The building sector is the largest energy consumer in France and rejects almost a quarter of national greenhouse emissions, outlines the Minister Jean-Louis Borloo, when presenting his policy.

The Environment Consensus sponsored by Mr Sarkozy to promote “green” growth in France forecasts a large energy consumption reduction programme, at least 38% by 2020 for existing buildings, which implies to renovate around 400,000 homes a year.

The interest-free eco-loan is intended to stimulate home owners to undertake thermal isolation of their house /flats and benefit from energy savings. Of a 10 year and even up to 15 year duration, the eco loan can finance up to 30,000 euros building works that improve the energy efficiency of the building. Every/Any private individual can apply, there is no resource conditions.

To qualify for an eco-loan, works must increase immediately and simultaneously the energetic efficiency of the building and have to be undertaken by professionals (men of the art ) in at least two of the following :

- Efficient roof isolation
- Efficient external walls isolation
- Efficient external windows and doors isolation
- Installation or replacement of the heating system or hot water system
- Installation of heating system Installation using renewable energy
- Installation of hot water production system based on renewable energy

It is intended as a funding support to make people act, added J-L. Borloo. Loan repayments should be less onerous than economies/savings achieved. There is no equivalent in Europe, he said and confirmed that the target of renovating 400,000 homes will be met and beyond.

This objective should bring about around 110,000 new jobs by 2012, according to C. Jouanno, Ecology secretary of state.

The zero interest eco-loan has been budgeted for 2009. Mme Jouanno and the Housing Secretary of State, Christine Boutin have signed with banks, building professionals and the Environment and Energy Agency an agreement to define the implementation.

Furthermore a « social housing eco-loan » has also been launched to enable the thermal rehabilitation of social housing. It covers the renovation by 2020 of 800,000 of the most energy-hungry accommodations. An initial budget of € 1.2 billion has been earmarked for loans at a fixed rate of 1.9% over 15 years in order to finance the energy rehabilitation of 100,000 homes in 2009 and 2010.