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Realized dynamic effect of retrofits on energy consumption in Soviet-era multi-apartment buildings

Author

Listed:
  • Kažukauskas, Andrius
  • Li, Xiaoying

Abstract

Retrofit programs for old and highly energy-inefficient housing stock from the Soviet era are widely believed to offer a rare win-win opportunity for mitigating climate change and addressing acute energy poverty issues in Eastern European urban neighborhoods. However, despite government subsidies and a push for greater energy efficiency, many people do not undertake retrofits. This raises the question: do these retrofits truly deliver the promised returns? This paper aims to examine the effects of retrofit programs on old Soviet-era multi-apartment buildings' realized dynamic energy savings in Lithuania by analyzing monthly energy bills. Our findings suggest that retrofits are associated with a 50% to 59% reduction in average space heating consumption across various post-retrofit periods. Additionally, retrofits have a short-term effect on electricity savings of 3% to 3.6%. However, our cost-benefit analysis indicates that the energy savings were not sufficiently large to cover the initial investment costs.

Suggested Citation

  • Kažukauskas, Andrius & Li, Xiaoying, 2024. "Realized dynamic effect of retrofits on energy consumption in Soviet-era multi-apartment buildings," Energy Economics, Elsevier, vol. 134(C).
    • Handle: RePEc:eee:eneeco:v:134:y:2024:i:c:s0140988324002718
    DOI: 10.1016/j.eneco.2024.107563
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    References listed on IDEAS

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    JEL classification:

    • Q41 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Demand and Supply; Prices
    • Q48 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - Energy - - - Government Policy
    • D12 - Microeconomics - - Household Behavior - - - Consumer Economics: Empirical Analysis

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