Reimagining Energy Renovations: How SER Is Empowering Nonprofits Across Europe
Since 2021, Econoler has proudly partnered with the Social Energy Renovation (SER) project, a transformative initiative reshaping energy renovation for nonprofit organizations (NPOs). Funded under Horizon 2020 (grant agreement No 101024254), the SER project addresses financing and technical challenges that have held back NPOs. With innovative tools, strategic partnerships, and socially driven investments, SER is enabling nonprofits to become key contributors to Europe’s climate goals while continuing to uplift vulnerable communities.
A Bold Vision for Energy Renovations
Launched in May 2021, the SER project spans 45 months and is focused on Italy’s nonprofit sector while scaling its impacts to Bulgaria and France. Exploratory activities in Germany, the Czech Republic, Slovakia, and Poland are extending its reach even further. With a consortium of eight organizations from four EU countries, the initiative brings together diverse expertise to tackle a shared challenge, creating sustainable renovation solutions for nonprofits.
A Sector Ripe for Change
Europe’s ambitious climate goals demand an annual investment of €243 billion for building renovations, €64 billion of which is allocated to non-residential buildings. The nonprofit sector plays an essential role, representing 13% of Europe’s workforce and providing critical services like education and housing. Yet, NPOs face unique challenges that limit their ability to invest in energy efficiency:
- Limited Capital: Scarce assets and tight budgets hinder up–front investments.
- Unpredictable Income: Funding streams reliant on grants and donations deter lenders.
- Complex Credit Validation: Traditional financial systems exclude NPOs.
- Fragmented Sector: Diverse building types and ownership structures complicate standardization.
These obstacles create market failure in the nonprofit buildings sector, leaving many NPOs without access to energy renovation solutions.
The SER Hub: Empowering Nonprofits with Tailored Solutions
At the heart of the SER project lies the SER Hub, a dedicated network offering nonprofits comprehensive technical and financial support. To achieve this, three tools were created: SERvice4Impact, SEE4Impact, and REN4Impact. Designed to bridge gaps, the Hub delivers four key services:
- Technical Assistance: From energy diagnostics to project oversight, nonprofits receive step-by-step guidance. Tools like the SERVICE4Impact App, developed by ENEA, streamline building assessments and identify priority interventions.
- Financial Assistance: The SER Hub connects NPOs to customized funding solutions depending on project size, including crowdfunding, bank loans, and scalable investments.
- Guarantee Mechanisms: Partnerships with entities like Cooperfidi Italia and Fondazione Cariplo reduce risks for lenders, securing €31.25 million in loans with guarantees covering up to 80%. These guarantee mechanisms are also supported by EU programs (e.g. EIF, EaSI, InvestEU).
- Impact Assessments: The SEE4Impact tool quantifies social and environmental benefits, such as improved health and reduced energy poverty, thus attracting environmental, social, and governance (ESG) focused investors.
The SER Hub operates through a structured five-step roadmap: Scouting, feasibility studies, project design, implementation, and closure. This holistic approach ensures that renovations are impactful and efficient.
Scaling Impact Across Europe
Italy: A Launch Pad for Success
Italy served as the starting point for SER’s innovative model, where the Hub provided tailored assistance to nonprofits. This success laid the groundwork for replication in Bulgaria and France and exploratory activities in other EU countries.
Bulgaria: Tackling Aging Infrastructure
With over 6,000 nonprofit buildings, Bulgaria faces pressing energy efficiency challenges. Most facilities were constructed before 1977 and require significant upgrades to meet modern energy standards. Econoler’s market analysis estimates a need for €576 million in renovations by 2050 (5.2 million m² of building space), with deep refurbishments potentially increasing that amount to €3 billion. Funding from EU programs and national schemes can support this transformation, while one-stop shops (OSS), which are being established under the National Recovery and Resilience Plan, can help streamline renovation efforts.
France: Leading Large-Scale Renovations
France’s nonprofit sector holds untapped potential for energy renovations, with associations owning much of the 55 million m² of non-isolated social-purpose buildings. By 2050, 14 million m² of buildings owned by associations are projected for large-scale upgrades, spotlighting the sector’s role in advancing sustainability. With an estimated cost of €16.8 billion (including VAT), non-profit associations are exploring solutions like shared real estate management and third-party investment companies to finance renovations. Financial tools such as eco loans and European funding can be used to provide additional support.
Insights from Exploratory Activities
Germany: A Framework for Integration
Germany’s ambitious climate policies and professionalized nonprofit sector make the country a strong candidate for SER Hub replication. Large organizations like Caritas and Diakonie lead social services, supported by robust financial programs. However, prioritizing renovations within governance structures remains a challenge.
Poland: Bridging Gaps with Blended Financing
Poland’s institutional capacities, supported by organizations like KAPE and NFOSIGW, and the recognition of intermediaries like OSS position the country well for SER adoption. Blended financing approaches and risk-sharing mechanisms are critical for overcoming market barriers and mobilizing private investment.
Slovakia: Centralized Coordination for Public Buildings
Slovakia’s governance structure provides strategic advantages for energy renovations in social service buildings. With public building upgrades largely dependent on EU funding, innovative financing is key – especially for accommodation-type buildings. The adaptability of the SER model offers opportunities for large-scale implementation.
Czech Republic: Community Energy Potential
In the Czech Republic, hospitals and schools offer opportunities for SER model replication. New energy sharing laws pave the way for community-based renewable projects to foster collective energy transitions. However, the country’s decentralized governance structure requires tailored strategies to coordinate large-scale efficiency efforts and unlock the existing potential.
The Role of Econoler in Driving Change
Econoler has been instrumental in scaling the SER model across Europe. From leading replication efforts in Bulgaria to conducting exploratory activities in Poland, the Czech Republic, and Slovakia, our expertise has helped adapt and implement the SER model in diverse contexts.
The SER Toolbox, developed by the Italian partners, has been a cornerstone in ensuring consistency and effectiveness across countries. The toolbox is a practical guide for replication, providing structured methodologies and innovative tools that enable countries to tailor the SER model to their unique challenges while upholding its core objectives.
Building a Greener Future Together
The SER project exemplifies how collaboration, innovation, and tailored solutions can serve to overcome systemic barriers to energy efficiency. By empowering nonprofits, the initiative not only advances Europe’s climate goals, but also strengthens communities across the continent.
Econoler is proud to be part of this journey, driving change and transforming energy renovations into a force for social good.