Faced with the climate emergency and the energy crisis, the National Assembly is examining a bill tabled on October 29, 2024 by MP Stéphane Delautrette and the Socialists and Related group. The latter aims to accelerate the energy renovation of housing In France. Indeed, this text proposes a set of measures to make energy renovations more accessible to households. And this, in particular by doubling the aid ceilings and establishing a “zero out-of-pocket” system. The objective is to remove the financial and administrative obstacles which are currently slowing down the renovation of the country's 6.6 million energy-intensive homes.
Summary :
The climatic and energy issues of housing renovation
Environmental impact and carbon neutrality objectives
The impact of the building sector, responsible for 16% of national CO2 emissions in 2023, underlines the importance of its transformation to achieve carbon neutrality by 2050.
France's ambition is to bring the energy consumption of all buildings up to the “Low Consumption Building” (BBC) standard. To achieve this, the law requires a reduction in emissions from this sector of 49% by 2030, taking 2015 as the base year. Then, it provides for the transformation of 35 million additional homes to achieve low consumption standards by 2050. This law reaffirms the urgency ofaccelerate energy renovation so that the reduction target is achieved without delaying the schedule.
Key measures to accelerate energy renovation
Each measure in this proposal is designed to accelerate energy renovation and overcome the limitations of the current system. In fact, the pace of renovations remains insufficient and the incentives are still too weak. However, costly but essential work, such as insulation and upgrading, is necessary to achieve the set objectives.
Here is a detailed analysis of these measures to accelerate the energy renovation of housing:
Doubling of the MaPrimeRénov' ceiling
This measure is not only aimed at increasing aid. It encourages comprehensive and efficient renovations. In fact, the current ceiling is €20,000. However, it is often considered insufficient for complete renovations.
This is why MP Stéphane Delautrette is proposing to increase it to €40,000. As a reminder, this bonus mainly targets renovations that improve energy efficiency by at least 35%. This is a precise threshold to ensure that only projects with significant effects in terms of reducing emissions are eligible.
Establishment of a “zero out-of-pocket” system
The “zero out-of-pocket” system is at the heart of this proposal. It thus addresses one of the major obstacles for low-income households: the initial cost. Designed in the form of a repayable advance, the system covers the part not financed by aid.
Inspired by other zero-interest loan models, it introduces innovative repayment terms, particularly at the time of resale or through inheritance. To this end, it facilitates access to renovations for households with low incomes. Likewise, this flexibility makes it possible to preserve the purchasing power of households while guaranteeing viable long-term financing solutions.
Creation of an energy renovation fund
To ensure the financial sustainability of this program, an energy renovation fund, managed by the Caisse des Dépôts et Consignation, will centralize reimbursements and financing. This fund could issue debt securities guaranteed by the State.
In addition, this mechanism would mobilize up to 150 billion euros to support energy renovations in the decades to come. The objective is to guarantee continuity of funding and secure reimbursement flows while providing stability to the program in the face of budgetary fluctuations.
Cost compensation for the state
This compensation, planned via an adjustment of tax rates, compensates for the additional costs generated by the strengthening of aid. The law provides for adjusted financing, making it possible to cover the portion of expenses not covered by reimbursements. Consequently, it aims to ensure the financial viability of the program. The objective is also to avoid a deficit, particularly in the face of the planned increase in subsidies.
Increased financial support for households
The proposal aims to remedy the weaknesses of existing systems. In 2023, MaPrimeRénov' financed 623,790 “small gestures” of renovation, but only 71,613 overall renovations. These figures reveal a disparity between light renovations and those that provide significant energy improvement. The latter is, however, essential to achieve France's environmental objectives.
With the zero remaining charges and the increase in the ceiling of MaPrimeRénov', this law encourages global renovations. In fact, it limits “mono-action” type interventions which only improve one aspect of energy efficiency. The initiative particularly benefits low-income households. In fact, the latter often do not have the means to finance insulation work or the installation of efficient energy devices. However, these investments make it possible to achieve significant energy savings in the long term. By facilitating access to more substantial aid, this law directly contributes to accelerating energy renovation.
The financial and administrative challenges of accelerating energy renovation
Financial issues for the State and institutions
This law poses considerable financial challenges, particularly in the management of the energy renovation fund. The fund, supported by debt securities, will require rigorous management to limit financial risks and maintain stable cash flow.
Furthermore, the mobilization of public funds on a large scale could come up against budgetary constraints. And all the more so if inflation continues to affect public finances. The tax adjustment compensation strategy must be flexible to adapt to changes in the financial needs of the program.
Management challenges for Anah and Caisse des Dépôts
Managing requests, reimbursements and monitoring renovations will require strengthening human and administrative resources. This will particularly concern the National Housing Agency (Anah) and the Caisse des Dépôts, which will have to adapt their capacities to meet growing needs.
The complexity of reimbursement files raises several administrative and legal questions. This mainly concerns beneficiaries who opt for reimbursement upon transfer or inheritance of the property. The success of this program therefore relies on the capacity of these institutions to efficiently process files and support beneficiaries throughout the process.
Adoption and communication with owners
Finally, to ensure mass adoption, the law provides for communication efforts to better inform owners of the existence of this aid and simplify their procedures for obtaining it. Raising awareness of long-term energy gains and energy savings achieved after renovation will be crucial to maximize the impact of this program and guarantee its sustainability. This will thus help to accelerate the energy renovation of housing in France.
