Making the Energy Efficiency Directive fit for 55%

Following the adoption of the Climate Law and in view of its higher climate ambition for 2030 and 2050, the European Commission proposed to revise the Energy Efficiency Directive. Energy efficiency must become the bedrock of a decarbonised energy system.

Amending the Energy Efficiency Directive (EED) is the starting point for the Union to deliver on the necessary reduction of energy demand, to define and operationalise the Energy Efficiency First principle and to set the right policy mechanisms that would address the overall efficiency of the energy supply chain. These are the necessary conditions to achieve a highly efficient and renewable-based energy system in view of the full decarbonisation of our economy.

This paper contains the recommendations of the European Alliance to Save Energy to help making the EED fit for 55% and set the longer track to achieving climate neutrality by 2050.

The recommendations touch upon:

  • Energy efficiency targets for increased ambition
  • Public sector leading by example
  • Expanding the scope to all public and private non-residential buildings
  • Public procurement
  • Align the Energy Savings Obligation with 2030 and 2050 ambition
  • Energy audits and management systems
  • Energy efficiency in Heating and Cooling
  • Demand response and efficiency in transformation and distribution networks
  • Availability of qualification, accreditation and certification schemes
  • Information and training
  • Energy services market
  • Energy efficiency national funds and other support mechanisms
  • Primary Energy Factor

Read the full paper

 

Useful links


Join us
Contact us

Follow us


© All right reserved

New EU buildings rules are crucial to deliver on climate targets

The Energy Performance of Buildings Directive (EPBD) must recognise that buildings are a crucial energy infrastructure for Europe, writes Monica Frassoni, president of the European Alliance to Save Energy. By being highly efficient, they can reduce energy demand but also manage, store, and generate renewable energy, she argues.

Through the agreement on the European Climate Law, the European Union and Member States have committed to become a net-zero economy by 2050 and, on the way, to reduce greenhouse gas emissions by at least 55% by 2030. Even if science says that the EU should go towards 65% GHG emissions reductions and the European Parliament had asked for 60%, the agreement is a step forward.

But can we deliver? Sure, but we need to be serious and unafraid to take the necessary step to abate emission in key sectors such as buildings.

I am not a number cruncher, but a couple of figures says it all. 75% of the current building stock is not efficient, and most of today’s buildings will still be in use in 30 years. Currently only 1% of the building stock undergoes energy renovations each year, so there is a tremendous gap between today’s reality and the EU’s climate ambitions.

In other words, we are lagging behind, and overcoming this problem implies making fundamental regulatory changes in EU energy legislation.

This is where the review of the Energy Performance of Buildings Directive (EPBD) comes in. The EPBD is, in the European Commission plans, one of the legislative pillars to address energy performance and emission of the EU building stock.

Frans Timmermans, Executive Vice-President for the Green Deal, said in October 2020 that “at the present rate of restructuring and refurbishing our housing, we will not achieve the (EU climate) goals, we need to double that and that is what we want to do with the Renovation Strategy”, thus putting buildings at the centre of the European Green Deal.

 

Read the full article on EURACTIV

Useful links


Join us
Contact us

Follow us


© All right reserved

Carbon pricing is no silver bullet to decarbonise buildings across Europe

The introduction of a carbon price in the building sector will only encourage fuel switching and risks burdening those least able to pay with the cost of decarbonisation. If implemented, it should be complemented with legislation to boost energy efficiency.

by Monica Frassoni, President of the European Alliance to Save Energy (EU-ASE)

At the end of 2020 European Union leaders agreed to increase the bloc’s emission-reduction target to at least 55% by 2030, confirming the EU’s commitment to becoming the first climate-neutral continent by 2050. If the EU wants to achieve this ambitious goal, it needs to increase its action to decarbonise one of its most energy-intensive and polluting sectors: buildings.

As an example, the CO2 emissions from space and water heating in residential buildings represent 12% of the total EU emissions, as much as all cars in Europe combined. This is the case because more than 75% of the energy produced for heating homes currently comes from fossil fuels. Switching from fossil to low or zero-carbon fuels has an enormous potential in terms of CO2 savings—an estimated 291 tonnes of CO2 by 2050.

In this context, the European Union is discussing the opportunity to establish a carbon price in the building sector. However, that is far from being simple.

Before implementing carbon pricing, lawmakers must carefully assess its different modalities (from a tax to market-based instruments, such as an emissions trading system) and impact on the building sector, in light of its specificities. These include the low-price elasticity of energy demand, which shows that energy prices are inelastic in both the short and long term: energy consumption will fall by less than 1% in response to a 1% increase in energy prices. Such low elasticity could only be overcome with a significantly higher CO2 price.

Moreover, carbon pricing for buildings may be ineffective due to the peculiar management or ownership structure of the sector. This generates split incentives which tend to blur the responsibilities and the related costs for fuel switch. Even if a fuel switch is achieved, a carbon price alone is expected to have a limited impact in terms of buildings’ energy efficiency gains, which are crucial for achieving decarbonisation quicker and with fewer resources through renovations—especially deep ones—of the existing building stock.

 

Read the full article on FORESIGHT Climate & Energy

Useful links


Join us
Contact us

Follow us


© All right reserved

Considerations on the draft Recovery and Resilience Plans of Italy and Spain

The National Recovery and Resilience Plans (NRRPs) are a unique opportunity to boost the economy, safeguard and/or create good jobs and win the fight against climate change in the short and long term.

According to the available drafts, both Italy and Spain, two of the biggest beneficiaries of the EU Recovery and Resilience Facility, seem to be providing some positive signals for investors, consumers and other stakeholders by allocating significant financial means to boost energy efficient building renovations. 

Still, we believe there is room for improvements with regards to the coherence of the plans with the National Energy and Climate Plans and the higher EU climate ambition for 2030. This paper contains the recommendations of the European Alliance to Save Energy (EU-ASE) on how to strengthen the energy efficiency component in both plans, as a driver for green recovery and resilience.

 

Considerations on Italy’s and Spain’s RRPs (English version)
Considerations on Italy’s RRP (Italian version)
Considerations on Spain’s RRP (Spanish version)

 

Useful links


Join us
Contact us

Follow us


© All right reserved

EU needs mandatory targets and means to save energy

The European Commission needs to bring in legally-binding energy efficiency targets to support building renovation and give member states the support they need to reach them.

by Kamila Waciega, Public Affairs Director for Energy at Veolia, and Ville Niinistö, Finnish Member of the European Parliament and coordinator for the Greens/EFA group in the Committee on Industry, Research and Energy.

In its recent communication on the European Union climate target for 2030, the EU Commission described energy efficiency legislation and policies as essential instruments contributing to the achievement of the new 2030 greenhouse gas reduction.

However, according to the accompanying impact assessment and the evaluation of National Energy and Climate Plans, the EU will surpass its current target for renewable energy by 1.7%, while it will still fail to meet its current 2030 efficiency target by 3%.

A similar result is expected for the energy efficiency target for 2020.

As the Commission is in the process of revising the Energy Efficiency Directive (EED), it is crucial to seize this opportunity to address the reasons for such an outcome of current energy efficiency policies.

One clear issue is the fact that the renewable energy target is binding at EU level, while the energy efficiency one still is not.

In the current context of dire health, economic and environmental crisis, we cannot afford this discrepancy. We need both higher and nationally binding energy efficiency targets, given all the benefits that investments in this segment can reap.

Following the position of the European Parliament, which asked for 60% emissions reduction by 2030, and taking into account the abovementioned impact assessment, the existing target for energy efficiency needs to be increased to 45% to untap the energy efficiency potential.

To ensure delivery, the EU level target should be made binding.

However, setting a better target is not enough. The most arduous element is providing means to achieve it. Those are regulatory and financial, and both can be ensured through the EED, which is currently planned for revision by June 2021.

 

Read the full article on EURACTIV

Useful links


Join us
Contact us

Follow us


© All right reserved