Housing: the EU's energy renovation targets

The European Parliament voted 370 votes for and 199 against the agreement reached at the beginning of December between Member States and MEPs on this key legislation of the "Green Deal".

This text will allow "lower energy bills, a reduction in energy poverty and fewer emissions" declared Irishman Ciarán Cuffe (Greens), rapporteur of the text, on X (ex Twitter), welcoming its adoption.

Buildings represent 40% of energy consumption in the EU and 36% of greenhouse gas emissions, with 3/4 of buildings considered "energy inefficient".

Here are the main points of the text:

Acceleration of renovations

For existing residential buildings, Member States will have to put in place measures to reduce energy consumption by at least 16% by 2030 and by at least 20 to 22% by 2035.

Another binding target: each country will have to renovate the 16% of its least efficient non-residential buildings by 2030, and 26% of the least efficient by 2033, by setting minimum energy performance requirements. Each State must establish a “national renovation plan” within two years.

The Twenty-Seven must provide “one-stop shops” for requests for advice or assistance with renovations.

“Neutral” buildings

From 2030, all new residential buildings will be carbon neutral, thanks to very moderate energy consumption and the use of carbon-free energies.

New buildings occupied or owned by public authorities must be zero-emission by 2028.

By 2030, the Twenty-Seven must include in energy performance certificates the “global warming potential” (GWP) measuring the climate footprint of a building and its materials (emissions associated with its construction)... with targets that will be hardened over time.

Solar panels, charging stations

Wherever it is “technically and economically suitable”, States must gradually deploy solar installations on public and non-residential buildings, depending on their size, and on all new residential buildings by 2030.

The text also aims to accelerate the deployment of charging stations for electric vehicles: new car parks in non-residential buildings must have one terminal for every 5 parking spaces. Large car parks will have to install them, as will new residential buildings.

Fossil fuel boilers

The text provides for the complete disappearance in the EU by 2040 of fossil fuel boilers for heating and air conditioning – an objective considered too late by environmental NGOs.

States will, however, have to stop subsidizing autonomous fossil fuel boilers from 2025. Financial incentives will remain possible for “hybrid” heating systems (combining a boiler with a solar thermal installation or a heat pump).

Protections for tenants

Financial aid provided by governments to encourage thermal renovations or conversion to clean heating systems must primarily target “vulnerable households”.

Almost 10% of the EU population (41 million people) were considered to be in energy poverty in 2022.

The Twenty-Seven are required to “protect vulnerable households and tenants by tackling disproportionate rent increases which could lead to evictions due to renovations,” Ciarán Cuffe told the press.

Activities Funding

The European Commission estimates that 275 billion euros of investments per year will be needed in the renovation of buildings by 2030, or 152 billion more than currently according to Mr. Cuffe, with costs varying depending on the region, the composition of the building stock, the cost of materials or the availability of workers.

But the application of the text should also boost activity in the construction sector, while saving on energy bills and improving air quality.

States must ensure that their “national renovation plans” are “adequately financed”, and are invited to request several European instruments (post-Covid recovery plan, Regional Development Fund, Social Climate Fund, etc.). .)

They can encourage the growth of private financing via “green mortgages”.

exemptions

States may grant exceptions to the rules for agricultural and historic buildings, buildings for military use, churches and places of worship.