Provisional agreement on Energy Performance Directive

The Council of the European Union, European Parliament and European Commission reached a provisional agreement on the Energy Performance of Buildings Directive (EPBD). The aim of the directive is to reduce greenhouse gas emissions from buildings and their energy consumption.

After the agreement reached in the trilogue, the directive will move to the official adoption procedures in the Council and Parliament. The final content and entry into force will be known when these have been completed. The key issues in the negotiations concerned the requirements for new buildings, improving energy efficiency of the existing buildings, infrastructure for sustainable mobility, and energy certificates and installation of solar energy systems. 

Finland supported the general approach adopted in October 2022. According to the preliminary information from the negotiations, the outcome is for the most part in line with Finland’s negotiation objectives. The Ministry of the Environment will conduct a more thorough assessment of the impacts. 

Finland has been active in the negotiations on the updates to the directive, and has stressed that improving the energy efficiency of the building stock will bring significant environmental and health benefits and cost benefits to the residents. It is important to make sure that there are no unreasonable costs to household and companies.

Instead of targeting energy saving obligations to individual residential buildings, monitoring would take place on the national level. Finland has stressed that mandatory renovations of individual buildings are not a sensible way to proceed; instead, buildings should be renovated in a way that is timely and cost-effective with respect to their life cycle. 

Based on information from the negotiations, the average primary energy use of residential buildings should be reduced by 16% by 2030 and 20–22% by 2035. Member States would be free to choose which buildings to target and which measures to take. Member States should ensure that at least 55% of the decrease of the primary energy use will be achieved through the renovation of the worst-performing buildings. Member States would have the possibility to exempt certain categories of residential and non-residential buildings from these obligations, including agricultural buildings or cultural and historical sites. Non-residential buildings should meet certain energy performance standards by 2030 and 2033. Energy Performance Certificates would not be required for holiday homes.

According to the provisional agreement, there would be strengthened requirements on the number of recharging points in both residential and non-residential buildings. Pre-cabling would become the norm for new and renovated buildings, thus facilitating access to recharging infrastructure. All new residential and non-residential buildings should have zero on-site emissions from fossil fuels as of 1 January 2028. Solar electricity systems should be gradually installed starting from 2027 where this is technically, economically and functionally feasible. Member States would also have to increase measures with the aim to completely phase-out of fossil fuels in heating and cooling by 2040. 

The directive is part of the EU’s ‘Fit for 55’ package, i.e. the aim to reduce greenhouse gas emissions in the EU by 55% by 2030, compared to the 1990 level. Buildings have a highly important role in climate work as they account for 40% of the energy consumption and generate 36% of the greenhouse gas emissions in the EU. 

• Press release of the Council of the EU of 7 December 2023: ‘Fit for 55’: Council and Parliament reach deal on proposal to revise energy performance of buildings directive
• Press release of the European Commission of 7 December 2023: Commission welcomes political agreement on new rules to boost energy performance of buildings across the EU
• Press release of the European Parliament of 1 December 2023: Energy efficiency of buildings: MEPs strike deal with Council

Inquiries

Sari Rapinoja
Senior Ministerial Adviser, Legal Affairs 
tel. +358 295 250 320 
[email protected]