In order to foster the modernization process Lithuanian government decided to stipulate and simplify renovation process by involving municipalities.
At the beginning process of modernization was: (1) administratively intensive; (2) challenging because required to conciliate many owners; home owners were averse (did not want to borrow) and poorly organized. So the National Government set this plan: (1) municipalities instructed to draw lists of the worst energy performing buildings. (2) municipalities appointed renovation administrators, which:
- can borrow on behalf and in favor of apartment owners.
- are providing all the process administration service.
- keep loans on off the balance sheets.
- expenses are covered by the budget funds.
Circa €400 million investment materialized in multi-apartment buildings in Lithuania (ESI, commercial banks, state budget);
Indicators above are related to other practices as well, specific allocation to this GP is not possible.
Evidence of success
Technical assistance measures helped to decrease administration workload to final beneficiaries resulting in increase in project pipeline.
Investment projects evaluated (waiting list) – 1.411
Potential for learning or transfer
Some changes may touch upon property related laws, which may be challenging to change.
Enforcement measures must be created allowing modernization activities in the property of owners, who voted against and not willing to cooperate.
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