The European Union has committed to a net-zero economy by 2050. To get there, it must decarbonise the building stock, which accounts for 36% of EU carbon emissions. The current rate of renovation, however, is only one-third of that needed. Even the improvements that are being undertaken are delivering meagre savings of 9% to 17% primary energy. Europe therefore needs to significantly increase the rate and depth of building renovations or risk missing its climate targets.
European and national policymakers have the opportunity to lead the charge to more ambitious energy efficiency and decarbonisation strategies. Europe’s proposed strategy, the “renovation wave,” provides the perfect home for ambitious new building policies.
Minimum energy performance standards for buildings can play a pivotal role in generating the necessary momentum. This mechanism sets regulated minimum standards for either energy use in, or carbon emissions from, existing buildings. Building owners must make improvements to meet the target by a specific date or upon reaching a chosen trigger point, such as sale or renovation. By setting out a clear trajectory of improvements for individual buildings, they can support a massive increase in the renovation rate.
A regulated minimum standard alone, however, is not enough. Successful minimum energy performance standards are introduced alongside a framework that comprises funding, finance and incentives, technical and practical support, and measures to ensure the poorest are not directly or indirectly burdened. Implemented within an effective renovation framework, they can overcome the significant barriers that have hindered renovation to date.
The authors draw from successful examples around the world to share key design features for minimum energy performance standards, their supporting framework and the considerations for policymakers just getting started.
A dramatic increase in energy renovations from minimum energy performance standards would not only deliver significant economic, environmental and social benefits across Europe, it is key to the economic recovery from the COVID-19 crisis.
View the original article Louise Sunderland and Marion Santini here.
In a fast-changing political and economic environment, 2025 was a year of continued efforts to strengthen security, stability, and competitiveness for European businesses.
Throughout the year, our work demonstrated that energy efficiency is not only essential to achieving climate goals, but also a key driver of innovation, energy independence and sustainable long-term growth across Europe.
Strong engagement with policymakers, combined with the successful organisation of the 4th European Energy Efficiency Day, highlighted the importance of collaboration and dialogue in advancing shared objectives. Partnerships across sectors and institutions remained central to delivering impact and shaping effective energy policies.
Looking ahead to 2026, we will intensify our efforts to secure the regulatory certainty that can accelerate the energy transition, while providing businesses with the investment confidence they need and strengthening Europe’s competitiveness.
Read the full Activity Report here.