A preliminary agreement was reached in the EU's tripartite negotiations on the content of the reform of the energy efficiency directive in buildings before the turn of the year. The goal of the directive is to reduce the energy consumption and greenhouse gas emissions of buildings in EU member states. What makes the reform significant is that buildings alone cause more than a third of the EU's greenhouse gas emissions. So the potential is huge.
The revised directive sets even more ambitious energy efficiency requirements for new and renovated buildings in the EU. At the same time, it encourages member states to rehabilitate their building stock. The main goal of the reform is that by 2030 all new buildings will be emission-free and by 2050 the existing building stock will be converted to emission-free.
It is not intended to impose energy saving obligations on individual residential buildings, but monitoring is done at the level of the entire country. In the negotiations, Finland has emphasized that forced renovations of individual buildings are not a reasonable way to proceed, but that buildings must be repaired in a timely and cost-effective manner in accordance with their life cycle.
What is the significance of the reform in the HVAC industry? The core message is already clear – many new requirements that enable the growth of renovation construction that improves energy efficiency in particular. Requirements may concern, for example, building technology, renewal of the heating system and automation from the point of view of energy use. Building technology will act as a key factor in implementing reforms in the Finnish building stock.
The second question is related to whether the regulatory-based increases in requirements give a boost to renovation construction too slowly. The cyclical situation in construction has sunk worse than memory can bear and there is no light reflection on the horizon. Building technology follows construction post-cyclically, and the most challenging situation is still ahead. The Ministry of the Environment did support the continuation of support for energy renovations during the fall budget rush, but it happened. The poor construction situation was already known to everyone at that time.
The energy efficiency maintenance measures required by buildings cannot be left exposed to prevailing economic cycles or the entry into force of regulations. Long periods of frost in the winter have increased residents' interest in monitoring energy consumption and its price level. A simple and feasible way for the government to motivate citizens to take care of the energy efficiency of their buildings is to create incentives for this kind of activity.
The incentive models already exist and now we need political will to implement them. The return of the energy subsidy and the extension of the household deduction are effective tools. Taking care of energy efficiency is one of the best ways to take care of our national assets.
In connection with our numerous meetings, we have provided political decision-makers with structured information about the importance of background support for renovation construction in increasing energy efficiency and reversing the weak economic situation. We will continue this active influencing work this year as well.
Have a successful start to 2024!
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