The European Commission has launched infringement action against Estonia and Hungary, alongside Italy, for not fully removing state support for stand-alone fossil fuel boilers as required by the revised Energy Performance of Buildings Directive.

Member States were required to stop all financial incentives for the installation of stand-alone fossil fuel boilers from 1 January 2025. Space heating and domestic hot water account for more than three quarters of household energy consumption in the EU, with almost two thirds still dependent on fossil fuels, primarily natural gas. According to the  directive, ending these subsidies is essential to achieve a fully decarbonised building stock by 2050.

After reviewing national measures and explanations submitted by Estonia and Hungary, the Commission concluded that neither country had fully implemented the required phase-out. Both countries now have two months to respond and remedy the situation. Failure to do so may lead to reasoned opinions and eventual referral to the European Court of Justice.

The Commission also sent a reasoned opinion to the government of Poland for failing to fully transpose into national law the provisions of the revised Renewable Energy Directive related to the simplification and acceleration of permitting procedures. The government of Poland now has also two months to respond and complete the transposition. Otherwise, the Commission can decide to refer the case to the Court of Justice of the European Union with a request to impose financial sanctions.