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Polinreb

Smart Energy Services and Regulatory Innovation

Polinreb (Policy innovation to solve the split-incentive issue in multi-sectoral rented buildings)

The Polinreb project (Policy innovation to solve the split-incentive issue in multi-sectoral rented buildings) has been funded by the Sustainable Energy Authority of Ireland under the SEAI Research, Development & Demonstration Funding Programme 2024, Grant number 24/RDD/1133.

Ireland’s rented residential and commercial sectors face long-standing barriers that limit the uptake of energy-efficiency upgrades. Central among these is the split-incentive problem, where landlords are expected to fund improvements while tenants benefit from reduced energy bills. Additional challenges include asymmetric information, limited awareness of efficiency benefits, and policy supports that do not fully reflect the realities of the rented market. These issues contribute to a persistent energy-efficiency gap between rented and owner-occupied buildings, hindering progress toward national energy-efficiency and climate targets. Addressing these structural barriers is essential to unlocking energy savings, reducing emissions, and ensuring that the transition to a low-carbon built environment is inclusive and effective.

Polinreb offers a practical and evidence-driven solution by directly engaging with landlord groups to identify their needs, constraints, and motivations. Through a national survey and targeted focus groups, the project will gather both qualitative and quantitative data to inform policy improvements and market supports. Building on the project team’s extensive research on international best practices and the split-incentive challenge across EU countries, Polinreb will develop two flexible, Ireland-specific green-lease templates (one for residential properties and one for commercial buildings). These templates will incorporate transparent and balanced contractual provisions designed to encourage investment in energy-efficiency upgrades, promote sustainable building operation, and help overcome the split-incentive barrier. The project’s novelty lies in combining international insights with direct Irish stakeholder input to produce solutions that are both innovative and readily implementable.

The project will deliver significant economic and societal impacts. Tenants will benefit from lower energy bills, improved comfort, and clearer communication around building sustainability measures. Landlords will gain access to practical contractual tools, reduced financial uncertainty, and enhanced asset value. At a national level, the project supports the broader deployment of energy-efficient technologies, contributes to emissions reductions in line with Ireland’s 2030 and 2050 targets, and strengthens collaboration across the rented sector. By delivering actionable policy recommendations and adaptable green-lease templates, Polinreb will help accelerate Ireland’s transition toward a more efficient, resilient, and sustainable built environment.