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Energy Performance of Buildings Directive (EPBD)
On 15th December 2021, the European Commission published its proposal for a revision of the Energy Performance of Buildings Directive (EPBD). The proposal came out as part of the European Union's Fit for 55 package, seen as critical to achieving the EU's climate objectives as the built environment accounts for 40% of the EU's energy consumption and 36% of its energy-related emissions.
The agreement between the Parliament and the Council was reached on 7 December 2024. According to final legislation, the building sector will have to reach emission reductions of at least 60% by 2030, compared to 2015, achieving climate neutrality by 2050. In this direction, it states that all new buildings should be zero-emission as of 2030; new buildings occupied or owned by public sector should be zero-emission as of 2028.
In the final revised EPBD, there is no longer an obligation to scale up the energy performance of buildings via minimum levels to be achieved by individual buildings. Instead, Member States will have to ensure a reduction in the average primary energy used in residential buildings of at least 16 % by 2030 and in a range between 20-22 % by 2035.
On minimum energy performance requirements, the final revised EPBD envisages that Member States renovate the 16 % worst performing non-residential buildings by 2030 and the worst performing 26% by 2033. The aim is to completely discontinue the use of fossil fuel boilers by 2040 and stop subsidising stand-alone fossil fuel boilers as of 2025.
What's in it for hydrogen?
Zero Emission Buildings definition: It recognises that the energy still required could be covered by carbon free sources (renewable hydrogen) with the possibility to be transported via grids tailored to local conditions, albeit as a last resort measure.
Phase out fossil fuels: Subsidies for the installation of stand-alone boilers powered by fossil fuels will not be allowed as of 1 January 2025. Member States will also have to set out specific measures for a complete phase-out of boilers powered by fossil fuels by 2040. It should still be possible to give financial incentives for the installation of hybrid heating therefore hydrogen-based heating solutions will remain eligible.
It is important to note that there is still a need to define what carbon free sources are in the context of the EPBD, as well as finding a definition for fossil fuel boilers.
Links to the original document and additional information:
Agreement of the co-legislators on the Directive of the energy performance of buildings (recast)
