The consumption of energy is expected to increase by 2030 and 2050 (according to baseline projections incorporating current trends) due to two combined factors. On one hand, the population growth anticipated during this period will result in an increase in energy consumption and demand.. On the other hand, daily and seasonal peaks in electricity demand will intensify with the development and diversification of urban needs (especially in the transport and housing sectors). These combined effects cannot be cross analysed with the current general assessments of the environmental impacts of consumption in energy. These general assessments, which are completed every few years, are based on a calculation of the gross volume of energy produced that are not related to an anticipation of the variations in energy demand. This calls for a change in the analytical framework of urban systems in order to enable a cross analysis of urban structures on medium and long term and their impacts in peak demand. The project SUD (Dynamic Urban Systems) aims to lift these scientific and operational barriers, and will develop a highly integrated and system-dynamics modeling approach based on the various flows that affect the urban system (transportation, energy in building sector). The SUD model will enable the building of scenarios with a number of clearly defined assumptions and modeling parameters, including social and economical constraints. This will enable there to be an accurate assessment of the actual environmental impacts of technical solutions: in terms of sustainability of urban systems and their capacity to smooth peaks in demand to match supply (for example, dynamic management of energy demand with the development of smart grids, energy storage, etc.).

This project aims to structure a shared resource platform for third-party financing companies (Sociétés de Tiers-Financement - STF): the Office of Renovations and Financings for Energy Efficiency (ORFEE). The ORFEE will be a resource center to consolidate the business model of STFs: to pool their developments and coordinate their operational processes, to reduce their costs, to centralize findings and better disseminate them, etc. ORFEE aims to define a corpus of conformity and quality of the renovations, ranging from the orientation of households towards renovation programs adapted to their needs and energy efficiency objectives, until the completion of the works and the follow-up of consumption, as well as issuing quality guarantees for the owners. This operational guarantee would cover, in case of poor performance, the resumption of work. ORFEE should rely on best practices in Europe and North America, to structure and size the guarantee fund and to strengthen operational support to STF. It should also be based on a dialogue with banks that want to attribute energy and environmental labels to the financing of renovations. The design of ORFEE must also allow the STF to strengthen their financial structure: ORFEE will help STF to structure the dialogue they have to build with the EIB and financial investors with a view to improve their funding. Loans granted by the STF to households would be transferred without recourse to a special purpose vehicle The objective is twofold: to remove from their assets the receivables of STF on households and multi-property buildings to master the size of their balance sheet and optimize their equity, and secondly, to feed investors with securities issued by the SPV, complying with the "GREENFIN" label implemented in France - or other equivalent labels in Europe. ORFEE consortium is formed with STF which are already operative and consulting firms bringing their expertise.

INNOVATE will overcome market barriers to deep energy-efficient retrofits of private housing stock by developing and rolling out integrated energy efficiency (EE) service packages targeting homeowners in 11 target territories from 10 EU Member States (NL, DK, BE, LV, CZ, CY, SE, IT, ES and UK). An integrated EE service package includes: • Development of products adapted to consumers’ concerns • Marketing & communication • Independent advice and technical assistance. • Tailor-made financial advice • Coordination of a chain of suppliers / contractors • Ensuring high quality standards • Long-term and affordable financing The packages, developed by local and regional authorities and/or private sector stakeholders, in cooperation with financing institutions and investors, will be tested on 117 pilot buildings, aiming at min. 50% energy savings. These pilot projects are expected to mobilise 37.41 MEUR of private investments, trigger primary energy savings of 5.38 GWh/year and 3.14 GWh/year of renewable energy production. INNOVATE will widely disseminate successful business models and innovative financing schemes tested by project partners and those identified thanks to an extensive analysis of enabling conditions and EU best practices. 4,000 stakeholders and potential replicators will be reached via 61 EU and national capacity building events, policy meetings and communication/media tools. Recommendations on how to remove legal, financial, technical and organisational barriers hindering the implementation of the packages in target territories will influence 12 EU, national and regional policies in order to ensure the viability of these packages.