Parliament's proposal unlocks the private and public financing needed for greener and more energy-efficient buildings

Posted on March, 14 2023

Today the European Parliament has adopted its position on the Energy Performance of Buildings Directive (EPBD) recast. The main objective of the EPBD is to substantially reduce carbon emissions by increasing the rate of renovations of energy-inefficient buildings across the entire EU’s building stock. Today, the European Parliament has supported the introduction of Minimum Energy Performance Standards, according to which all existing residential buildings would have to reach at least energy performance class E by 2030, and D by 2033.

Positively, the European Parliament also complemented these new obligations with the introduction of unprecedented financial measures, such as Mortgage Portfolio Standards, to involve banks in the financing of these renovations.

Mathilde Nonnon, policy officer at the WWF European Policy Office commented:

"While the requirement for Member States to renovate their worst-performing buildings is a significant step in the right direction, it must be complemented with measures to support citizens in financing these renovations, with a robust combination of public and private funding at scale. It is imperative that MEPs continue to champion mandatory Mortgage Portfolio Standards for all banks and demand a Delegated Act to facilitate their implementation."

MEPs green light new tool to finance the EU Renovation Wave.