renovation in Canada

The underground economy, while not fully captured in the strategy table presented at the meeting, is dealt with in some length in the report. This issue is being addressed by ongoing work by other agencies. Tax proposals have been mentioned as a tactical tool. While they are an inducement to get people to keep a proper paper trail, it may not be politically desirable to try to enlist consumers to combat the underground.

From a consumer perspective, the ultimate goal is to get people to appreciate the importance and benefits of a comprehensive renovation / retrofit / maintenance strategy, to realize how their house operates as a system, and to undertake work in the proper sequence.

Energy prices may be less important than health / IAQ and quality of life benefits in motivating individual householders' renovation and retrofit decisions. In England, high energy prices do not appear to have affected energy efficient improvements.

The rationale for asking government to treat homebuilders and renovators differently from other sectors of the economy may lie in the extent to which taxes and various government imposed transaction costs contribute to the total cost of housing. For new housing, these costs are close to 30% of the selling price. Since housing is unique in this respect, there may be reason to revisit the costs imposed by the public sector and reduce or remove some of the disincentives to investment.

Energy retrofits benefit more than the individuals undertaking them. Should individuals be paying all the costs?

The report should and does indicate the spheres of influence of the various agencies and levels of government engaged in renovation activities. In its final version, it will be looking at strategies which can have the most impact to establish priority areas of activity.