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Default Insulation Question

I plan on removing the paneling, insulating and replacing the
paneling.. I have hot water baseboard heating. The pipe feeding the
radiator is embedded in the cement floor. Moving the wall out requires
moving the radiator. I am trying to avoid this for two reasons. One,
the previous owner banged the radiator, so the pipe is no longer round
where the joints are. Might pose a problem when relocating the
radiator. Two, if I build the wall out, the pipe feeding the radiator
will be inside the wall depending on how far I build the wall out.
Also, the wall is 4 feet high with a shelf. Building the wall out
requires replacing the shelf with a larger shelf. I am trying to avoid
the extra work.