Though construction is not among the sectors hardest hit by the health crisis This year, the effect that an economic recession in 2021 may have on him worries companies, institutions and sectoral associations, who see in the rehabilitation plan that the EU will finance a lifeline.
“We are very concerned about it. A more or less severe economic crisis in Spain will probably generate a greater impact that the one who has caused the pandemic directly, “the president of the General Council of the Colleges of Architects of Spain (CGCAE), Lluís Comerón, confirms to Efe.
The recovery plan and the commitment to rehabilitation made by the Government, with the endowment of 1,651 million euros in the General State Budgets, they are called upon to compensate for this impact, although it remains to be seen to what extent this is achieved.
For the next three years (2021-2023) the Ministry of Transport, Mobility and Urban Agenda (Mitma) has receive 3.5 billion euros of European funds for housing policy and urban renewal, within the framework of the economic recovery and reactivation plan, of which about 1,651 million correspond to the year 2021.
With them, it will launch a program of rehabilitation and economic and social recovery in residential settings, with 1,550 million euros next year and a total for the next years of 2,400 million, and another of digital and sustainable rehabilitation of public buildings, with 1,100 million in total, of them 81 million in 2021.
The bosses raise the stakes
Meanwhile, the construction and engineering employers Seopan and Tecniberia have transferred to the Executive an investment plan of 100,428 million euros plus VAT, with which the sector would multiply by seven every euro from the European fund.
In it they have 3,500 million from the Mitma and another 2,455 from the Institute for Diversification and Energy Saving (IDAE) to propose that the contribution of 1.5 private euros for each public euro would raise the amount from 6,000 to 15,000 million euros. investment in rehabilitating, making accessible and improving energy efficiency of up to 750,000 homes, with a generation of more than 211,000 full-time jobs and more than 4.8 billion in tax returns.
The sector thus increases Mitma’s commitment to energetically rehabilitate 500,000 homes in three years (2021-2023) and increases the pressure after approving the European Council a few weeks ago to raise the minimum of 40% to 55% net national reduction in greenhouse gas emissions by 2030.
500 homes per action
Buildings, which represent 36% of emissions, are a key sector to meet the committed objectives, and in Spain there are 9.7 million main homes in need of rehabilitation, mainly energetic.
The Seopan and Tecniberia plan foresees that each action covers a minimum of 500 homes, with an average cost of 20,000 euros (VAT at the rate of 4%, and building license included) and up to four different activities: accessibility and habitability, energy efficiency -thermal envelope and low temperature electric air conditioning-, self-consumption and physical infrastructure for electric mobility.
Two laws in motion
From the real estate consultancy CBRE they confirm that sustainability will be an important focus of investment attraction and that many investors are only interested in buildings with some certificate of sustainability.
On the other hand, the developers remember that the communities of owners are the ones that have to make the decision to rehabilitate and that for this they need easy systems, easy dialogue and clarity in the process“If not, the funds will not be available,” Juan Antonio Gómez-Pintado, the president of the Association of Promoters and Constructors of Spain (APCE) and Madrid developers, recently warned.
Two laws in progress, the State Law for the Right to Housing and that of Architecture and Quality of the Built Environment, are called to incorporate measures to start in 2021 what some call the “wave of rehabilitation”.
Digsmak is a news publisher with over 12 years of reporting experiance; and have published in many industry leading publications and news sites.