and grant availability
 building sector capability – construction prices,
hard to handle larger volumes
 Apartment Associations are willing to invest, demand
exceeded supply
 Complex renovation (indoor climate!) is difficult without
grant
 apartments value for bank
 complex renovation is expensive
 More regional aspect (different type of loan, lower grant
for bigger cities, higher grant for rular areas)
 Innovation and automation are needed to increase
volumes (e.g prefabricated panels)

8. Hobujaama 4, Tallinn
Tel. 667 4100
korterelamu@kredex.ee
www.kredex.ee