This policy brief includes an analysis of measures to enhance the energy efficiency of Italian buildings and an assessment of energy poverty (EP) in Italy.
A comprehensive analysis of recent measures aimed at improving the energy efficiency of Italian buildings is provided. The legislation, shaped by the revised Energy Performance of Buildings Directive (EPBD), aims for a 35% reduction in energy-related EU emissions from buildings, with specific attention to renovating the least efficient 15%. The first research output of this contribution is a cost-benefit analysis of the Italian 'Superbonus' incentive, revealing that while this measure contributes to emission reductions, its generous nature places a substantial burden on public finances: the break-even year extends beyond 2100 under certain scenarios. The second output estimates the expenses associated with advancing building efficiency in Lombardy and Piedmont: the potential costs of transitioning residential buildings to higher energy efficiency classes amount to a significant financial investment of 375.7 billion euros for both regions over a decade.The study argues that the financial burden of upgrading building efficiency cannot be solely shouldered by the private sector, necessitating government intervention. The existing subsidy is questioned based on its fiscal feasibility. The study suggests a need for a progressive subsidy scheme to ensure efficiency and address potentially regressive impacts.
The study on EP in Italy focuses on the difficulties faced by households in obtaining a basic set of energy goods and services, which involves the redirection of resources, in terms of expenditure or income, above the normal value (NES, 2017; NECP, 2019). After a general overview of the topic, the authors propose a measure for EP in Italy which objectively incorporates factors such as high energy costs, low expenditure, and hidden energy poverty. This approach, which follows the Low Income-High Cost principle adopted in the United Kingdom, differs from consensus-based measures, which rely on self-reported indicators. Focusing on 2021, the empirical research underscores a notable 20% increase in energy costs for Italian families, primarily driven by soaring gas and electricity prices. EP in Italy underwent a half-percent rise, affecting 2.2 million families (8.5% of Italian households). Geographical disparities emerge, with certain areas experiencing an increase in EP while others saw a decrease. Policy recommendations are provided focusing on the availability of data by rigorous measurement and analysis of the phenomenon, as well as a careful assessment of what actions can be promoted and developed to reduce the problem.
