Report THE REGIONAL DIAGNOSIS Low Carbon Buildings Elaheh Jalilzadehazhari Jimmy Johansson Contents 1 Introduction ........................................................................................................ 1 1.1 National context ......................................................................................... 1 1.1.1 National policy background ............................................................... 3 1.2 Regional context ....................................................................................... 10 1.2.1 Regional policy background ............................................................. 11 1.2.2 Energy efficiency in buildings ......................................................... 17 2 Programs and initiatives supporting LC transition in the regional sector ........ 22 3 Stakeholders map of the regional LC transition sector .................................... 30 4 Strengths, weaknesses, opportunities and threats (SWOT analysis) of the regional LC sector .................................................................................................... 31 5 Conclusions ...................................................................................................... 34 1 Introduction 1.1 National context The Swedish energy policies are based on law-making within the EU [1]. These policies advance the competitiveness of the country in terms of sustainability and security of clean energy supply [1]. The energy production in Sweden is mainly dependent on domestic renewable energy resources: hydro, wind, solar and biofuels. The final energy use in Sweden is divided into the industrial, residential and service as well as transport sector (figure 1), from which the residential and service sector made up the greatest share in final energy use in 2017 [1]. Figure 1. An over view of energy system in Sweden in 2017 [1]. 1(38) During the last decades, great efforts have been made in Sweden to speed up transitions to low carbon energy resources in the building and service sector. As, the utilization of fossil fuels (oil and natural gas) for supporting the heating and domestic hot water demands was decreased from 33% in 1990 to 3% in 2017 [2]. The reduction in the utilization of the fossil fuels allowed diminishing the emissions of carbon dioxide from Swedish building and service sector approximately by 90% since 1990 (figure 2) [3]. Figure 2. Total carbon dioxide release from the heating technologies in building and service sectors [3]. In 2017, the total energy use of the building and service sector in Sweden was about 146 TWh, corresponding to 39% of the total energy use in this country at the same year [4]. Considering detached houses, electricity was the most common energy resource, used to support heating and domestic hot water demands, followed by biomass-based energy resources, district heating, oil and natural gas [2]. With respect to multi-family houses and commercial buildings, the district heating system made up the highest share among other energy resources, followed by electricity, bio-based energy resources, oil, and natural gas [2]. The electricity used by building and service sector is largely based on hydropower and nuclear power, but the expansion of wind power is steadily increasing and so is the use of biofuel for electricity production. 2(38) 1.1.1 National policy background The government of Sweden had set ambitious energy and climate targets for 2020 to fulfil European Union’s (EU) energy and climate goals (table 1). The Swedish building sector, among other sectors, was responsible to take relevant actions, thereby ensuring the attainment of national targets. The government of Sweden assigned responsibilities to different ministries, from which the ministry of the infrastructure and ministry of the environment had a more direct duties to propel actions toward a low carbon built environment. The ministries included several agencies with diverse responsibilities. The Swedish Energy Agency, as subordinate to the ministry of the infrastructure, and the Swedish National Board of Housing, Building and Planning, as subordinate to the ministry of the environment, worked more directly to ensure achievement of national energy and climate targets. The Swedish Energy Agency contributed with analysis of supply and use of energy in Sweden and worked to secure the energy supply in this country. While the Swedish National Board of Housing, Building and Planning was responsible to analyse housing market in Sweden and issue building regulations. Full implementations and enforcement of national energy and climate targets was considered both in new construction and in retrofitting existing buildings. Efforts, taken to fulfil the national targets, allowed: Reducing the utilization of fossil fuels by about 92% since 1990 (from 32.1 TWh in 1990 to 2.6 TWh in 2017) [5]; Increasing the share of biofuels for supporting heating and domestic hot water demands by about 12% since 1990 (from 10 TWh in 1990 to 11.4 TWh in 2017) [5]; Increasing the share of biomass-based district heating for supporting heating and domestic hot water demands by about 34% since 1990 (from 30.5 TWh in 1990 to 46.2 TWh in 2017) [5]; Increasing the share of renewable energy sources (hydropower, wind power, biofuel and solar power) in electricity production to 58% [5]; Recuing the energy used to support heating and domestic hot water demands by about 18% since 1990 (from 98.5 TWh in 1990 to 81.1 TWh in 2017) [5]. However, the energy use in Sweden is largely affected by weather and economic conditions [6]. 3(38) Table 1. Swedish energy and climate targets for 2020 vs EU’s goal for 2020. Swedish energy and climate targets EU’s energy and climate goals for for 2020 [7] 2020 [7] 1. The emissions of greenhouse 1. The emissions of greenhouse gases gases would be 40% lower than would be reduced by 20%. the emissions of greenhouse gases 2. The energy use would be reduced in 1990 (applied to activities not by 20% by improving the energy covered by the EU Emissions efficiency. Trading System). 3. The share of renewable energy 2. Energy use would be 20% more would be at least 20% of the total efficient than the energy use in energy use. 2008 (through reduced energy 4. The share of renewable energy use intensity). in the transport sector would be at 3. The share of renewable energy use least 10%. would be at least 50% of the total 5. The interconnection of installed energy use in the country. electricity generation capacity in 4. The share of renewable energy all member states would be at least resources in the transport sector 10%. would be at least 10%. However, the Swedish energy and climate targets were revised to comply with international agreements, more specifically to (i) satisfy the aim of the Paris agreement in controlling the temperature rise and (ii) achieve the European Commission’s aim to achieve a climate nature Europe by 2050 [8] (table 2). Table 2. Swedish energy and climate targets for 2030 vs EU’s goals for 2030. Swedish energy and climate targets EU’s energy and climate goals for for 2030 [7] 2030 [7] 1. By 2045, Sweden will have net 1. Reduce greenhouse gas emissions zero emissions, of which at least by 40% compared to 1990. 85% of the reduction of emissions 2. Reduce energy use by 32.5% will take place in Sweden. through better energy efficiency. 2. Greenhouse gas emissions should 3. The share of renewable energy be 63% lower in 2030 compared to should be at least 32% of total 1990 (applies to activities that are energy use not covered by the EU Emissions 4. The share of renewable energy in Trading System). the transport sector should be 14%. 3. Emissions from domestic 5. The interconnection of installed transport excluding domestic electricity generation capacity in flights should be 70% lower in all Member States shall be at least 2030 compared to 2010. 15%. 4(38) 4. Energy use should be 50% more efficient by 2030 compared to 2005 (through reduced energy intensity). 5. Electricity production will be 100% renewable in 2040. The Swedish Energy Agency and National Board of Housing, Building and Planning provide several policy instruments to proceed toward national goals, when constructing new buildings or retrofitting existing ones, including: Investment subsidies for installing solar system Energy labelling Energy declaration Free consultation In addition, the region Småland and Islands has a priority to support the shift towards a low-carbon economy in all sectors. Considering the building sector, the above- mentioned priority concentrates on the installation of renewable energy resources, when constructing new buildings or renovating existing ones [9]. Energy efficiency trends in buildings Figures 3, 4, and 5 shows the reduction in energy consumption in one or two floor detached houses, multi-family houses and non-residential buildings respectively. In addition, these figures show energy resources used to support heating and domestic hot water needs. As seen in figure 1, 2, and 3 the use of oil has been drastically reduced in both residential and non-residential buildings [6]. As seen in figure 3, the electric heating made up the greatest share among other supply systems for supporting the heating and domestic hot water demands in detached houses; followed by biomass based heating systems (such as pellet), district heating system (which is largely based on biomass products), oil and natural gas. 5(38) 50 45 40 35 30 25 TWh 20 15 10 5 0 Oil District heating Electric heating Natural gas Biomass