The European Commission (EC) has initiated infringement proceedings against the 27 European Union (EU) member states for not adopting the national provisions of the revised Energy Performance of Buildings Directive (EPBD) by the deadline. The decision is a key milestone in the EU's zero-emission buildings programme, as well as the building energy efficiency, EU climate policy and the EU's long-term decarbonisation ambitions.

The lawsuit comes after the May 29, 2026, deadline for the transposition of the amended directive into national law was over. The Commission has issued formal notices to all member states that kick off the EU infringement procedure, none of which had put the legislation into full effect. This is considered a pillar of the European Green Deal, which seeks to decarbonise Europe's building sector by 2050 and to cut down on its energy use and reliance on energy imports from abroad, using non-ravelin fossil fuels.

The Commission starts an infringement proceeding

The European Commission has issued letters of formal notice to all EU member states after it found that the new Energy Performance of Buildings Directive had not been sufficiently implemented in national legislation. EU law calls on the member states to convert directives into national laws within a certain period for the harmonization of their implementation.

The new EPBD was formally endorsed as part of the European Union's climate policy in 2024. The law sets new standards to enhance building energy efficiency, cut GHGs emissions and incentivize scaling up the renovation of low-efficient buildings. But the Commission said none of the Member States had transposed the guidelines in full by the legal deadline of the end of May 2026.

The letters of formal notice are the first step in infringement proceedings and gives the governments 2 months to provide explanations for the delays and implementation. Failure to comply could lead to the Commission providing a reasoned opinion which could be referred to the Court of Justice of the European Union, potentially leading to financial penalties.

Building and Construction products are the newest focus for new rules targeting Zero-Emission!

With the new directive, the intention is to set high goals to achieve the transformation of the building sector, one of the biggest sectors in Europe for energy use and carbon emissions.

All new residential and non-residential structures are to be zero on-site fossil fuel emission buildings by 2030 under the law. The earlier time is for public buildings, with a target for 2028.

The guidance also outlines a timeline for phased-out fossil fuel heating and cooling. The member states shall adopt national measures to promote the progressive phasing-out of fossil fuel technologies, including a goal of phasing out fossil fuel-fuelled boilers by 2040.

The measures aim to speed up the transition to cleaner energy systems, while contributing to the European Union's goal to make the building stock fully decarbonized by 2050.

The renovation targets for existing buildings are listed below:

In addition to new construction, the new EPBD also focuses strongly on the energy efficiency of existing buildings, especially those with the lowest energy efficiency.

For residential buildings, member states shall set up national renovation pathways to achieve a 16% reduction in primary energy use by 2030 and a 20%-22% reduction by 2035. Over half of these have to be from the remediation of the lowest-performing homes.

There are also minimum energy performance standards for non-residential buildings. The directive requires governments to ensure that the 16% least efficient non-residential buildings are renovated by 2030, with the proportion increasing to 26% by 2033.

The Commission considers these to be essential for drastically cutting energy consumption, emissions and enhancing the quality and efficiency of Europe's building stock.

National Renovation Plans and Support Measures for the renovation of energy systems.

The directive also mandates member states to draw up comprehensive national building renovation plans, including measures to decarbonise buildings in upcoming decades.

These plans should involve barriers to renovation activity that are currently impeding such activity, such as access to financing, shortage of skilled workers, and need to train workers. Governments will also introduce national “renovation passport” schemes which will give building owners a clear and step-by-step pathway over time to meet the zero emission standards.

The Commission will work with regulations and provide practical support to increase renovation rates and promote long-term investments in sustainable buildings.

In what ways do you see the cases moving forward?

As for the infringement procedure, the Commission now has two months to address member states' concerns and complete the transposition of the directive.

If the Commission thinks that there has been "insufficient progress", it can formally request compliance through a reasoned opinion. Failure to comply may lead, in the long term, to a referral to the Court of Justice of the European Union, which has the power to impose a financial sanction on Member States that do not comply with their obligations under EU law.

The Commission stressed that infringement action should not be seen as a punishment, but as a tool to ensure the consistent implementation of EU law, providing governments with a chance to correct any pending legal lacuna before any other measures are taken.

Buildings continue to be central to EU climate goals.Buildings stay at the heart of the EU climate actions.

The Commission pointed to the important function of buildings in Europe's energy system in announcing the action. The EU spends the most on energy in its buildings, and the rate of refurbishment is around 1% a year, which is insufficient to reach the climate targets.

The Commission believes that the implementation of the new Energy Performance of Buildings Directive is crucial for boosting renovation rates, cutting energy costs for consumers and users of buildings, decreasing the use of imported fossil fuels and reaching EU ambition to have a fully decarbonised and zero-emission building stock by 2050.

As legal action is now being filed against all 27 member countries, the next few months will tell whether governments will speed up their action to ensure national laws are in line with one of the European Union's most important laws on climate and energy efficiency.