Page 263 - 2019 6th AFIS & ASMMA

So, every cent, every penny saved in energy efficiency can really the European families towards an energy efficiency behavior, and we are
improve the quality of life of these people. We also have looked at some asking our institutions, the European Commission and the European
other numbers. This is what we call the Europe 'Heat or Eat' dilemma. Central Bank, to take action, and when they implement Basel, they Speech Keynote
We discover that in Europe, more than 18 million of people have to should give banks the right prudential treatment to allow weighting of
decide between giving food to their kids or heating the house where this asset. We are now in negotiation with the European Commission,
they are living. So nowadays, adding the right strategy to European level which is about to implement the Basel framework in Europe. In addition,
and the global level, is a question of political urgency for the European we will have a group of banks; we have created the pilot phase banks in a
Union. We have a very old stock of housing. If you look housing stock in global level with 46 banks implementing the same definition for energy
European cities, more than a quarter has been built after WWII, and one efficiency, and doing the same thing around the globe, from Canada,
quarter has been built before WWII. So we need to improve the quality Brazil, Singapore, and why not Korea.
of our houses, as soon as possible. At the end of the day, the decision to
improve a house is only on the owner of the house. There is no public So we really welcome you to join us as pilot banks, because we want to
strategy that can intervene, if you don't convince a husband and a wife or build a global case to tell the Basel Committee that they cannot compare
two partners to decide to make works in the house. And we all know how riskiness for energy efficiency mortgages with normal mortgages. Because
difficult it is to convince a family to make works in their house. the risk level is completely different, and our investors in the future will
factor this in, in a different way. We are trying to build a strong case
The banks are in a special place to convince families that there is an to produce evidence at the European level; those are the names of the
economical case to improve their house, as it will safeguard their wealth banks involved in our initiative. Those banks will be meeting at the end
and improve the quality of their life. So, the banks are the only one that of this month in September, in Venice, and we will be discussing how to
can really convince all of us to go back home, and convince your wife or take common action at European and global level. That day in Venice,
your husband and try to make the works in your house to improve the we will have the governors of Bank of Italia and the Italian central bank,
energy efficiency of your house one notch up. What will happen if you who will explain to us how central banks are trying to digest the ESG
improve the energy efficiency of your house by one notch? Well, let's use parameters in the repo transaction policies in market activities, in order
Danish numbers. I am an Italian so I don't want to use Italian or Greek to give room to banks to play an important role. Because banks can help
numbers; I need to use Danish numbers to convince the European the transition to energy efficiency, they can help growth, they can help
Commission. In Europe, we have something which is called "European in change the behavior, and they are the only ones who can help every
Performance of Energy Certification", which is called the EPC. This single family in improving the quality of life of their kids.
ranks the quality of the energy consumption for your house from A to G.
With this I would like to conclude my intervention. I would like to
In Denmark, the value of the difference between A or G for a same leave room for the discussion for the panel but it's a call to the Korean
house is 64 thousand of euros. It's quite an important amount. The community and the global community to be part of our institution, and
energy savings achieved from G to A is around 3,000 euros per year, to join us in building a global case to fight energy transaction and to
or 250 euros per month. There is another analysis; if you move up one give answers to the consumer of tomorrow, because your kids, our kids,
notch on average, assuming a mortgage of 30 years, you can improve have different needs. We want to preserve a better future for all of them.
the quality of the house by 24,000 of euros. So, it's more or less an extra Thank you all for your kind attention. We look forward to serving you
room in the life of a family. So there is a strong economical case to push close to us. Thank you.

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