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This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 840926 National Readiness Report: Croatia June 2020

National Readiness Report: Croatia

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This project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No 840926

National Readiness Report: CroatiaJune 2020

The BUILD UPON2 Project

We are in a state of climate emergency. We must act now to reach net zero carbon by 2050 - and cities can lead the way. To get there, cities must unlock the huge potential of their buildings - and building renovation in particular.

Deep building renovation has far-reaching benefits for society as increasing indoor comfort and air quality avoids illnesses and premature deaths associated with living in cold and damp homes. This in turn reduces pressure on healthcare and social services.

The EU Horizon 2020 funded BUILD UPON2 project will empower cities across Europe to join forces with national governments and industry to decarbonise their existing building stock by 2050. BUILD UPON2 will strengthen the local effectiveness and implementation of the national building renovation strategies required by the EU Energy Performance of Buildings Directive (EPBD).

www.worldgbc.org/build-upon

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About Croatia Green Building Council

Croatia Green Building Council (Croatia GBC) was founded in 2009 as a non-profit non-governmental organization with a mission to become a nation-wide platform for the promotion of sustainable building practices. Croatia GBC is a consensus based non-profit organization wherein all activities are initiated and managed by its members and partners, with the intention to create a platform for the implementation of green building principles, not only in Croatia, but also in the region of Central and Eastern Europe, through close cooperation with the network of GBC’s in neighbouring countries. Croatia GBC is a participant in World Green Building Council, a global network leading the transformation of the built environment to make it healthier and more sustainable.

A vast array of Croatia GBC activities within past years were focused on advocacy for a better understanding of sustainable growth as well as the education of various stakeholders and interested parties about the values of green building principles and their positive impact on nature and human health. Through participation in different projects funded by the European Union programmes such as Horizon and LIFE, Croatia GBC has established itself as a serious, able and responsible actor in the field of generating conscience, attracting stakeholders, and empowering the community with the goal of promoting green building principles, sustainability and energy efficiency.

Contact Information

Dean Smolar, CEO ([email protected])

Benjamin Petrović, Project Coordinator ([email protected])

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National Readiness Report: Croatia

list of Acronyms

Long Term Renovation StrategyLTRS

National Energy and Climate PlanNECP

Energy Performance CertificateEPC

Energy Performance Buildings DirectiveEPBD

Greenhouse Gas EmissionsGHG

Nearly Zero Energy Building

Net Present Value

NZEB

NPV

44

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1"As Green Building Council, we are promoting stakeholder collaboration in reaching climate and energy goals. BUILD UPON2 provides such a collaborative network in developing renovation strategies.”- Dean Smolar, CEO of Croatia GBC

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National Readiness Report: Croatia

List of Acronyms 4

Introduction 8 -9

Timeline 10 - 11

Challenges And Opportunities 12 - 17

Supporting Actions Needed 18 - 23

Appendix 1: Build Upon2 Draft Framework V.3. 24 - 27

Contents

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Croatia GBC, alongside BPIE, the Climate Alliance and

7 other Green Building Councils, is working to develop a multi-level energy renovation

framework, which will serve as a tool for municipalities in

delivering Croatia’s Long-term Renovation Strategies.

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INTRODUCTION

Build Upon² is the world’s largest collaborative project on building renovation. It is Europe’s foremost effort to establish a framework for national renovation strategies and build the commitment of local governments and companies to net zero emission buildings by 2050.

To achieve this objective, the project will work with cities, including Covenant of Mayors signatory cities, national governments and a wide range of key stakeholders to develop and test a Multi-Level Energy Renovation Impact Framework (the ‘Framework’). The framework will contain a suite of milestones and measurable progress indicators

for building renovation strategies, integrating data and insights from the local authority level. This in turn will allow local authorities and central government to assess the impact of local energy renovation initiatives and better identify best practice. The framework will also serve as a tool for municipalities in delivering the Energy Performance of Building Directive and ensure that local initiatives are aligned with national and European policies.

To make it easier for cities, the framework will be integrated into Sustainable Energy and Climate Action Plans, prepared by Covenant of Mayors municipalities.

Enable the capturing of sound data and knowledge at the

local level.

Better identify best practice.

Better align local and national

government retrofit initiatives.

Capture data in a consistent format.

Better capture and use data on the co-benefits of energy

renovation.

Inform policy decision-making.

Framework Objectives

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Croatian National Steering Group

1 1 1 1 1 1MINISTRY OF

CONSTRUCTION AND PHYSICAL PLANNING

Roberta Đuroković Jagodić

ENERGY EFFICIENCY AGENCY CROATIA

Srećko Vrček

CITY OF VELIK A GORICA

Marko Ružić

REGIONAL ENERGY AGENCY NORTH

Pera Orehovački

NEXT BIKEKrešimir Dvorski

CITY OF ZAGREBNataša Kelava

nZEB CLUSTERZoran Veršić

CITY OF VELIK A GORICA

Meri Barišić

REGIONAL ENERGY AGENCY NORTH

Ivan Šimić

CROATIAN CHAMBER OF CONSTRUCTION

ENGINEERSMihaela Zamolo

HUECGoranka Tropčić Zekan

EIHPVesna Bukarica

ASSOCIATION OF MANAGERSDražen Pomper

DANFOSSKemal Lojo

SIGNIFYMatija Marcius

ENERGY EFFICIENCY AND ENVIRONMENTAL

PROTECTION FUNDJasmina Smokvina

INOUTICRenata Travljanin

APNIva Fakin

MTGJosip Marohnić

SIGNIFYDinko Hecej

ENERGY EFFICIENCY AND ENVIRONMENTAL

PROTECTION FUNDMario Mihetec

FACULTY OF CIVIL ENGINEERING

ZAGREBBojan Milovanović

APNDamir Vuletić

ROCK WOOLAnđelka Toto Ormuž

HEP ESCOVlasta Zanki

ENERGY EFFICIENCY AGENCY CROATIA

Marko Zlonoga

FACULTY OF CIVIL ENGINEERING

ZAGREBMarina Bagarić

REGIONAL ENERGY AGENCY NORTH

Damir Mandić

GREENIK ASnježana Turalija

HPB REAL ESTATEPetra Škevin

1 1 1 1 1 1

1 1 1 1 1 1

1

1

1

1

1

1

1

1

1

1

1

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BUILD UPON2 in Croatia

In Croatia, Croatia Green Building Council works in close cooperation with City of Velika Gorica, and three “follower” municipalities.

In Europe, Croatia Green Building Council and City of Velika Gorica work closely with 7 other green building councils and cities, alongside the Building

Performance Institute of Europe and Climate Alliance, part of the Covenant of Mayors’ office team.

The project partners are supported by a European advisory board and eight national steering groups, which have provided feedback on the first two versions of the framework.

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National Readiness Report: Croatia

1 The 8 pilot cities are Budaörs - Hungary, Dublin - Ireland, Eskişehir - Turkey, Leeds - UK, Padova - Italy, Valladolid - Spain, Velika Gorica - Croatia, and Wroclaw - Poland.

01.21

12.19Framework

Draft V.1

Follower Cities Trained

02.20

07.20Pilot Phase

Starts1

FrameworkDraft V.2

The three versions of the draft Framework were developed by the project partners in close cooperation with the European Advisory Board and the eight National Steering Groups. The objective of the workshop organized on the 22nd of May

TIMELINE

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01.21Follower Cities

Trained

03.21Framework

Launch

02.20Framework

Draft V.2

04.20Framework

Draft V.3

2020, was to gather feedback on the third draft version of the framework and to discuss actions required to support its implementation. The Croatia Green Building Council Team would like to thank all the participants who attended and contributed to the workshop.

Seven similar workshops took place across Europe in May 2020. The feedback received will be used to update the draft Framework V.3., before it is tested by the 8 pilot cities between July and December 2020.

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National Readiness Report: Croatia

Challenges & Opportunities

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During the National Focus Group meeting implemented by GBC Croatia, several key findings and challenges promoted themselves as significant when it comes to the implementation of the Framework. A high level of displacement of quality data, which needs to be used when measuring the quality of the indicators within the framework, was recognised as one of the main issues. Meaning that even though the quality and measurable data regarding certain indicators does exist, it is often unavailable because of different sources holding the required data. Therefore, any search of the needed data and information would require extensive time period to contact all the data holders, considering that there is often no unique database.

Another challenge stems from unavailability of such data which would require analysis of private households. From private investments into energy renovation processes, to results recorded after energy renovation, data coming from private households is not systematically collected and is usually owned exclusively by private household dwellers. In such cases, such information are presented as a tough challenge to collect.

Additional challenge noticed was the lack of potential to compare the data. Such occurrence is most often when it comes to environmental indicators. Because of data not being collected regularly, nor under the same source, even if new data is being successfully gathered, it would be extremely challenging to compare it with previous state and therefore achieve a clear image of the success or progress.

When it comes to improving the outlined issues, it is suggested to achieve a higher level of understanding the importance and value of energy renovation, financial savings it can produce and environmental and societal positive change which stems from it.

On a more pragmatic scale, the deed for unification of data must be addressed. It is necessary to develop systematic databases, for which the backdrop already exists, therefore the awareness and willingness of certain key actors is required for it to work.

Furthermore, the data needs to be available for the use on local level in measuring the quality of energy renovation processes. That comes in hand with the capacity development, further education and more significant collaboration between the national and local level.

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National Readiness Report: Croatia

Key Learning From This

Session

The Framework will serve as a tool for municipalities in delivering the EPBD and ensure that local initiatives are aligned with national and European policies, and at the same time provide feedback. This will create important loop so when gaps/barriers are spotted at the coalface in cities, initiatives are being generated or scaled to plug these.

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Environmental Indicators

According to the lines showcasing the character and the level of usability of the environmental indicators it is noted how indicator % renovated building reaching nZEB standard annually, is rather difficult to use and it would not provide the useful data.

Indicators % total floor are of public buildings retrofitted each year (m2) and Annual Renovation rate (%) were assessed as highly useful but the data needed for their analysis is lacking.

Regarding the indicator Total additional energy produced from renewable resources on site/nearby

as result of renovation (kWh/yr), the conclusion was that it is hard to assess whether the data is available because of its displacement and therefore it is hard to assess the usefulness of such data.

Indicators Reduction in direct annual CO2 emissions from renovation (ton CO2/yr), Improvement of Net Space heating & Cooling Demand due to energy renovation (kWh/m2/yr), Final energy consumption reduction from renovation (kWh/m2/yr) are designated as both very useful and possible to find the required data.

The Framework will serve as a tool for municipalities in delivering the EPBD and ensure that local initiatives are aligned with national and European policies, and at the same time provide feedback. This will create important loop so when gaps/barriers are spotted at the coalface in cities, initiatives are being generated or scaled to plug these.

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National Readiness Report: Croatia

By capturing social and economic data at local level, such as number of upskilled workers, improved indoor air quality etc, the Framework will link renovation projects and initiatives at the local level to policy processes and decision making at the national level.

Social Indicators

Social indicators Reducing energy poverty: % of households having arrears on utility bills and # non-residential renovated buildings with actions to minimise summer overheating risk are both considered as not useful and the data for them is hard to access.

Awareness raising indicators # sq. m² commercial buildings retrofitted annually and #private households retrofitting their homes annually were described as very useful in their purpose, but such data would be hardly available.

Indicators regarding the improvement of indoor air quality, #households living in renovated dwellings with commissioned ventilation systems and # non-residential renovated buildings with a commissioned ventilation system, were assessed as the ones for which certain amount of data would be available, but not very useful at the local level because of its lack of capacities.

Indicator # households living in renovated dwellings with actions to minimise overheating risks was the only social indicator that was designates as both very useful and easy to find the needed data.

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Economic Indicators

When it comes to Economic Indicators all of the suggested ones were designated as useful to reach but the difference lies on the line of difficulty to use.

Indicators Total annual investment in renovation and Total annual public investment in renovation were designated as the ones for which there is clear and available data.

For reasons such as lacking in databases and privately owned data, the indicators # companies involved in energy renovation and Total annual

private investment in renovation were described as difficult to use and gather data.

Though deemed as useful, but for the reason of data displacement and various sources owning the data, the indicators related to capacity development such as # building professionals and construction workers taking part in energy renovation upskilling, # Public sector staff upskilling in energy renovation and # graduates from technical training courses with focus on energy renovation are categorized as difficult to use and come by.

By capturing social and economic data at local level, such as number of upskilled workers, improved indoor air quality etc, the Framework will link renovation projects and initiatives at the local level to policy processes and decision making at the national level.

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National Readiness Report: Croatia

Making the framework work in CroatiaSupporting Actions Needed

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Key Learning From This

Session

Making the framework work highly depends on how data for measuring advancement will be available on the local level. There is a need for aggregating the distributed set of indicators into a nationally and locally consistent system. The role of setting up the database and make available for local municipalities and people is an important role of the National Government, while the knowledge, the local handling of special conditions and the continuous use on the local level can assure results in better renovation actions.

The social aspects, especially the health benefits of energy-efficient renovations are emphasized. Gaining knowledge and better awareness programs.

Economic measures, including tax incentives, green financing should be introduced as well as European, national and local fundings allocation to energy-efficient building renovation programs.

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National Readiness Report: Croatia

Environmental Indicators

Reduction in direct annual CO2 emissions from renovation (Ton CO2/ year);

• Data is available within the project design and the energy renovation plan

Final energy consumption reduction from renovation (kWh/m²/year);

• Reduction data is available from utility arrears

• Data on energy consumption reduction can also be found within the energy certificate

Improvement of Net Space Heating & Cooling Demand due to energy renovation (kWh/m²/yr);

• Energy features of buildings available in main energy renovation project document

• The usual problem is the disparity between the projected outcomes and the achieved outcomes

• Hard to measure in multi-dwelling apartment buildings because of the change of residents

• Data on the situation before and after renovation is usually unavailable

Total annual energy renovation rate % (%based on dwellings - % based on sq. m² renovated);

• Data should be available from facility managers on local level, but it is not common

• Local governments have the data based on building permits

• Issue comes from renovated private households which have not registered the renovation

% of renovated buildings reaching nZEB standard annually;

• Data available via energy certificates

• Local governments are obliged to have a registry data base on renovated buildings reaching nZEB standard

• Issues with privately owned buildings

% of the total floor area of buildings owned and occupied by the municipality retrofitted each year - % of total m² net floor area;

• On local level, data could come from co-financiers of buildings and renovation processes

• Data is also available through ISGE (EMIS - Energy Management Information System. It is an online application developed by Croatian Ministry of Construction and Physical Planning and several companies with a purpose for monitoring and analysing energy and water consumption in public sector buildings).

Total additional energy produced from renewable resources on site or nearby as a result of renovation (kWh/yr);

• Issues come from investor who used their private funds

• Data available thorough bases from National energy company HEP

The progress indicators will reflect targeted outcomes across multiple benefits areas for the renovation strategies at local, national and EU level (e.g. emissions reduction, increased jobs and decreased public health costs). This will help to align different levels of governance as countries implement their renovation strategies.

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Social Indicators

Reducing energy poverty; % of households having arrears on utility bills;

• There is no common and official definition of energy poverty in Croatia

• Because of no definition, the data on the indicator is difficult to record and use

Indoor Air Quality; # households living in renovated dwellings with commissioned ventilation system;

Indoor Air Quality; # non-residential renovated buildings with a commissioned ventilation system;

• Data is available through energy renovation project documentation

• Energy certificates also have the data on ventilation variations and types

• Tools used in recording the IAQ data are unavailable

# non-residential renovated buildings with actions to minimise summer overheating risk;

# households living in renovated dwellings with actions to minimise overheating risks;

• Potential temperature shifts are calculated within the energy renovation project

• Geographical specificity could pose a challenge because of the differences between the partners

Awareness raising; # private households retrofitting their homes/year;

Awareness raising; # sq. m² commercial buildings retrofitted annually;

• Awareness raising data is needed to be collected from different owners

• Panels with the information on energy savings are usually available on visible sights in renovated buildings

The progress indicators will reflect targeted outcomes across multiple benefits areas for the renovation strategies at local, national and EU level (e.g. emissions reduction, increased jobs and decreased public health costs). This will help to align different levels of governance as countries implement their renovation strategies.

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National Readiness Report: Croatia

Economic Indicators

Total annual investment in renovation; of which total private investment (€);

Total annual investment in renovation; pf which total public investment (€);

• Data on public investments in energy renovation is available through databases from Ministry of Construction and Physical Planning and databased of local governments

• Data on private investments can be collected from facility managers

• Challenging to find the data on private households

# companies involved in energy renovation;

• Croatian Bureau of Statistics owns the data on companies according to specific filters such as area of work

• Data is also available from the number of registered construction sites

• The challenge is to find out what kind of companies are registered in such databases

# graduates from technical training courses with focus on energy renovation;

• Difficult to gather data

• Some information exists, but there are no specific and unified databases

• Depends on the availability of data from various owners

# building professionals and construction workers taking part in energy renovation upskilling;

# Public sector staff upskilling in energy renovation;

• Data on such indicators depends on the databases of various owners and training and education providers

• Educational programmes are executed by various actors such as ministries, NGO’s and there is no unified database

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Build Upon² will play a key role in tackling one of Europe’s biggest climate challenges, the renovation of its existing building stock. The Framework will effectively measure the environmental, social and economic impact of deep building renovation at local authority level.

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National Readiness Report: Croatia

Appendix 1. Build Upon² Draft Framework V.3

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CATEGORYGOAL

Contribute to EU Targets

NATIONALProgress

Indicators

MUNICIPALProgress

Indicators

Unit of Measure

Environmental

Greenhouse gas emission reduction: 50% by 2030 compared with 1990 level and carbon neutrality by 2050

Reduction in direct annual CO2 emissions from renovation compared to 1990 levels

Reduction in direct annual CO2 emissions from renovation compared to the municipality's baseline year as per CoM reporting

> Ton CO2/ year (total building stock) > Breakdown by building type from total number (%)

Environmental

At least 32.5% improvement in energy efficiency by 2030 - relative to the 2007 modelling projections for 2030.

Final energy consumption reduction from renovation

Final energy consumption reduction from renovation

kWh/m²/year

Improvement of Net Space Heating & Cooling Demand due to energy renovation

Improvement of Net Space Heating & Cooling Demand due to energy renovation

> kWh/m²/yr (total building stock) >kWh/m²/yr (for each building type)

Annual energy renovation rate %

Total annual energy renovation rate % > Of which light renovation> of which medium renovation> of which deep renovation

% based on dwellings % based on sq. m² renovated - Non-domestic buildings

% of renovated buildings reaching nZEB standard annually

% of renovated buildings reaching nZEB standard annually

% renovated buildings

% of the total floor area of buildings owned and occupied by central government retrofitted each year

% of the total floor area of buildings owned and occupied by the municipality retrofitted each year

% of total m² net floor area

EnvironmentalAt least 32% share of renewable energy by 2030

Total additional energy produced from renewable resources on site or nearby as a result of renovation

Total additional energy produced from renewable resources on site or nearby as a result of renovation

kWh/year

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National Readiness Report: Croatia

CATEGORYGOAL

Contribute to EU Targets

NATIONALProgress

Indicators

MUNICIPALProgress

Indicators

Unit of Measure

Social Reduction of energy poverty

% of households having arrears on utility bills

% of households having arrears on utility bills

% of households

Social

Provide safe buildings to people - Indoor Air Quality and Thermal Comfort

Actions to improve indoor air quality post renovation works

# households living in renovated dwellings with commissioned ventilation system

# households

# non-residential renovated buildings with a commissioned ventilation system

# buildings

Actions to improve average thermal comfort post renovation works

# households living in renovated dwellings where calculations demonstrate that post renovation condition will satisfy heating requirements

# households

# households living in renovated dwellings where actions have been taken to minimise summer overheating risk

# households

# non-residential renovated buildings where calculations demonstrate that post renovation condition will satisfy heating requirements

# non-residential buildings

# non-residential renovated buildings where actions have been taken to minimise summer overheating risk

# non-residential buildings

Social

Empowering citizens - Ensuring citizens are at the centre of the transition

# private households retrofitting their homes / year

# private households retrofitting their homes / year

# private households

# sq. m² commercial buildings retrofitted annually

# sq. m² commercial buildings retrofitted annually

# buildings

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CATEGORYGOAL

Contribute to EU Targets

NATIONALProgress

Indicators

MUNICIPALProgress

Indicators

Unit of Measure

Economic Increasing investment in energy renovation

> Total annual investment in energy renovation> Total annual public investment in energy renovation> Total annual private investment in energy renovation

> Total annual investment in energy renovation> Total annual public investment in energy renovation> Total annual private investment in energy renovation

Economic

At least 32.5% improvement in energy efficiency by 2030 - relative to the 2007 modelling projections for 2030.

# companies involved in energy renovation

# companies involved in energy renovation

# companies

# graduates from 3rd level courses and technical training courses with focus on energy renovation

# graduates from 3rd level courses and technical training courses with focus on energy renovation

# graduates

# building professionals and construction workers taking part in energy renovation upskilling> of which #Public sector staff upskilling in energy renovation

# building professionals and construction workers taking part in energy renovation upskilling> of which # Municipality staff upskilling in energy renovation

# building professionals and construction workers

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National Readiness Report: Croatia

Thank you to all our workshop participants

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Workshop Participants Analysis

Fifteen people joined the Build Upon2 National Focus Group meeting in Croatia. The highest level of representation at the meeting came from the local government and energy sector, that being representatives of Pilot and Follower cities on the project, alongside several recognized

companies. The following sector with the highest representation was the energy sector, with a number of national energy agencies taking part in the meeting. It was followed by the representatives of research and academia and central government.“

Local Govemment

Research & Academia

Business sector

Energy sector

Central Govemment

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National Readiness Report: Croatia

27%

27%

20%

13%

13%

WorkWith

Us!

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Email [email protected]

Web www.worldgbc.org/build-upon

Twitter @worldgbc #BUILDUPON

As 2020 is the start of the decade of climate action, we are inviting all cities, regions and companies to work with us on solutions in the building sector.

The Build Upon² project is welcoming cities to join our work on renovation strategies, and would love to hear more about impactful renovation initiatives you are running in your city - which we can put on the European stage.

The pilot cities we are working with are: Velika Gorica, Croatia - Budaörs, Hungary - Dublin, Ireland - Padova, Italy - Wroclaw, Poland - Valladolid, Spain - Eskişehir, Turkey - Leeds, UK.

We are calling on leaders across the public and private sector to join the Net Zero Carbon Buildings Commitment ahead of COP26 - to really make Europe’s renovation wave a reality.

Read more about the project and get in touch with the team via the links and details below.

[Replace with Your GBC Contact Details]

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Email [email protected]

Web www.worldgbc.org/build-upon

Twitter @worldgbc #BUILDUPON