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Beyond good faith: Why evidence-based policy is necessary to decarbonize buildings cost-effectively in Germany

Authors
/persons/resource/puja.singhal

Singhal,  Puja
Potsdam Institute for Climate Impact Research;

/persons/resource/Michael.Pahle

Pahle,  Michael
Potsdam Institute for Climate Impact Research;

Kalkuhl,  Matthias
External Organizations;

/persons/resource/Antoine.Levesque

Levesque,  Antoine
Potsdam Institute for Climate Impact Research;

Sommer,  Stephan
External Organizations;

Berneiser,  Jessica
External Organizations;

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Citation

Singhal, P., Pahle, M., Kalkuhl, M., Levesque, A., Sommer, S., Berneiser, J. (2022): Beyond good faith: Why evidence-based policy is necessary to decarbonize buildings cost-effectively in Germany. - Energy Policy, 169, 113191.
https://doi.org/10.1016/j.enpol.2022.113191


Cite as: https://publications.pik-potsdam.de/pubman/item/item_27523
Abstract
The ambitious climate targets set by industrialized nations worldwide cannot be met without decarbonizing the building stock. Using Germany as a case study, this paper takes stock of the extensive set of energy efficiency policies that are already in place and clarifies that they have been designed “in good faith” but lack in overall effectiveness as well as cost-efficiency in achieving these climate targets. We map out the market failures and behavioural considerations that are potential reasons for why realized energy savings fall below expectations and why the household adoption of energy-efficient and low-carbon technologies has remained low. We highlight the pressing need for data and modern empirical research to develop targeted and cost-effective policies seeking to correct these market failures. To this end, we identify some key research questions and identify gaps in the data required for evidence-based policy.