Renovation and modernization measures at risk due to high construction costs: Criticism of the planned hazardous substances ordinance

Renovation and modernization measures at risk due to high construction costs: Criticism of the planned hazardous substances ordinance

A lack of housing and a low number of new buildings are currently putting a strain on the real estate sector. At the same time, the conditions for renovations seem to be becoming increasingly unfavorable. According to a study commissioned by the Federal Association for Energy-Efficient Building Envelopes, the renovation rate in the German building stock is currently only 0.83 percent. In addition, according to a survey by the Bauherren-Schutzbund association, only around a third of owner-occupiers with older properties are planning energy-related modernization measures.

The reasons for this lie primarily in the currently high construction costs. Despite the housing crisis, however, lawmakers are planning a new regulation that could increase these costs even further. This is a possible reform of the Hazardous Substances Ordinance. The draft stipulates that all work on existing buildings that were built before October 31, 1993 should be carried out without specific suspicion under complete asbestos protection measures, including waste disposal as hazardous waste. This is a very complex and costly process.

In order to avoid this “disposal on suspicion”, private property owners must have measurements carried out to prove that they are free of asbestos contamination. However, this is often expensive and the number of experts is limited. In addition, it is not yet clear whether these clearance measurements meet the waste law requirements.

A main critic of this reform is the Association of Private Builders (VPB). Although he supports the efforts to improve the buildings, in his opinion it is unacceptable that private developers should be solely responsible for the inspection and disposal of possible contaminated sites.

The VPB also argues that construction laypeople are often overwhelmed when it comes to assessing the dangers of installed materials. This could create unnecessary financial burdens for private developers. If a clearance measurement is too expensive or no expert is available, according to the planned regulation, even uncontaminated building materials must be disposed of as hazardous waste at great expense. This could lead to significant increases in costs without guaranteeing additional health protection.

This possible reform of the Hazardous Substances Ordinance therefore has potentially negative effects on the real estate market. It could lead to further cost increases for renovation measures and place a financial burden on private developers. This could in turn lead to even fewer owner-occupiers having older properties modernized to make them more energy efficient. A low renovation rate and a lack of new properties would put a long-term burden on the housing market and continue to pose problems for the real estate sector.

According to a report by www.fr.de