Regarding the issue of resolving finance necessities, Extremadura now has a new initiative to promote the energy renovation buildings sector.
Representatives from Extremadura and from several countries' administrations: Great Britain, Denmark, Sweden, France, Belgium, Latvia, Italy and Cyprus, have been working in Riga during the 7th and the 8th of June together with representatives of the Executive Agency for Small and Medium-sized Enterprises (EASME). They have focused on defining the best financial tools that can be promoted in Europe to assure that funding reaches the market.
This initiative has just begun and its intentions are to eliminate technical and financial barriers that do not allow a complete development in Europe's renovation buildings sector. In order to achieve this, the Commission has financed these regions with the amount of 2 million euros throughout the investigation project Horizon 2020, within the project INNOVATE, so they can set an example of specific funding progress for private buildings' energy renovation.
During these workdays, the more developed regions have expounded what instruments are working well in their territories: Latvia explained the details of their investment fund for neighbourhood associations, through soft loans, which has already mobilised over 35 million euros in a very positive way. Denmark explained their commercialization model trough private banking, supported by European funding, which expects to reach a 200 million euros impact.
Extremadura, for its part, presented its market analysis that shows a potential for refurbishing of more than 60 million euros, and it requires back up from specific finance products that are currently not available in the market.
Since 2016 Extremadura has been working to design a warranty or finance fund that would sell through commercial banking and it would allow to mobilise an investment of over 50 million euros in the following 5 years.
The Innovate initiative joins the Finerpol existing platform, funded by Interreg Europe program and coordinated from Extremadura. It seeks to get the necessary funds for these interventions throughout the design of a public and private cooperation to unify European funds, from the European Investment Bank and the regional private Bank.
FINERPOL is not the only initiative that Extremadura is coordinating regarding energy renovation building. Since 2016, Extremadura leads the Transnational Platform Spain-France-Portugal to finance the rehabilitation REHABILITE, that is funded by Interreg SUDOE, and it will execute pilot renovations actions in various regions of these countries.
Innovate, Finerpol and Rehabilite are iniciatives in which Agenex and Extremadura Government take part, and they align with the common interest of promoting energy renovation in buildings.