Acción perteneciente al proyecto REPEX “Rehabilitación energética de edificios, una oportunidad de empleo verde en Extremadura, una solución a la pobreza energética” Colaborador FUEL POVERTY IN SPAIN Direct employment generation potential of thermal retrofits of residential buildings

A household is in fuel poverty when – is unable to afford an adequate amount of energy services to satisfy its domestic needs – and/or has disproportionate energy expenses as a proportion of income An issue with little visibility – primarily domestic and spatially diffuse – closely related to other forms of poverty and social exclusion – Impact of the global crisis: unemployment Proyecto REPEX ¿What’s fuel (or energy) poverty? Definition and relevance in Spain

Estimate fuel poverty rates in Spain at the national and regional (i.e., Autonomous Communities) levels Analyse the relationship between fuel poverty and unemployment in the context of the economic crisis Present the impacts of fuel poverty on health, especially excess winter mortality Gauge the direct employment generation potential of thermal retrofits in Spain Assess fuel poverty-related measures and policies in Spain Proyecto REPEX Aims of the study

Proyecto REPEX Methodological approach and data sources Two measuring approaches – Household’s energy expenses and annual income Household Budget Survey – Household’s perceptions and statements EU Survey on Income and Living Conditions Other data sources – Survey on Households and the Environment 2008 – Barometer of the Spanish Center of Sociological Research - CIS (Dec. 2011) – Monthly mortality data (INE)

Proyecto REPEX Declared indoor temperatures (for heating) Households and the Environment (2008) But… -only for only 49% of all households answered -declared Ts, not real measurements

Proyecto REPEX The impact of the economic crisis Barometer of the CIS (Dec. 2011) % respondents that have changed consumption habits for saving money as a consequence of the crisis

Proyecto REPEX Fuel poverty rates (1) Energy expenses vs. household income % de households that spend more than 10% of their annual net income on energy

Proyecto REPEX Fuel poverty rates (2) Perceptions and statements % of households that report/state…

Proyecto REPEX Comparing measuring approaches vs. severity of the winter In 2010 (approx.): -10 % households -4 million people

Results at the regional level Autonomous Communities Proyecto REPEX More than 10% of annual net income on energy expenses Inability to keep the home adequately warm in winter Highlands of the center and north of the Iberian Peninsula (less Madrid and the Basque Country) Milder regions: south, east and islands

Proyecto REPEX Excess winter mortality Relative EWM rates Out of 23,400 excess winter deaths, between 10 to 40% (2,300 to 9,300 EWDs) may be due to fuel poverty, more than road trafficc accident victims in 2011.

Proyecto REPEX Fuel poverty and unemployment Energy expenses vs. household income

Proyecto REPEX Direct employment generation potential of thermal retrofits in Spain ≈400 firms and entities contacted 25 valid cases 89 buildings dwellings 16.7 FTE-year per million €

Proyecto REPEX Assessing policies, measures and elements of the legal framework TypeMeasureImpact on fuel poverty SOCIAL TARIFFS Bono social (social electricity tariff) Temporary;,only for electricity users. Beneficiaries are not always in fuel poverty. ENERGY EFFICIENCY for the residential sector National Housing and Renovation Plan Fiscal deductions for retrofits Renove plans Building code Wide range of measures, but none of them refers to fuel poverty in their objectives or allocation criteria. Fuel poor households may not be benefiting from them because of lack of capital and information. INCOME TRANSFERS Plan PREPARA Minimum Income for Integration (RMI) Temporary, palliative effects. All household fixed costs to be covered with a small amount.

≈ 10% households (4 mill. people) in fuel poverty Substantial regional differences: 2 FP types FP in Spain may be responsible for more premature deaths than road traffic accidents Differential impact on unemployed households Lack of specific measures and policies Thermal retrofits as a long-term solution to FP and as an employment opportunity for laid- off workers of the construction sector Connection with other policy goals: energy security, climate change and urban air quality Proyecto REPEX Key conclusions Fuel poverty in Spain

Acción perteneciente al proyecto REPEX “Rehabilitación energética de edificios, una oportunidad de empleo verde en Extremadura, una solución a la pobreza energética” Colaborador Thank you for you attention

BACKGROUND SLIDES Proyecto REPEX

A household is in fuel poverty when – is unable to afford an adequate amount of energy services to satisfy its domestic needs – and/or has disproportionate energy expenses as a proportion of income Proyecto REPEX ¿What’s fuel (or energy) poverty? Definition and components INCOME Domestic ENERGY PRICE EFFICIENCY of the DWELLING

An issue with little visibility – primarily domestic and spatially diffuse – closely related to other forms of poverty and exclusion Background – EPEE project – European fuel Poverty and Energy Efficiency (Ecoserveis/ Intelligent Energy Europe) – Studies on poverty and social exclusion (Cantó et al., 2003; Laparra, 2010; etc.) – Data on residential energy use (IDAE, 2011) Proyecto REPEX Relevance and background in Spain

Proyecto REPEX Energy expenses and household income Critical factors Energy expenses vs. household income Evolution of the weight of energy carriers on the energy bill ELECTRICITY TARIFF DEFICIT

Living in a poorly heated dwelling: – Has negative effects evident in terms of infants’ weight gain, hospital admission rates, developmental status and asthmatic symptoms – Affects the mental health of teenagers – Is a cause of flu and colds and exacerbates existing conditions such as arthirtis and rheumatism – Reduces the dietary choices of households – Is a cause of premature death due to cardiovascular and respiratory diseases. Proyecto REPEX Impacts of fuel poverty on human health Source: Marmot Review Team, 2011

Proyecto REPEX Fuel poverty-related excess winter mortality Out of 23,400 excess winter deaths happening in Spain in an average year, between 10 to 40% may be due to fuel poverty

Proyecto REPEX Fuel poverty and unemployment Perceptions and statements % households with arrears on utility bills