New recast of the EPBD requires that that Member States shall establish a long-term strategy facilitating the cost-effective transformation of existing buildings into nearly-zero energy buildings. Lack of fund and lack of awareness is often considered to be the main barrier for the renovation. Experiences with renovation grant scheme in Estonia showed that large scale renovation scheme is a challenge to the construction industry and increased demand creates new problems like labour shortage and increased construction costs. Current renovation rate of apartment buildings in Estonia is approximately 200 buildings (~1%) per year. Demand is higher but current renovation technologies makes it difficult to significantly increase the renovation rate. Achieving the deep renovation goals with current technologies would require expansion of the whole construction sector (designers, contactors, material industry), which is difficult to achieve. Therefore, innovation and new technologies are needed. The prefabrication would be one solution to allow automation of the renovation process and renovate the existing housing stock within a reasonable time period.
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