We consume twice as much energy as the EU, and how much can we pay?

In Serbia, over a million households live in energy poverty. According to the official definition it is a state in which the household does not have at its disposal sufficient opportunities to provide the necessary amount of energy that is necessary for a healthy and dignified life and in a way that does not endanger other basic life needs of the household or the wider community. Energy efficiency measures, which the energy transition implies, are necessary in order to save energy inside the building, but they also require certain investments and an economic standard that the citizens of Serbia generally do not have. Who will pay for the energy transition and how those who cannot do it on their own will go through it, was discussed in Analysis of the effects of energy efficiency measures on housing affordability, in issue Ministry of Space, by author Nikola Vujović, expert in energy efficiency.

Energy transition means reducing the use of fossil fuels such as coal, oil and gas, and the goal is to reduce the emission of gases with the greenhouse effect, as well as the reduction of air, water and soil pollution that often results from the use of fossil fuels. For this process, in addition to the transition to renewable energy sources (Sun, wind, etc.), energy efficiency measures in industry, transport and the housing sector are key.

Analyzes of the housing stock show that as many as 85% of buildings in Serbia do not meet minimum energy efficiency standards. Also, the building sector is a large consumer of energy everywhere in the world. In Europe, they consume 40% of the total energy, while in Serbia that number reaches as much as 60%. Average energy consumption for heating in European countries is about 70 kWh/m2 per year. In contrast, in Serbia, the average consumption is almost twice as high, reaching around 150 kWh/m2 per year, according to the Analysis.

The implementation of energy efficiency measures can be harsh towards those citizens who are of a worse economic status, and there are many of them in Serbia. 

In order for this not to happen, it is crucial that the state is actively involved in increasing the energy efficiency of buildings, but also, what is more important, of family housing facilities, so that these measures include those who need them the most.

The measures currently implemented by the state hardly touch this layer of society, that is, they refer to the reduction of bills for electricity, district heating and gas, which does not represent a significant help, because this type of household is mostly heated with wood or coal. 

Measures that would initially help would be the replacement of individual fireplaces with more efficient ones, subsidies for firewood and larger subsidies for the replacement of carpentry, insulation and installations.

The result of these measures would be lower electricity bills, lower housing costs and more opportunities for a quality life for a larger number of citizens. What would not be good is if only the wealthier strata of society go through the energy transition, and the poor remain with large bills and cold, unlit houses, trapped in a spiral of poverty. "The energy transition will be successful only if no one is left out of it, otherwise, there will be no reduction in pollution, nor the necessary reduction in the emission of particles harmful to public health, and the gap in society will significantly deepen", says the introduction of the Analysis.

You can download the entire analysis on the website of the Ministry of Space, or at this link.