The 2012 Energy Efficiency Directive (EED) (2012/27/EU) is the EU’s flagship legislation to achieve the 2020 energy efficiency target and prepare the ground for energy efficiency improvements beyond 2020. It sets a framework for EU and national energy efficiency policies and measures. Article 7 is the cornerstone article of the Directive and obliges Member States to deliver new end-use energy savings every year equivalent to 1.5% of average annual sales to final customers. Member States can achieve that by putting in place various measures, allowing flexibility for national differences. Energy Efficiency Obligation schemes are encouraged amongst other possible “alternative measures” including energy efficiency funds, energy taxes, financing schemes, fiscal incentives, and training or education programs.



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