Potential of retrofitting residential buildings under highly subsidized tariffs

This paper addresses the potential of retrofitting existing residential buildings in countries that provide electricity with highly subsidized tariffs, such as Kuwait, where cheap prices created unconsciousness with regard to energy conservation. A number of practical retrofitting scenarios were considered and assessed in terms of peak cooling requirements and annual energy consumption under Kuwait's summer climate. A cost benefit analysis was conducted to assess payback periods for the building owners and the Government. Significant saving of energy can be achieved as a result of retrofitting of old residential Kuwaiti buildings. Unfortunately, due to the large subsidy imposed by the government on electricity charges, there are no incentives for such retrofits to be considered by building owners. However, if the total cost of retrofitting was fully undertaken by the government, still considerable energy saving can be realized on the national level.