Over 41 million Europeans live in energy poverty, with housing costs swallowing up to 40% of household income. To face this dual emergency, an EU initiative is focusing on affordable, climate-efficient housing as a foundation for dignity and inclusion. But experts warn: “Without strong policies and supply chains, innovation stays on paper”
By Martino De Mori
Affordable, sustainable housing is slipping out of reach for many. Across cities and regions, Europe faces a crisis of cost, comfort, and climate impact. According to
research by Eurostat,
in 2023, 10.6% of urban households spent over 40% of their income just to stay housed, while 75% of the EU’s building stock still performs poorly in terms of energy efficiency. As a result, buildings
account for around 40% of EU’s total energy use
and 36% of greenhouse gas emissions. This dual emergency — housing affordability and climate inefficiency —
is not just a technical issue. It hits hardest those already facing social exclusion:
more than 41 million Europeans live in energy poverty — unable to heat or cool their homes adequately.
That makes buildings not just a major source of emissions — but also a unique opportunity to fight social exclusion through smarter, fairer housing policies. But unlocking this potential requires a shift. As
Marco Peverini, urban policy expert at
Politecnico di Milano, warns: “
Housing inequalities today are not limited to extreme situations. We’re seeing systemic insecurity — short leases, poor-quality housing, high prices. Unless the green transition is guided by a public vision on how to tackle housing inequalities, according to our evidence it might deepen these divides.”
Against this backdrop, the EU is funding initiatives like
REN+HOMES —
reimagining housing not only as part of the climate solution, but also as a foundation for social inclusion and dignity. The project brings together 28 partners from 12 countries — including research institutions, technology providers, housing experts, and municipalities. Together, they aim to develop a universal methodology for positive energy buildings (PEBs) and residential districts. These go beyond the NZEB (nearly zero-energy building) standard, which aims to minimise energy demand and maximise efficiency. The approach also focuses on improving resource efficiency and tackling energy poverty. “We are not just showcasing technology,” explains project coordinator
Margherita Fabbri. “
We are building toolkits that can be replicated at scale, with a real impact on energy and housing affordability. These are not luxury experiments — they are designed to work in real life, even for vulnerable groups.”
The strategy is built around four pillars: identifying affordable key technologies (16 in total, including both hardware and software), bundling them into replicable technology packages, testing them at real-world demonstration sites, and creating new dynamic certification systems that go beyond traditional energy labels—factoring in water use, circular materials, and long-term performance. “It’s been a complex journey,” adds Fabbri, “
bringing together so many partners, technologies and local conditions. But that’s exactly what makes the results credible: they reflect the real diversity of Europe’s housing challenges.”
As she explains,
four pilot sites were selected to test the project’s adaptability across diverse climatic, political, and social conditions:
a new multi-family building in La Garriga, Spain, youth apartments in Innsbruck, Austria, a renovated university student hall in Cluj-Napoca, Romania, and family housing in Tallinn, Estonia. This diversity, she says, strengthens the methodology:
“The idea is to create as many replicable options as possible, based on real conditions. That’s what makes it useful to local authorities and scalable at EU level.”
In La Garriga,
more than 1,500 m² have been built in just 26 days thanks to industrialised construction. “Everything is manufactured off site —structure, insulation, conduits, IoT sensors— and then assembled on site with precision,” explains
Meritxell Barroso, Director of Ecoinnovation at Evowall. “This reduces time, costs, and associated CO₂ emissions.” The
Evowall construction system, through the fabrication of industrialised panels, “incorporates recycled and low-emission materials, achieving, in addition, homes with Passivhaus certification and maximum comfort for future residents.” The Innsbruck site introduces
hydrogen storage integrated with heat pump systems—a national first—while Romania’s student dormitories feature
recycled building-integrated photovoltaic façade panels and geothermal walls. These not only lower energy bills but also generate surplus energy shared with nearby buildings. Estonia tests
prefabricated green walls and user engagement systems to encourage energy-saving behaviour.
Beyond technical performance, what sets this project apart is its emphasis on social impact.
The technologies selected are intentionally affordable and widely available. Moreover, each pilot involves future residents through co-design workshops and behaviour monitoring. “
We don’t just build for users, we build with them,” says Fabbri.
“It’s essential to understand their real needs, not just from an energy perspective, but in terms of how they live, manage, and experience buildings.” While the pilot projects demonstrate clear potential, broader structural barriers remain. “
Housing must no longer be treated only as a market commodity,” warns Peverini. “It should be recognised as collective infrastructure—capable of generating both social and environmental value.” Yet promising models exist: he points to Vienna, a city where nearly 50% of housing is public or co-managed, allowing for large-scale retrofits and rent control. But there’s another virtuous example: “Barcelona, despite having less public housing, is also moving in this direction—regulating tenancies and investing in cooperative and public rental housing.”
To scale this vision, Europe needs stronger public frameworks to redefine housing as a platform for energy, inclusion, and resilience. “It’s not just about what we build—but how others can adopt it,” explains Fabbri. As Barroso adds: “
Industrialised systems can deliver fast, high-performance, low-carbon housing. But without supportive policies, training and supply chains, innovation stays on paper.” A fair green transition, concludes Peverini, “depends not only on technology, but on the housing policy and tenure structures we choose to build it into.”
Cover credits: Jw. on
Unsplash
Contacts:
Project coordinator:
Margherita Fabbri, Project Manager at RINA Consulting
margherita.fabbri@rina.org
Communication Managers:
Federica Fusco, Fondazione ICONS
federica.fusco@icons.it
Anna Tamburrino, Fondazione ICONS
anna.tamburrino@icons.it
Project website:
www.renplushomes.eu
LinkedIn:
www.linkedin.com/company/renplushomes/about/
Facebook: https://www.facebook.com/profile.php?id=61566898295637