Key Renovation Challenges for Hungarian Community

Key Renovation Challenges for Hungarian Community

The Hungarian EU Peers Community, comprised of 14 active members including six one-stop shop (OSS) providers, eight OSS supporters, and three additional participating companies, is addressing the pressing challenges in Hungary’s home renovation sector. With three meetings held so far—one in person and two online—the group is focused on advancing energy-efficient renovations through collaboration, advocacy, and practical solutions.

Financing: A Key Challenge

One of the most frequently discussed issues is financing for one-stop shops. Many OSS providers offer free advice to clients who lack information about renovation subsidies, eligibility criteria, and proper steps for retrofitting. However, this model is unsustainable, especially for OSS operating under the coordination model, as they cannot cross-finance these activities. Even One-Stop Shops (OSS) operating under the all-inclusive model face significant challenges in providing free consultations for complex grant applications.

The new Hungarian renovation grant, which includes energy efficiency requirements for the first time, has further complicated the process. Clients must coordinate energy audits, contractors, and materials, often requiring professional help to navigate the application process. Unfortunately, OSS consultation services—such as energy assessments, tender writing, and contractor selection—are not subsidised, making it difficult for many homeowners to move forward.

The EU Peers Community is advocating for government support to fund awareness-raising activities and OSS consultation services. However, defining the role and qualifications of OSS remains critical. Clear guidelines are needed to determine their responsibilities, duration of operation, and required expertise. Currently, government funding is allocated to the Hungarian Chambers of Engineers for free renovation advice, but their facilitation model—lacking tender writing and contractor recommendations—falls short of the sector’s needs.

Collaborative Solutions

The Hungarian community has identified several priorities to address these challenges, including:

1. Unified Communication: A joint campaign to explain the importance of one-stop shops and demonstrate how professional planning and management pay off in the renovation process.
2. Professional Standards: Developing a shared database of qualified contractors and setting standards to ensure quality work. Attracting skilled professionals remains a challenge, as Hungary lacks an official qualification system for contractors.
3. Advocacy Efforts: Lobbying for consistent and predictable subsidies and financial support for OSS operations, particularly awareness-raising activities.

Broader Context

Energy efficiency remains a low priority in Hungary, largely due to heavily subsidised energy prices, which undermine the perceived need for retrofits. This, coupled with the long payback periods for renovations, creates significant barriers. The community is working to address these issues by sharing knowledge, building public trust, and advocating for policy changes to ensure sustainable progress.

Moving Forward

The Hungarian EU Peers Community is determined to create meaningful change in the renovation sector. By leveraging their collective expertise and resources, they aim to establish a sustainable framework for energy-efficient renovations that benefits both homeowners and the industry.

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