Energy efficiency is now considered by experts and politicians alike to be one of the primary economic and social solutions to the current energy crisis. This conference organised by Rexel and the CGEMP will be the opportunity to draw up concrete energy efficiency programs and to explore a number of different avenues: - How will energy efficiency measures be able to bring about cost savings and create jobs? - How do users behave when confronted with these issues and how can we assist them, in particular in residential buildings? - Faced with these developments in technology and practices, what role should companies operating in the energy sector, public authorities and consumers play, in France and in Europe?

1. ENERGY EFFICIENCY: AN
ECONOMIC AND SOCIAL
RESPONSIBILITY
Proceedings
of the Rexel – CGEMP symposium
Université Paris Dauphine
January 24th, 2012

2. I. Introduction :
Patrice GeoffronDirector of the CGEMP, Université Paris Dauphine
Jean-Marie ChevalierMember of the CGEMP, Université Paris Dauphine
Jean-Charles PauzeChairman of the Management Board, and Chief Executive Officer of
Rexel
Patrice Geoffron
Director of the CGEMP, Université Paris Dauphine
Background information
Energy is at the heart of a great number of issues.
At an international level, the Fukushima disaster calls into question the production of nuclear-
generated electricity. It is thus important to quickly think about energy demand management.
At the same time, the economic crisis and the rise of energy prices increase fuel poverty,
hence the crucial importance of housing energy efficiency.
Fuel poverty means that some households have to spend over 10% of their income on
energy. 13% of French households are in this situation, 36% if you include low-income
homes.
Philippe de la Doucette, head of the CRE (Committee for the Regulation of Energy, a French
quasi-autonomous non-governmental organisation), announced a few days ago that in 2016
electricity prices will be 30% higher than today.
As unemployment rates rise and purchasing power declines, this is a highly explosive
combination of factors.
Energy efficiency is the solution to this problem.
According to EU statistics, it could represent an extra 1,000€ of purchasing power per year
per household.
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3. Jean-Marie Chevalier – economist
Member of the CGEMP, Université Paris Dauphine
We reached a particularly difficult moment in the history of energy, because we just
started dealing with climate change, a phenomenon that had been loftily ignored for a very
long time.
We live in a world full of insecurity: the future of energy has never been so uncertain, as is
evident from the events we have been witnessing for a year: the shale gas revolution in the
United States and its ban in France, the Fukushima disaster, the Arab Spring whose
consequences remain largely unknown, the German ban on nuclear power… It‟s a fast-
moving world. One may wonder what the next crisis will be.
With such a background, thinking about energy efficiency is a win-win game, provided that
you can fund it. Eric Besson, the French minister for industry, energy and digital economy,
describes energy efficiency as a strategic choice, under all scenarios.
Rexel published a very accurate international survey on energy efficiency that concretely
compares the situation in different countries. Some may not agree, but to my knowledge no
comparative study has been conducted.
The European directive on energy efficiency is very important. It is an extremely clever piece
of legislation, we will discuss it later.
The recent roundtable organized by the government shows that the global initiative on
energy efficiency is gaining momentum.
Under most scenarios, the share of electricity in the global energy consumption is expected
to rise further. It is a problem, especially during peak periods. Electricity has become a
crucial utility for about fifteen years; we just can‟t live without it. The 1999 blackout was kind
of fun, because it was so uncanny to be powerless for a couple of hours. Today, not being
able to charge our appliances is a big issue.
Funding
We are in a difficult period. Regional and local authorities have limited funds, utility
companies are not as rich as they used to be fifteen years ago. The price of electricity does
not necessarily reflect its full cost.
Mr de la Doucette‟s statement is both courageous and very cautious.
He said that, all else being equal, given the current legislation, electricity prices are expected
to rise by 30% between 2012 and 2016. Everyone says that electricity prices are cheaper in
France than anywhere else: well, yes and no, because network maintenance costs are not
taken into account, and these will inevitably increase. Put differently, French households are
going to undergo an increase in prices of basic goods which will undermine their purchasing
power. Fuel poverty is a major issue. We must be honest with users: rising prices mean they
won‟t be able to consume as much as they did in the past, and they are going to feel the
difference.
In France, the Court of Accounts(Cour des Comptes) remarked that the measures of the
GrenelleEnvironnement1 must be funded through credit reallocation. For lack of will, this has
not been achieved, and for want of courage, nothing has been done yet to tax the gas
consumption of big trucks. It‟s like running away to fight another day. It seems that some
dare not take bold decisions because they seek re-election.
Tax revenue must be spent on projects which prioritize energy efficiency while helping the
poorest households. It is not about giving checks, but creating incentives.
The issue of energy efficiency is multidimensional: it has economic, financial, political and
social aspects. The latter is going to gain importance in the coming months.
1
A multi-party debate in France on environmental issues
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4. Jean-Charles Pauze
Chairman of the Management Board, REXEL group
Why does Rexel participate to this debate? The industry is faced on a daily basis with the
issues which are being discussed here. The problem is global and multifaceted and should
be dealt with as such.
From the entrepreneur‟s point of view, adapting to our fast-moving world is essential. We are
confronted to energy efficiency issues every day, that‟s why we must find solutions and strike
new partnerships. That‟s the reason why we are here today.
Implementing solutions to spare energy is an important part of our business: how can we
adapt them to the requirements of construction companies? This is a long-standing technical
issue.
The necessary shift in behaviours is a more recent question. How are users supposed to
react? We are less prepared to tackle this aspect of the problem, since we are in contact with
other professionals, and not with the other end of the supply chain.
We have been striving to gain a better grasp of these issues since 2008, though. Launching
our international survey on energy efficiency last year was a big symbol of this. One of the
results is that our solutions must be both practical and sustainable. That‟s what our business
has to be about.
Technical aspects
Participants will soon talk about the passive part. Things are already moving forward in this
respect.
As for the active part, that is electric appliances, I couldn‟t agree more with Jean-Marie;
electricity conveys power, but also data. We depend on it more than ever, and we must be
fully aware of the global systemic risks our society is exposed to, should a big energy crisis
occur.
Funding and education are two of the issues we are facing. We must be able to implement
workable solutions as soon as possible. For example, it still takes a couple of years to recoup
the cost of energy saving lamps, which is too long.
40% of global energy consumption is used to power buildings, which is precisely our job.
Low energy buildings use four to five times less energy! The stakes are very high! As has
been said already, it represents an extra 1,000€ of purchasing power per household.
As emerged from the answers to the first question of the international survey we conducted
in France, the UK, the USA and Germany, 90% of the respondents consider that energy
efficiency is a relevant issue! The 2008 crisis most certainly influenced people‟s attitudes. But
on the other hand, when asked if they feel familiar with energy efficiency, or if they have
heard about zero-rate eco-loans, only 40% know what it‟s about. There is a huge gap to be
bridged.
It is clear that our interaction with a wide range of stakeholders within the energy sector and
our outreach to thousands of clients give us a unique role and make us responsible for
moving forward.
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5. II. Conference
Philippe Pelletier Lawyer,President of the Strategic Committee of the GrenelleBuilding Plan
Armand AjdariDeputy R&D Vice President, SAINT-GOBAIN
Silvia-Adriana ŢicăuMember of the European Parliament, Energy Specialist, Rapporteur on
the Directive on the energy performance of buildings in 2008-2010
Bernard LaponcheNuclear Physicist, Engineer, Expert in Energy Economy
Colette LewinerGlobal Leader of Energy, Utilities & Chemicals, CAPGEMINI
Fabien RoquesIHS CERA Director (Cambridge Energy Research Associates)
Philippe Pelletier – lawyer,
President of the Strategic Committee of the GrenelleBuilding Plan
Today I would like to focus on the renovation of pre-existing buildings. I will omit the
important issue of construction norms, for the greatest problem is renovation.
Opening statement
What is the stake of energy efficiency in buildings?
I will make three points afterwards to answer this question.
Taking into account energy efficiency in buildings is going to change everything. We must
bring about nothing short of a revolution: it‟s not about doing things slightly better than
before, but doing them differently. Constructing a low-energy building will require new
methods. Adding up different skilled trades on the same construction site is not enough, they
need to work together. Otherwise the building‟s air-tightness may be insufficient, for instance.
On the other hand, if we don‟t change our behaviour as users (in the office or at home),
obviously very little is going to happen. Besides, if homeowners don‟t take into account
renovation works, the value of their property will go down. Seeking energy efficiency in
buildings in order to reduce energy costs will require deep changes.
Helping the poorest
As President of the Strategic Committee of the Grenelle Building Plan, I did my best to target
the poorest. Fuel poverty does exist in our country. Looking at the numbers, nowadays over
3,800,000 households spend 10% of their income on heating.
In the past years, the government‟s strategy consisted in helping them pay their bills
(Housing Solidarity Fund, fuel oil premium). Now the paradigm has changed: public money
must be used to control bills! A few simple steps: insulating the roof, changing the window
panes, updating the heating system.
We set up a 1.3 billion euro-programme in partnership with the National Housing Agency
aiming at lifting 300,000 households out of fuel poverty in 6 years. A ratio of 300,000 out of
over 3 million is certainly not enough, but it is already a huge achievement.
Contrary to common beliefs, these people are senior citizens and homeowners, living in
detached houses in rural areas. The issue of care-dependency thus adds up to fuel poverty!
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6. Helping the average citizen
Earlier you hinted at the fact that our tools are complicated and unfamiliar. Renovating our
housing is a long-term goal; it won‟t be done until 2050, that is, two generations. I am trying
to overcome the misperception that everything should be done all at once. The reason is that
not only do we have to take concrete steps, but we must also foster a progressive cultural
shift of our entire society. Renovating your house is not a natural thing to do. Think about it;
compare your house with your parents‟: what has changed? Yes, you might have changed
the carpet and the wallpaper, but usually that‟s about it. Renovating is by no means a
tradition.
We must design services that are relevant to the owners‟ requirements and not disappoint
them. But it takes time. Companies are progressively gaining competence in the field of
energy efficiency and are increasingly able to provide adequate services. It took time for
policy-makers to implement incentives, but now the system is ready.
Why not make renovation toward more energy efficiency a mandatory requirement
instead of relying on incentives?
The Grenelle II law provides that the office park nationwide had to undergo renovation works
between 2012 and 2020. The government asked me to write the order in council which would
define precisely what energy efficiency renovation works consist of.
Here is my question: is it responsible today (letting aside the upcoming presidential election)
to burden companies with such renovation works on their premises, especially at a time
when regional and local authorities are not able to fund supporting measures?
There is no other way, though. If we don‟t act,we might weaken our image), but if we do, you
must know that legislation is going to be loosely enforced. At this point I don‟t know what to
recommend to the government. The system is ready…
The only good news is that half of the 40% energy savings that must be achieved by 2020
depends on a shift in behaviours: fine tuning of thermostats, more cautious maintenance
works… Why not take these first steps? There will still be 20% left to achieve, but the first
part is easier to implement.
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7. Armand Ajdari
Deputy R&D Vice President, SAINT-GOBAIN
I would like to give my viewpoint as an industrialist: Saint-Gobain is a 40 billion-euro
business, an international group which spends 400 million euros on R&D.
We are the most advanced construction company in terms of technology solutions. Our goal
is to become the industry leader on sustainable housing. Our job is to offer comfortable
homes. Most importantly, you may want to know that buildings represent 40% of the overall
energy consumption!
Almost nothing has been done so far. Compared to what we can achieve, today‟s buildings
are a real “thermal sieve”! Right now we don‟t need a technological change: solutions already
exist, but are not implemented. We just don‟t have an energy efficiency sector ready yet. We
need a genuine revolution: the biggest energy source on the planet is to be found in energy
efficient buildings. One more thing to bear in mind: China builds much more homes every
year than we will renovate in twenty years.
The reason why our homes are “sieves” and our sector is little qualified is that we don‟t think
enough about what a smart building is like, a building adapted to all kinds of constraints:
climatic, cultural, social, and local. You need an adequate high-performance material to wrap
around buildings with. But such buildings won‟t get the full extent of energy efficiency unless
you are using low-energy appliances in them. Thinking of renewable energies and buildings
as two separate things is missing the point of efficiency… We must learn to think of buildings
as mini-power plants. Renewable sources of energy can be part of a building and supply it
with power as a self-relying unit. Once again, let‟s remember that educating people and
changing behaviours is important: for instance, it is useless to have double-glazed windows if
you leave them open.
An aspect of the problem has been largely neglected so far: improving our commercial
relationship and promoting public knowledge of the latest evolutions. The construction sector
needs people able to conduct product demos; unfortunately, it is immeasurably more difficult
and complex to present a demo on efficient buildings than to present a smart phone‟s new
apps.
Let me take an example: the multi-comfort house. It uses less than 40 kW/h per m2 per year
and produces over 60 kW/h thanks to solar panels. It produces more energy than it uses,
and most of all it doesn‟t use much. Highly-insulating windows allow coolness in the summer,
warmth in the winter.
Philippe Pelletier
“The house of the future is beautiful! It is wrong to imagine that energy efficient houses
are going to look like thermos flasks or blockhouses. We must combat such
misconceptions, buildings can be both energy efficient and beautiful.
Besides, it is hardly more expensive than a regular building.”
Armand Ajdari
Another special feature of new houses is that now a building‟s energy efficiency is decided
off-plan. But then there‟s not actual verification! That‟s why buyers often wonder if promises
will be kept. It‟s quite a shame, whereas a caris always checked after being built.
Our sector must make its expertise known by developing certificates of quality, taking energy
consumption after a year as a criterion. Homeowners too often notice that energy
consumption is superior to what they were promised.
About renovation
70% of the buildings which will be used in 2050 already exist, that‟s why renovation is a
priority. People usually don‟t have their house renovated for economic reasons, but when it
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8. gets too dirty or severely damaged. Given that the savings that energy-efficient buildings can
achieve represent the biggest source of energy on the planet, renovating a home regardless
of energy would be almost criminal. A house should be retrofitted permanently, not only
every 20 years. Energy has to be taken into account when it comes to renovating a building.
Public incentives are necessary, because renovating takes more than re-building. The
government should lead the way by renovating public buildings and offering demos.
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9. Silvia-Adriana Ţicău– Member of the European Parliament
Energy specialist. Rapporteur on the Directive on the energy
performance of buildings in 2008-2010
Here are the main goals of the directive on energy efficiency of the European
Parliament:
Cutting energy consumption by 20% by 2020 while ensuring that basic needs are met
(promoting renovation, fostering a shift in behaviours, etc.). Each MemberState is free
to decide on its reduction rate, provided that it is no lower than 20%.
Promoting and installing smart metres.
Implementing measuring and certification systems for energy efficiency, in particular
for buildings.
This directive establishes a common framework for energy efficiency, and the top priority
goal is to lower energy consumption by 20%. Each MemberState must see to it that from
January 1st 2014 on, public authorities renovate annually 3% of their floor space.
Besides, Member States must design an energy efficiency obligation scheme aimed at
ensuring that all energy distributors achieve annual energy savings equal to 1.3% of their
energy sales, by volume, in the previous year. Member States must also ensure that
customers are equipped with smart metres, accurately measuring their actual consumption.
By January 1st 2014, Member States shall establish and notify to the Commission a national
heating and cooling plan for developing the potential for the application of high-efficiency
cogeneration and efficient district heating and cooling. Besides, they shall assess the
efficiency of their national energy system.
By April 30each year, Member States shall report on the progress achieved towards national
energy efficiency targets.
Amendments currently being discussed at the European Parliament
This directive raises an intense debate among MEPs. They present amendments on
mandatory and optional targets, also aiming at tackling fuel poverty. We are currently
discussing the quantification of objectives and time-related issues (number of square metres
to be renovated annually, deadlines, etc.)
Funding is obviously a crucial issue. You cannot require people to renovate their homes if
you don‟t support them financially. That‟s why we are trying to increase the percentage of
structural funds allocated to Member States for energy efficiency, knowing that many funds
devoted to side tasks could be better distributed.
Council’s proposals
The Council already started to work on this topic. It hasn‟t reached a final agreement yet, but
the Danish Presidency set energy efficiency as one of its top goals. We are striving to reach
an agreement at the European Parliament in first reading so as to take advantage of this
political opportunity.
As for the annual renovation of 3% of the floor space, the Council would like to exempt local
authorities, religious buildings or constructions with historic or cultural significance.
The Council suggests that smart metres should be given to households for free (80% of
citizens must be equipped with electricity smart metres by 2020). As far as heating and
cooling are concerned, the Commission is thinking about a cost-benefit analysis of each kind
of renovation works.
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10. Future goals of the Parliament
The Parliament is very ambitious; MEPs want to take one step further. We are hoping for an
agreement in first reading so as to take advantage of the Danish Presidency and not lose
another six months.
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11. Bernard Laponche – Nuclear physicist, engineer
Expert in energy economy
My first reaction is: “At last!” Energy efficiency is not a by-product of the 2009 crisis. It only
becomes a political issue now, but many have been issuing warnings for almost half a
century… Actually the real starting point was the 1974 oil crisis.
If you take a close look at what has been done so far, you must recognize that significant
efforts were made at European level. If the consumption pattern in 1974 had been confirmed,
we would have used twice more energy in 2010 than we actually did. European directives
and other policies have thus had a real impact, although we should be far more ambitious.
This issue is complicated and must be taken seriously. Energy efficiency comprises
legislative as well as fiscal aspects, but also sector-specific topics. Today our debate is
mostly on buildings, but industry and transportation are also affected by energy efficiency
norms. Too often only the supply side of the problem is considered, but demand is also a
varied, complex and interesting issue which requires the same amount of attention and effort!
We must not only consume less energy, but also change our consumption patterns. Half of
the power used in homes and offices goes to specific consumption, that is audio-visual
appliances, computers, etc.
What matters is cutting primary energy consumption.This commitment also involves cutting
electricity consumption: so much can be done in this field. Half of it is specific consumption,
i.e. domestic appliances, etc. Here a different kind of companies is involved: domestic
appliances manufacturers.
Current political goals are ambitious given the state of our economy.
Engines, for instance, make up 70% of the global industrial electricity consumption. It is thus
necessary to dramatically improve the efficiency of industrial machinery. Other fact: whereas
transportation only accounts for 3% of the global electricity consumption, heating represents
60%! However I wouldn‟t mind if the transportation sector consumed three times more
electricity up to 10%, it would represent a significant effort to move away from fossil fuels.
Organizing our system
We know about best practice. We have gained a significant experience in many sectors. Now
it‟s all about political will. The difficult part is that energy efficiency is a quite horizontal field
comprising many sectors; besides, consumers cannot be made responsible for all the
problems. What we need is middle-men with an expertise working on the ground: a French
mayor willing to take action often doesn‟t know who to speak to.
First need: creating a competence network.
Besides, I would like to mention pilot schemes: not only are they rarely discussed, but they
also often remain experiments and are never implemented on a broader scale, especially
when they depend on public funds.
Second need: financial incentive schemes.
For example, a semi-public company could work as a middle-man between consumers and
the industry. The ultimate goal is to enable consumers to write off their investment thanks to
energy savings, but initial funds are needed to get started.
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12. Colette Lewiner
Global Leader of Energy, Utilities & Chemicals, CAPGEMINI
I am going to leave the macro level and present to you a series of experiments on energy
efficiency in order to give you an insight into how equipment and price can affect the users‟
behaviour:
Installation of smart metres in Italy
Relying on the automated meter reading (AMR) technology, this experiment is the first of its
kind in Europe and took place between 2002 and 2009. The level of energy losses on
domestic networks was very high due to electricity theft. Smart metres solved the problem.
Service quality definitely improved, but bills showed that very little power was spared.
However, the return on investment was pretty good since security and supply improved.
Time-of-use rates in Canada
The government in Ontario set up time-of-use rates for electricity: summer rates, winter
rates, holiday rates… with maximum rates at peak periods. This experiment, requiring smart
metres, yielded very convincing results since peak consumption was smoothed down, with
users consuming more outside the peak period. The overall result is a 6% cut on global
consumption for 75% of the users affected by the programme.
LED balls in California
This is an example of a much simpler technology. Californian energy suppliers decided to
offer their customers, who so wish, a LED ball whose colour changes according to the
consumption period. This very easy technique, which does not impact the energy supply,
surprisingly increases efficiency. It shows that cheaper electricity bills do not necessarily
imply more complex equipment. Customers adjust their consumption according to the colour-
changing LED ball, using less power during peak periods. This experiment had a significant
impact on users‟ behaviours.
Smart metres are a popular topic in Europe, but the user must interact with the metre if you
want to see results: the first generation of Linky metres didn‟t allow such an interaction since
you couldn‟t tell how much power you had used up. In Europe, however, this raises the
question of personal data, whereas in the US users turn over energy management to
specialized private companies, or directly to the energy distributors themselves.
One last essential aspect: informing users.
We must get an insight into the users‟ behaviours: using segmentation, marketing and
communication methods is crucial to reach out directly to users and inform them. As the LED
ball experiment suggests, a shift in behaviours is the first way to improve energy efficiency.
The simplest operations are the most successful.
Smart metres alone are not enough. You need to set up digital displays in the living room or
in the kitchen and to connect metres onto smart phones so that the user can take a glance at
his real-time consumption. Most importantly, they are useless unless you get them out of the
basement.
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13. Fabien Roques
IHS CERA Director (Cambridge Energy Research Associates)
The declared target of the European Union is to cut energy consumption by 20%, but if we
follow the current trend I‟m afraid we won‟t do more than 10-11%. These numbers are similar
to those found in some of the Commission‟s studies.
A range of technologies could help us curb our consumption, be it at home or in the
office. The “green scenario” drawn up in the Ecodesign directive lists some of them.
In the household sector, putting appliances on standby mode is a solution. As you may have
noticed if you bought a new TV set, modern domestic appliances switch off automatically
after being put on standby: it‟s a quite simple way of saving energy. This significant change is
a good example of a successful policy.
In the commercial and industrial sector, things are not as easy. Lighting and heating are the
two main targets. So far we have identified targets and the technical solutions that must be
implemented.
When it comes to housing renovation, an interesting limitation deserves to be mentioned: the
principal-agent theory.
When you buy a home you often lack information about energy efficiency. Besides, it‟s not in
the landlord‟s interest to renovate if only the tenant is going to benefit from it. In return, it‟s
not in the tenant‟s interest to renovate his home if the works become profitable only after ten
years when he‟s not likely to live there anymore.
Another financial problem is return rates.
The initial funding is not always possible, and return rates are often unknown!
This kind of double jeopardy is the reason why energy efficiency investments are still difficult.
The British Green Deal, a very promising example:
This initiative includes an array of innovations in the field of housing renovation: lower if not
zero initial investment cost, less paperwork and administrative procedure…
The government created an investment bank offering low interest rate loans. Households
and bankers struck a deal: the loan repayment is attached to the house itself. If you sell your
home, you also sell the loan that helped make the house more energy efficient. This
technique is being expended on a broad scale.
So far the UK is the most advanced country in Europe in this field.
Energy efficiency is also a network management issue. A distinction must be made
between two aspects: sustained energy demand management on the one hand, and rolling
blackouts on the other. Rolling blackouts, also referred to as load shedding, is a last resort
way of avoiding a complete blackout during peak periods. Rolling blackouts have spread very
quickly in the US since 2005. InFrance, on the contrary, rolling blackouts have decreased
steadily since 2000. We consume more and more. In 2000 you could make up for a four-
degree drop in temperature merely by resorting to rolling blackouts. Today, rolling blackouts
can only make up for 1°C, all things being equal. In ten years we have become much more
vulnerable to temperature drops, because we consume more electricity.
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14. III. Questions and answers
Who benefits from the promotion of energy efficiency?
Colette Lewiner
Users certainly do, but it is less certain that utility companies do, since they aren‟t interested
in lower sales. They are more interested in rolling blackouts. That‟s why we need a paradigm
shift through regulatory certifications.
Reducing peak periods is in the interest of the economy!
For the rest, Californian regulators obliged utility companies to raise their rates only when
they were cutting power consumption… they basically get paid for selling less!
This paradigm shift affects all energy companies, not only those selling kWh.
Fabien Roques
It‟s hard to say who benefits from energy efficiency today. We don‟t have a system of
economic incentives, and we need to design it now!
Today people buy energy, tomorrow they will pay for the service that energy represents.
Once this system is implemented, users will obviously benefit from it, as well all those playing
some other part in this important innovative sector.
Soon all actors will be involved, from equipment to energy suppliers.
Philippe Pelletier
We must think about the issue of the value of real estate.
For example, at the business district of la Défense, big companies take energy efficiency
grades into account when they buy office space. Project developers must adapt, offer more
energy efficient buildings, and suppliers will adapt, too.
The same logic prevails for households: real estate agencies display small posters showing
the energy efficiency of the homes they sell.
Is there a genuine energy efficiency industry in France?
Jean-Charles Pauze
An energy efficiency sector has yet to be created, and it will include several components.
Manufacturers are able to improve their products, but what matters most is their ability to
cooperate. It doesn‟t make sense to separate things. So yes, the industry itself exists, but
now we must ensure coherence between its members.
The industry isn‟t informed enough; it cannot find its way around, that‟s why a lot needs to be
done to inform and above all train the various stakeholders.
We‟ve done a lot in this direction, but the system won‟t succeed unless we ensure it is
coherent.
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15. Does energy efficiency entail high additional costs when it comes to
renovation?
Silvia-Adriana Ţicău
The European directive requires that if renovation costs exceed a certain threshold, public
authorities are liable for the cost. Every possible step should be taken to ensure that the
energetic benefits of renovation are taken into account.
Philippe Pelletier
Accessibility of buildings should serve as a pretext to deal with renovation and its costs.
According to French building trade associations, energy efficiency accounts for nearly half of
the global renovation budget.
Additional costs are high, but on the other hand this evolution makes sense for real estate.
Landlords have a vested interest in the rise of a building‟s price. Energy performance
contracts setting concrete goals are an interesting novelty in this respect.
Philippe Pelletier explained that renovation was a revolution in the building
sector. Since energy efficiency is a cross-cutting problem, different trades
must cooperate to make something new together. Building a smart
neighbourhood is an even more horizontal undertaking. Unfortunately,
although energy efficiency is becoming familiar, it is too often thought about
sector by sector.
The big question is to know whether it is possible to achieve energy efficiency
nationwide through a long-term cross-cutting initiative.
Philippe Pelletier
I couldn‟t agree more with what has just been said. I would like to illustrate your point and
mention another aspect.
A process of certification of construction companies is taking place. Building trade
associations agreed that from 2014 on only qualified companies will be able to benefit from
public funding, such as zero-rate eco-loans.
Secondly, energy efficiency also affects regulation. Demand for higher quality products is
growing and customers have an increasingly accurate knowledge of energy efficiency
measures.
Bernard Laponche
I am convinced that energy efficiency should be a collective cross-cutting undertaking, just
like public transportation in suburban areas.
However, although I am not against it, I don‟t believe in the rise of electric cars. I am afraid
that promoting electric cars isn‟t the proper way to foster a shift in behaviours.
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16. Member of the audience
I work for the electric automobile industry and I believe that a whole range of solutions exist,
and electric cars are one of them.
As far as buildings are concerned, in my opinion government and society as a whole have a
long-term interest in sparing energy, since it will become profitable on the long run. We are
slowly getting started.
Should energy efficiency become a mandatory requirement for private companies? Sparing
energy will enable them to write off future investments. The state of the economy matters:
when it is good, no one talks about sparing energy, but when it goes wrong then people start
thinking. Government funds are necessary to help and to ensure that everyone is on an
equal footing, by supporting training programmes and by controlling loans.
Are there ways to know if energy efficiency policies are successful or not?
Armand Ajdari
Companies committed to sparing energy by implementing energy efficiency improve their
image because they allegedly protect the environment by emitting less CO2.
Hiring more qualified employees makes a company more efficient, they are its driving force.
Some of the final users are aware of the issue of energy efficiency and have an increased
access to information.
Clients tell us about what they‟ve found on the internet on energy efficiency and we must be
able to meet their new expectations and requirements. Clients and craftsmen ask us for
information, especially about regulation and incentive policies, our services and the products
we use. They know what they want and make us want to work for them.
Philippe Pelletier
In France, the Court of Accounts has just published a report that criticizes harshly the way
public money is spent on the Grenelle, although the Building Plan is spared by these
criticisms.
The costliest and least efficient measure is the sustainable development tax credit. The
government uses it to make equipment more efficient, but it‟s difficult to see exactly what
good this measure does.
Lending money to owners and joint owners through a collective eco-loan would actually be
simpler and more efficient.
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17. How efficient are public policies, particularly tax credits?
Colette Lewiner
Regulatory solutions are possible, provided that they are enforced, but it‟s rarely the case.
Can you check the way public subsidies are actually used by beneficiaries? It is very
complicated, and I don‟t trust too complex and unenforceable measures.
Bernard Laponche
One way to achieve results is simply to create legal standards.
For instance, California put a ban on appliances that consume too much energy!
Armand Ajdari
Systems promoting solar panels have been implemented by several countries.
Implementing energy efficiency in buildings is a difficult task, because landlords and tenants
alike have no short-term interest in doing it, hence the inertia of the building sector.
Cooperation on energy efficiency should help design a technical certification system, a
smarter labelling scheme, the long-run target being state-of-the-art energy efficiency norms
for buildings.
Fabien Roques
Tax credits have a distorting impact on the market, but they are a good incentive. Most of the
equipment selected by public authorities is twice more expensive.
It‟s a fact, state aids necessarily make prices go up.
Colette Lewiner
Beware of labyrinthine legislation.
Is there a way to organize the sector towards sales to private homeowners?
How can services be formatted and simplified towards more accessibility?
Silvia-Adriana Ţicău
The Energy Performance Contract is an important first step as it provides necessary
information.
Philippe Pelletier
Raising awareness is essential; every opportunity should be seized to reach out to the public!
People should be made aware of energy audits when they buy or sell a house.
Joint owners should be made to cooperate and have their property audited.
As for poor households, it is necessary to assist them until they are granted a state aid. We
implemented “work bundles” combining different operations. It is arguable that zero-rate eco-
loans should target renovation works.
Helping households is a good way to improve electric efficiency.
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18. IV. Conclusion
Jean-Charles Pauze
Energy efficiency must be seen as a global societal issue.
What matters is that promises on energy efficiency be actually kept!
We need to work together in this sector and raise the awareness of end users. One cannot
work on his own. The sector‟s key actors should cooperate and complement each other if
they want to move forward.
Educating and raising public awareness is essential.To change their behaviours, people
must be taught what energy efficiency really is.structure à revoir.
Let me take two examples: in the UK, it took us around a year to make parking lot owners
understand that it was efficient to install remote-controlled low-energy lamps (return on
investment after less than a year). In gas stations on the side of the highway, 98% of the air-
conditioning motorsare very old, worn out and consume a lot of energy… Only by educating
people can we foster change.
Two points made during the conference seem crucial to me:
The end user:
He undergoes most of the change, and therefore needs to be educated to accept policies.
Collective work and assessment:
It is clear that the most advanced countries are those where the government, industry and
other actors cooperate.
Jean-Marie Chevalier
In France, the national loan scheme (“Grand emprunt”) has been little discussed. Part of it
will be spent on universities, another part on innovative energy projects in the framework of
the Grenelle Plan.
I am struck to see how innovative these projects are: if I were a student here at Dauphine
attending this meeting, I would say to myself: „This is fantastic, there are so many future
opportunities out there!‟ On the one hand, energy is getting more and more expensive, and
on the other hand citizens and consumers are getting aware of the advantages of energy
efficiency.
I realize that everything that has been said here calls for new business models: this
formidable undertaking will bring about new jobs, along with innovative and smart solutions
for the future.
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