(30) 'smart metering system' or 'intelligent metering system' means 'smart metering system' as defined in Directive (EU) 2019/944;

(31) 'transmission system operator' means 'transmission system operator' as defined in Article 2(35) of Directive (EU) 2019/944 and Directive 2009/73/EC, for electricity and gas, respectively;

Cogeneration Definitions

(32) 'cogeneration' means the simultaneous generation in one process of thermal energy and electrical or mechanical energy;

(33) 'economically justifiable demand' means demand that does not exceed the needs for heating or cooling and which would otherwise be satisfied at market conditions by energy generation processes other than cogeneration;

(34) 'useful heat' means heat produced in a cogeneration process to satisfy economically justifiable demand for heating or cooling;

(35) 'electricity from cogeneration' means electricity generated in a process linked to the production of useful heat and calculated in accordance with the methodology laid down in Annex II;

(36) 'high-efficiency cogeneration' means cogeneration meeting the criteria laid down in Annex III;

(37) 'overall efficiency' means the annual sum of electricity and mechanical energy production and useful heat output divided by the fuel input used for heat produced in a cogeneration process and gross electricity and mechanical energy production;

(38) 'power-to-heat ratio' means the ratio of electricity from cogeneration to useful heat when operating in full cogeneration mode using operational data of the specific unit;

(39) 'cogeneration unit' means a unit that is able to operate in cogeneration mode;

(40) 'small-scale cogeneration unit' means a cogeneration unit with installed capacity below 1 MWe;

(41) 'micro-cogeneration unit' means a cogeneration unit with a maximum capacity below 50 kWe;

(42) 'efficient district heating and cooling' means a district heating or cooling system meeting the criteria laid down in Article 24;

(43) 'efficient heating and cooling' means a heating and cooling option that, compared to a

baseline scenario reflecting a business-as-usual situation, measurably reduces the input of

primary energy needed to supply one unit of delivered energy within a relevant system

boundary in a cost-effective way, as assessed in the cost-benefit analysis referred to in this

Directive, taking into account the energy required for extraction, conversion, transport and

distribution;


(44) 'efficient individual heating and cooling' means an individual heating and cooling supply

option that, compared to efficient district heating and cooling, measurably reduces the

input of non-renewable primary energy needed to supply one unit of delivered energy

within a relevant system boundary or requires the same input of non-renewable primary

energy but at a lower cost, taking into account the energy required for extraction,

conversion, transport and distribution;


(45) 'data centre' means data centre as defined in Annex A, point 2.6.3.1.16 of Commission

Regulation (EC) No 1099/2008 of the European Parliament and of the Council of 22

October 2008 on energy statistics;


(46) 'substantial refurbishment' means a refurbishment whose cost exceeds 50% of the investment cost for a new comparable unit;

(47) 'aggregator' has the meaning attributed to 'independent aggregator' as defined by Article 2(19) of Directive (EU) 2019/944;

(48) 'energy poverty' means a household's lack of access to essential energy services that

provide basic levels and decent standards of living and health, including adequate heating,

hot water, cooling, lighting, and energy to power appliances, in the relevant national

context, existing social policy and other relevant policies, caused by a combination of

factors, including but not limited to non-affordability, insufficient disposable income,

high energy expenditure and poor energy efficiency of homes;


(49) 'final user' means natural or legal person purchasing heating, cooling or domestic hot

water for their own end-use, or natural or legal person occupying an individual building or

a unit in a multi-apartment or multi-purpose building supplied with heating, cooling or

domestic hot water from a central source who has no direct or individual contract with the

energy supplier;


(50) 'split incentives' means the lack of fair and reasonable distribution of financial obligations

and rewards related to energy efficiency investments among the actors concerned, for

example the owners and tenants or the different owners of building units, or owners and

tenants or different owners of multi-apartment or multi-purpose buildings;


(50a) 'engagement strategy' means a strategy that sets objectives, develops techniques and

establishes the process by which to involve all relevant stakeholders at national and local

level, including civil society representatives such as consumer organisations, in the

policy-making process, with the goal of increasing awareness, obtaining feedback on

such policies and improving their public acceptance;


Article 3 Energy efficiency first principle

  1. In conformity with the energy efficiency first principle, Member States shall ensure that energy efficiency solutions, including demand-side resources and system flexibilities, are assessed in the planning, policy, and major investment decisions of a value of more than €100 million each or €175 million for transport infrastructure projects, related to the following sectors:

    (a) energy systems, and

    (b) non-energy sectors, where those sectors have an impact on energy consumption and energy efficiency, such as buildings, transport, water, information and communications technology (ICT), agriculture, and financial sectors

1a. At the latest two years after the deadline for the transposition of this Directive, the

Commission shall carry out an assessment of the thresholds set in this paragraph with

the aim of downward revision, taking into account possible developments in the economy

and in the energy market. The Commission shall, within a year, submit a report to the

European Parliament and to the Council, followed, if appropriate, by a legislative

proposal.


1b. In applying this Article, Member States are encouraged to take into account the Commission Recommendation (EU) 2021/1749.

  1. Member States shall ensure that the relevant authorities monitor the application of the

    energy efficiency first principle, including, where appropriate, sector integration and

    cross-sectoral impacts, where policy, planning and investment decisions are subject to

    approval and monitoring requirements.

  2. In applying the energy efficiency first principle, Member States shall:

(a) promote and, where cost-benefit assessments are required, ensure the application and

make publicly available cost-benefit methodologies that allow proper assessment of

the wider benefits of energy efficiency solutions where appropriate, taking into

account the entire life cycle and long-term perspective, system and cost efficiency,

security of supply and quantification from the societal, health, economic and

climate neutrality perspective, sustainability and circular economy principles in

transition to climate neutrality;


(aa) address the impact on energy poverty;

(b) identify an entity or entities responsible for monitoring the application of the energy

efficiency first principle and the impacts of regulatory frameworks, including

financial regulations, planning, policy and major investment decisions on energy

consumption and energy efficiency and energy systems;


(c) report to the Commission, as part of the integrated national energy and climate progress reports in accordance with Article 17 of Regulation (EU) 2018/1999, on how the energy efficiency first principle was taken into account in the national and, where applicable, regional and local planning, policy and major investment decisions related to the national and regional energy systems including, but not limited to, the following:

(i) an assessment of the application and benefits of the energy efficiency first principle in energy systems, in particular in relation to energy consumption;

(ii) a list of actions taken to remove any unnecessary regulatory or non-regulatory barriers to the implementation of the energy efficiency first principle and of demand-side solutions, including through the identification of national legislation and measures that are contrary to the energy efficiency first principle;

3a. By ... [6 months after the date of entry into force of this Directive], the Commission shall adopt guidelines providing a common general framework including supervision, the monitoring and reporting procedure that Member States may use to design the cost-benefit methodologies referred to in paragraph 3, point (a), in order to ensure comparability while leaving the possibility for Member States to adapt to national and local circumstances.

Article 4 Energy efficiency targets

  1. Member States shall collectively ensure a reduction of energy consumption of at least 11.7% in 2030 compared to the projections of the 2020 Reference Scenario so that the Union's final energy consumption amounts to no more than 763 Mtoe. Member States shall make efforts to collectively contribute to the indicative Union's primary energy consumption target amounting to no more than 992.5 Mtoe in 2030.

  2. Each Member State shall set an indicative national energy efficiency contribution based on final energy consumption to meet, collectively, the binding Union's final energy consumption target set in paragraph 1 and shall take efforts to contribute collectively to the indicative Union primary energy consumption target set in paragraph 1. Member States shall notify those contributions together with an indicative trajectory for those contributions to the Commission as part of the updates of their integrated national energy and climate plans in accordance with Article 14 of Regulation (EU) 2018/1999, and as part of their integrated national energy and climate plans as referred to in, and in accordance with, the procedure set out in Article 3 and Articles 7 to 12 of Regulation (EU) 2018/1999. When doing so, Member States shall also express their contributions in terms of an absolute level of primary energy consumption in 2030. When setting their indicative national energy efficiency contributions, Member States shall take into account the requirements set out in paragraph 3 and explain how, and on the basis of which data, the contributions have been calculated. For this purpose, they may use the formula defined in Annex I.

  3. In setting those contributions ▌ , Member States shall take into account:

    (a) that the Union’s 2030 ▌ energy consumption has to be no more than 763 Mtoe of

    final energy and should be no more than 992,5 Mtoe of primary energy

    consumption;

    (b) the measures provided for in this Directive;

    (c) other measures to promote energy efficiency within Member States and at Union

    level;

    (d) any relevant factors affecting efficiency efforts ▌ :

    (i) early efforts and actions in energy efficiency;

    (ii) the equitable distribution of efforts across the Union;

    (iii) the energy intensity of the economy;

    (iv) the remaining cost-effective energy-saving potential;

    (e) other national circumstances affecting energy consumption, in particular:

    (i) GDP and demographic evolution and forecast;

    (ii) changes of energy imports and export ▌ , developments in energy mix and

    deployment of new sustainable fuels ▌ ;

    (iii) development of all sources of renewable energies, nuclear energy, carbon

    capture and storage;

    7446/23 PZ/ns 72

    ANNEX TREE.2.B LIMITE EN

    (iv) decarbonisation of energy intensive industries;

    (v) the level of ambition in the national decarbonisation/climate neutrality

    plans;

    (vi) economic energy savings potential;

    (vii) current climate conditions and climate change forecast.

  4. When applying the requirements set out in paragraph 3, a Member State shall ensure

    that its contribution in Mtoe is not more than 2,5 percent above of what it would have

    been if resulted from the formula defined in Annex I.

  5. The Commission shall assess that the collective contribution of Member States is at least

    equal to the binding Union’s target for final energy consumption set in paragraph 1.

    Where the Commission concludes that it is insufficient, as part of the assessment of the

    draft updated national energy and climate plans pursuant to Article 9(2) of the

    Governance Regulation (EU) 2018/1999, or at the latest by 1 March 2024 also taking

    into consideration the updated reference scenario 2020 pursuant to this paragraph, the

    Commission shall address to each Member State a corrected indicative national energy

    efficiency contribution for final energy consumption based on:

    (a) the remaining collective reduction of final energy consumption needed to

    achieve the binding Union target set in paragraph 1;

    (b) the relative GHG intensity per GDP unit in 2019 among those Member States

    concerned by the address of the Commission;

    (c) the GDP of those Member States in 2019.

    Before applying the formula in Annex I for the mechanism set up in this paragraph, and

    at the latest by 30 November 2023

    the Commission shall update the reference scenario 2020 based on the latest Eurostat

    data reported by the Member States according to Articles 4(2b) and 14 of Regulation

    (EU) 2018/1999.

    7446/23 PZ/ns 73

    ANNEX TREE.2.B LIMITE EN

    Notwithstanding Article 35, Member States that wish to update their indicative national

    energy efficiency contribution, as set out in paragraph 2, using the updated reference

    scenario 2020, shall notify their updated indicative national energy efficiency

    contribution at the latest by 1 February 2024. In this case, each Member State shall

    ensure that its contribution in Mtoe is not more than 2,5 percent above what it would

    have been if resulted from the formula defined in Annex I with the use of the updated

    reference scenario 2020.

    Those Member States who received a corrected indicative national energy efficiency

    contribution by the Commission shall update their notification as set out in paragraph 2,

    with these new corrected indicative national energy efficiency contribution for final

    energy consumption together with an update of their indicative trajectory for those

    contribution and, where applicable, their additional measures, as part of their final

    integrated national energy and climate plans pursuant to Article 14(2) of Regulation

    (EU) 2018/1999. The Commission shall, in accordance with the Governance Regulation,

    require, without delay, Member States to submit their corrected indicative energy

    efficiency contribution and, where applicable, their additional measures to ensure the

    application of the mechanism of this paragraph.

When a Member State has notified an indicative national contribution for final energy

consumption in Mtoe equal or below what it would have been using the formula in

Annex I, the Commission shall not revise this aforementioned contribution.

When applying the mechanism set out in this paragraph, the Commission shall ensure

that there is no difference left between the sum of the national contributions of all

Member States and the binding Union target set in paragraph 1.

6. Where the Commission concludes, on the basis of its assessment pursuant to Article 29(1)

and (3) of Regulation (EU) 2018/1999, that insufficient progress has been made towards

meeting the energy efficiency contributions, Member States that are above their indicative

trajectories for final energy consumption referred to in paragraph 2 of this Article shall

ensure that additional measures are implemented within one year following the date of

reception of the Commission's assessment in order to ensure getting back on track to reach

their energy efficiency contributions. Those additional measures shall include, but shall not

be limited to at least one of the following measures:

a. national measures delivering additional energy savings, including stronger project

development assistance for the implementation of energy efficiency investment

measures;

b. increasing the energy savings obligation set out in Article 8;

c. adjusting the obligation for public sector;

d. making a voluntary financial contribution to the National Energy Efficiency Fund

referred to in Article 28 or another financing instrument dedicated to energy

efficiency, where the annual financial contributions shall be equal to the investments

required to reach the indicative trajectory.

Where a Member State is above its indicative trajectory for final energy consumption

referred to in paragraph 2 of this Article, it shall include in its integrated national energy and

climate progress report pursuant to Article 17 of Regulation (EU) 2018/1999, an explanation

of the measures it will take to cover the gap to ensure reaching its national energy efficiency

contributions and the amount of energy savings expected to be delivered.

The Commission shall assess whether the national measures referred to in this paragraph are

sufficient to achieve the Union's energy efficiency targets. Where national measures are

deemed to be insufficient, the Commission shall, as appropriate, propose measures and

exercise its power at Union level in order to ensure, in particular, the achievement of the

Union's 2030 targets for energy efficiency.

7. The Commission shall assess by 31 December 2026 any methodological changes in the

data reported pursuant to Regulation (EC) No 1099/2008 on energy statistics, in the

methodology for calculating energy balance and in energy models for European energy use

and, if necessary, propose technical calculation adjustments to the Union’s 2030 targets

with a view to maintaining the level of ambition set out in paragraph 1 of this Article.


CHAPTER II

EXEMPLARY ROLE OF PUBLIC SECTOR

Article 5

Public sector leading on energy efficiency


  1. Member States shall ensure that the total final energy consumption of all public bodies

    combined is reduced by at least 1.9% each year, when compared to the year X-2 (with X as

    the year when this Directive enters into force).

Member States may choose to exclude public transport or armed forces from the obligation under the first subparagraph.

For the purposes of the first and second subparagraphs, Member States shall establish a

baseline, which includes the final energy consumption of all public bodies, except for

public transport or armed forces, for year X-2. Energy consumption reduction of public

transport and armed forces is indicative and may still count for fulfilling the obligation

under the first subparagraph even if excluded from the baseline under this Article.


1a. In a transitional period of two years after the transposition date of this Article, the target

set out in paragraph 1 will be indicative. During the transitional period, Member States

may use estimated consumption data, and two years after the transposition date of this

Article, Member States shall adjust the baseline and align the estimated final energy

consumption of all public bodies with the actual final energy consumption of all public

bodies.


1b. The obligation provided for in paragraph 1 shall not include, until 31 December 2026, the energy consumption of public bodies in local administrative units with fewer than 50,000 inhabitants and, until 31 December 2029, the energy consumption of public bodies in local administrative units with fewer than 5,000 inhabitants.

1c. Member States may take into account climatic variations within the Member State when calculating their public bodies' final energy consumption.

  1. Member States shall include, in their national energy and climate plans and updates thereof

    pursuant to Regulation (EU) 2018/1999, the amount of energy consumption reduction to

    be achieved by all public bodies per sector and the measures they plan to achieve it. As

    part of their integrated national energy and climate reports pursuant to Article 17 of

    Regulation (EU) 2018/1999, Member States shall report to the Commission the final

    energy consumption reduction achieved annually.

  2. Member States shall ensure that regional and local authorities establish specific energy

    efficiency measures in their long-term planning tools, such as decarbonisation or

    sustainable energy plans, after consulting relevant stakeholders, including where

    appropriate energy agencies, and the public, including in particular vulnerable groups at

    risk of energy poverty or more susceptible to its effects.

Member States shall also ensure that the relevant authorities take actions to mitigate

significant negative direct or indirect impacts of energy efficiency measures on energy

poor, low-income households or vulnerable groups when designing and implementing

energy efficiency measures.


  1. Member States shall support public bodies, which—without prejudice to State Aid rules—may include financial and technical support, in the uptake of energy efficiency improvement measures and encourage them to take into account the wider benefits beyond energy savings, for example, the quality of indoor environment, including at regional and local levels, by providing guidelines, promoting competence building, skills acquisition and training opportunities, and encouraging cooperation amongst public bodies.

  2. Member States shall encourage public bodies to consider life-cycle carbon emissions as well as economic and social benefits of their public bodies' investment and policy activities.5a. Member States shall encourage public bodies to improve the energy performance of buildings owned or occupied by public bodies, including via the replacement of old and inefficient heaters.

Article 6 Exemplary role of public bodies’ buildings

  1. Without prejudice to Article 7 of Directive 2010/31/EU 55, each Member State shall ensure that at least 3% of the total floor area of heated and/or cooled buildings owned by public bodies is renovated each year to be transformed into at least nearly zero-energy buildings or zero-emission buildings in accordance with Article 9 of Directive 2010/31/EU.

Member States can choose which buildings to include in the 3% renovation requirement, with due consideration of cost-effectiveness and technical feasibility in the choice of buildings to renovate.

Member States may exempt social housing from the obligation to renovate referred to in the first subparagraph where such renovations would not be cost-neutral or would lead to rent increases for people living in social housing that cannot be limited to the equivalent of the economic savings on the energy bill.

Where public bodies occupy a building that they do not own, they shall negotiate with the

owner, in particular when reaching a trigger point such as renewal of rental, change of

use, significant repair or maintenance work, with the aim of establishing contractual

clauses for the building to become a nearly zero-energy building.


The rate of at least 3% shall be calculated on the total floor area of buildings having a

total useful floor area over 250 m² owned by public bodies and which, on 1 January

2024, are not nearly zero-energy buildings.


1a. Member States may apply less stringent requirements than those set out in paragraph 1 for the following categories of buildings:

(a) buildings officially protected as part of a designated environment, or because of

their special architectural or historical merit, insofar as compliance with certain

minimum energy performance requirements would alter their character or

appearance unacceptably;


(b) buildings owned by the armed forces or central government and serving national

defence purposes, apart from single living quarters or office buildings for the

armed forces and other staff employed by national defence authorities;


(c) buildings used as places of worship and for religious activities.

For any building not included in points (a) to (c), Member States may decide not to renovate it up to the level provided in paragraph 1 if they assess that it is not technically, economically or functionally feasible for this building to be transformed into a near-zero energy building. When doing so, Member States cannot count the renovation of this building towards the fulfillment of the requirement set out in paragraph 1.

1b. In order to front-load energy savings and to provide an incentive for early action, a Member State that renovates more than 3% of the total floor area of its buildings in accordance with paragraph 1 in any year until 31 December 2026 may count the surplus towards the annual renovation rate of any of the following three years. A Member State that renovates more than 3% of the total floor area of its buildings from 1 January 2027 may count the surplus towards the annual renovation rate of the following two years.

  1. Member States may count towards the annual renovation rate of buildings new buildings owned as replacements for specific public bodies' buildings demolished in any of the two previous years. This shall only apply where they would be more cost-effective and sustainable in terms of the energy and lifecycle CO₂ emissions achieved compared to the renovations of such buildings. The general criteria, methodologies and procedures to identify such exceptional cases shall be clearly set out and published by each Member State.

  2. For the purposes of this Article, Member States shall make publicly available and accessible an inventory of heated and/or cooled buildings that are owned or occupied by public bodies with a total useful floor area of more than 250 m². This inventory shall be set up by the transposition deadline as set out in Article 35(1), and shall be updated at least every two years. It shall be linked to the building stock overview done in the framework of the national building renovation plans in accordance with Article 3 [recast EPBD – 2021/0426 (COD)] and the databases set up pursuant to Article [19] of that Directive [recast EPBD - 2021/0426 (COD)].

Available and publicly shared data about building stock characteristics, buildings renovation and energy performance may be aggregated by the EU Building Stock Observatory to ensure a better understanding of the energy performance of the building sector through comparable data.

The inventory shall contain at least the following data:

  • The floor area in m²

  • The measured annual energy consumption of heat, cooling, electricity and hot water when those data are available

  • The energy performance certificate of each building issued in accordance with Article 16 of Directive ... [recast EPBD - 2021/0426 (COD)]

Member States may opt for an alternative approach to paragraphs 1 to 2 of this Article that shall achieve every year an amount of energy savings in public bodies' buildings that is at least equivalent to that required in paragraph 1.

When implementing the alternative approach, Member States shall ensure that each year a renovation passport in accordance with [Article 10]56 of Directive 2010/31/EU is introduced for buildings representing at least 3% of the total floor area of heated and/or cooled buildings owned by public bodies. For these buildings, the renovation to nearly zero-energy building shall be achieved at the latest by 2040.

For the purpose of the alternative approach, Member States shall estimate the energy savings that paragraphs 1 to 4 would generate by using appropriate standard values for the energy consumption of reference public bodies' buildings before and after renovation to be transformed into near-zero energy buildings in accordance with [Article 9]57 of Directive 2010/31/EU.

Member States opting for the alternative approach shall notify to the Commission, by 31

December 2023, their projected energy savings to achieve the equivalent of energy

savings in the buildings covered by paragraph 1 by 2030.


Article 7 Public procurement

  1. Member States shall ensure that contracting authorities and contracting entities, when concluding public contracts and concessions with a value equal to or greater than the thresholds laid down in Article 8 of Directive 2014/23/EU, Article 4 of Directive 2014/24/EU and Article 15 of Directive 2014/25/EU, purchase only products, services, buildings and works with high energy-efficiency performance in accordance with the requirements referred to in Annex IV to this Directive, unless it is not technically feasible.Member States shall also ensure that in concluding the public contracts and concessions with a value equal to or greater than the thresholds referred to in the first subparagraph, contracting authorities and contracting entities apply the energy efficiency first principle referred to in Article 3 of this Directive, including for those public contracts and concessions for which no specific requirements are provided in Annex IV.

  2. The obligation referred to in paragraph 1 shall not apply if it undermines public security or impedes the response to public health emergencies. The obligation referred to in paragraph 1 shall apply to the contracts of the armed forces only to the extent that its application does not cause any conflict with the nature and primary aim of the activities of the armed forces. The obligation shall not apply to contracts for the supply of military equipment as defined by Directive 2009/81/EC of the European Parliament and of the Council.


Notwithstanding paragraph 4 of Article 27 of this Directive, ▌ Member States shall ensure

that contracting authorities and contracting entities assess the feasibility ▌ of concluding

long-term energy performance contracts that provide long-term energy savings when

procuring service contracts with significant energy content.

4. Without prejudice to paragraph 1, when purchasing a product package fully covered by a

delegated act adopted under Regulation (EU) 2017/1369 of the European Parliament and of

the Council3

, Member States may require that the aggregate energy efficiency take priority

over the energy efficiency of individual products within that package, by purchasing the

product package that complies with the criterion of belonging to the highest available

energy efficiency class.

5. Member States may require that contracting authorities and contracting entities, when

concluding contracts as referred to in paragraph 1, take into account, where appropriate,

wider sustainability, social, environmental and circular economy aspects in procurement

practices with a view to achieving the Union’s decarbonisation and zero pollution

objectives. Where appropriate, and in accordance with the requirements laid down in

Annex IV, Member States shall require contracting authorities and contracting entities to

take into account Union green public procurement criteria or available equivalent national

criteria. ▌


3 Regulation (EU) 2017/1369 of the European Parliament and of the Council of 4 July 2017

setting a framework for energy labelling and repealing Directive 2010/30/EU (OJ L 198,

28.7.2017, p. 1).

7446/23 PZ/ns 84

ANNEX TREE.2.B LIMITE EN

To ensure transparency in the application of energy efficiency requirements in the

procurement process, Member States shall make publicly available information on the

energy efficiency impact of contracts with a value equal to or greater than the thresholds

referred to in paragraph 1, by publishing this information in the respective notices on

Tenders Electronic Daily (TED), in accordance with Directives 2014/24/EU,

2014/25/EU, 2014/23/EU and implementing Regulation (EU) 2019/1780. Contracting

authorities may decide to require that tenderers disclose information on the life cycle

global warming potential, the use of low carbon materials and the circularity of materials

used of a new building and a building to be renovated. Contracting authorities may make

that information publicly available for the contracts, in particular for new buildings having

a floor area larger than 2000 square meters.

Member States shall support contracting authorities and contracting entities in the uptake

of energy efficiency requirements, including at regional and local level, by providing clear

rules and guidelines including methodologies on the assessment of lifecycle costs and

environment impacts and costs, setting up competence support centres, encouraging

cooperation amongst contracting authorities including across borders and using aggregated

procurement and digital procurement where possible.

5a. Where appropriate, the Commission may provide further guidance to national

authorities and procurement officials in the application of energy efficiency

requirements in the procurement process. Such support may strengthen existing

supporting fora (e.g. concerted action) for Member States and assist them in taking the

green public procurement criteria into account.

6. Member States shall establish legal and regulatory provisions, and administrative practices,

regarding public purchasing and annual budgeting and accounting, necessary to ensure that

individual contracting authorities are not deterred from making investments in improving

energy efficiency and from using energy performance contracting and third-party financing

mechanisms on a long-term contractual basis.

7446/23 PZ/ns 85

ANNEX TREE.2.B LIMITE EN

7. Member States shall remove any regulatory or non-regulatory barriers to energy efficiency,

in particular as regards legal and regulatory provisions, and administrative practices,

regarding public purchasing and annual budgeting and accounting, with a view to ensuring

that individual public bodies are not deterred from making investments in improving

energy efficiency and from using energy performance contracting and third-party financing

mechanisms on a long-term contractual basis.

Member States shall report to the Commission on the measures taken to address the

barriers to uptake of energy efficiency improvements as part of the integrated national

energy and climate progress reports pursuant to Article 17 of Regulation (EU) 2018/1999.


CHAPTER III

EFFICIENCY IN ENERGY USE

Article 8

Energy Savings Obligation


  1. Member States shall achieve cumulative end-use energy savings at least equivalent to:

    (a) new savings each year from 1 January 2014 to 31 December 2020 of 1.5% of annual

    energy sales to final customers by volume, averaged over the most recent three-year

    period prior to 1 January 2013. Sales of energy, by volume, used in transport may be

    excluded, in whole or in part, from that calculation;

    (b) new savings each year from 1 January 2021 to 31 December 2030 of:

    (b)(i) 0.8% of annual final energy consumption from 1 January 2021 to 31

    December 2023, averaged over the most recent three-year period prior to 1

    January 2019. By way of derogation from that requirement, Cyprus and

    Malta shall achieve new savings each year from 1 January 2021 to 31

    December 2023 equivalent to 0.24% of annual final energy consumption,

    averaged over the most recent three-year period prior to 1 January 2019;

    (b)(ii) 1.3% of annual final energy consumption from 1 January 2024 to 31 December

    2025, averaged over the most recent three-year period prior to 1 January 2019;

    (b)(iii) 1.5% of annual final energy consumption from 1 January 2026 to 31 December

    2027, averaged over the most recent three-year period prior to 1 January 2019;

    (b)(iv) 1.9% of annual final energy consumption from 1 January 2028 to 31

    December 2030, averaged over the most recent three-year period prior to 1

    January 2019.

    By way of derogation from the requirements set out in points (b)(ii–iv) of the first

    subparagraph, Cyprus and Malta shall achieve new savings each year from 1

    January 2024 to 31 December 2030 equivalent to 0.45% of annual final energy

    consumption, averaged over the most recent three-year period prior to 1 January 2019.

Member States shall decide how to phase the calculated quantity of new savings over each

period referred to in points (a) and (b) of the first subparagraph, provided that the required

total cumulative end-use energy savings have been achieved by the end of each obligation

period.

Member States shall continue to achieve new annual savings in accordance with the

savings rate provided in point (b)(iv) of the first subparagraph for ten-year periods after

2030.

2. Member States shall achieve the amount of energy savings required under paragraph 1 of

this Article either by establishing an energy efficiency obligation scheme referred to in

Article 9 or by adopting alternative policy measures referred to in Article 10. Member

States may combine an energy efficiency obligation scheme with alternative policy

measures. Member States shall ensure that energy savings resulting from policy measures

referred to in Articles 9 and 10 and Article 28(11) are calculated in accordance with Annex

V.


  1. Member States shall implement energy efficiency obligation schemes, alternative policy measures, or a combination of both, or programmes or measures financed under an Energy Efficiency National Fund, as a priority among, but not limited to, people affected by energy poverty, vulnerable customers, low-income households and, where applicable, people living in social housing. Member States shall ensure that policy measures implemented pursuant to this Article have no adverse effect on those persons. Where applicable, Member States shall make the best possible use of funding, including public funding, funding facilities established at Union level, and revenues from allowances pursuant to Article 22(3)(b) with the aim of removing adverse effects and ensuring a just and inclusive energy transition.For achieving the energy savings required under paragraph 1 and without prejudice to Directive (EU) 2019/944 on common rules for the internal market for electricity and Regulation (EU) 2019/943 on the internal market for electricity in designing such policy measures, Member States shall consider and promote the role of renewable energy communities and citizen energy communities in contributing to the implementation of these policy measures.Member States shall establish and achieve a share of the required amount of cumulative end-use energy savings among people affected by energy poverty, vulnerable customers, low-income households and, where applicable, people living in social housing. This share shall at least equal the proportion of households in energy poverty as assessed in their National Energy and Climate Plan established in accordance with Article 3(3)(d) of the Governance Regulation 2018/1999. Member States shall, in their assessment of the share of energy poverty in their National Energy and Climate Plans, consider the indicators referred to in points (a) to (bb) of this subparagraph. If a Member State has not notified the share of households in energy poverty as assessed in their National Energy and Climate Plan, the share of the required amount of cumulative end-use energy savings among people affected by energy poverty, vulnerable customers, low-income households and, where applicable, people living in social housing, shall at least equal the arithmetic average share of the following indicators for the year 2019 or, if not available for 2019, for the linear extrapolation of their values for the last three years that are available:

a) Inability to keep home adequately warm (Eurostat, SILC [ilc_mdes01]);

b) Arrears on utility bills (Eurostat, SILC, [ilc_mdes07]); and

(ba) Total population living in a dwelling with a leaking roof, damp walls, floors or

foundation, or rot in window frames or floor (Eurostat, SILC [ilc_mdho01]);

(bb) At-risk-of-poverty rate (Eurostat, SILC and ECHP surveys [ilc_li02]) (cutoff point:

60% of median equivalised income after social transfers).


  1. Member States shall include information about the indicators applied, the arithmetic

    average share and the outcome of policy measures established in accordance with

    paragraph 3 of this Article in the updates of their integrated national energy and climate

    plans in accordance with Article 14 of Regulation (EU) 2018/1999, in their subsequent

    integrated national energy and climate plans pursuant to Articles 3 and 7 to 12 of

    Regulation (EU) 2018/1999, and respective progress reports in accordance with Article 17

    of that Regulation.

  2. Member States may count energy savings that stem from policy measures, whether

    introduced by 31 December 2020 or after that date, provided that those measures result in

    new individual actions that are carried out after 31 December 2020. Energy savings

    achieved in any obligation period shall not count towards the amount of required energy

    savings for the previous obligation periods set out in paragraph 1.

  3. Provided that Member States achieve at least their cumulative end-use energy savings

    obligation referred to in point (b)(i) of the first subparagraph of paragraph 1, they may

    calculate the required amount of energy savings referred to in point (b)(i) of the first

    subparagraph of paragraph 1 by one or more of the following means:

(a) applying an annual savings rate on energy sales to final customers or on final energy

consumption, averaged over the most recent three-year period prior to 1 January

2019;


(b) excluding, in whole or in part, energy used in transport from the calculation baseline;

(c) making use of any of the options set out in paragraph 8.

  1. Where Member States make use of any of the possibilities provided for in paragraph 6

    regarding the required energy savings referred to in point (b)(i) of the first subparagraph

    of paragraph 1, they shall establish:

(a) their own annual savings rate that will be applied in the calculation of their

cumulative end-use energy savings, which shall ensure that the final amount of their

net energy savings is no lower than those required under point (b)(i) of the first

subparagraph of paragraph 1;


(b) their own calculation baseline, which may exclude, in whole or in part, energy used in transport.

  1. Subject to paragraph 9, each Member State may:

(a) carry out the calculation required under point (a) of the first subparagraph of

paragraph 1 using values of 1% in 2014 and 2015; 1.25% in 2016 and 2017; and 1.5%

in 2018, 2019 and 2020;


(b) exclude from the calculation all or part of the sales of energy used, by volume, with

respect to the obligation period referred to in point (a) of the first subparagraph of

paragraph 1, or final energy consumed, with respect to the obligation period referred

to in point (b)(i) of that subparagraph, by industrial activities listed in Annex I to

Directive 2003/87/EC;


(c) count towards the amount of required energy savings in point (a) and (b)(i) of the

first subparagraph of paragraph 1, energy savings achieved in the energy

transformation, distribution and transmission sectors, including efficient district

heating and cooling infrastructure, as a result of implementing the requirements set

out in Article 23(4), point (a) of Article 24(4), and Article 25(1), (5) to (9) and

(11). Member States shall inform the Commission about their intended policy

measures under this point for the period from 1 January 2021 to 31 December 2030

as part of their integrated national energy and climate plans. The impact of those

measures shall be calculated in accordance with Annex V and included in those

plans;


(d) count towards the amount of required energy savings, energy savings resulting from

individual actions newly implemented since 31 December 2008 that continue to have

an impact in 2020 with respect to the obligation period referred to in point (a) of the

first subparagraph of paragraph 1 and beyond 2020 with respect to the period

referred to in point (b)(i) of the first subparagraph of paragraph 1, and which can be

measured and verified;


(e) count towards the amount of required energy savings, energy savings that stem from

policy measures, provided that it can be demonstrated that those measures result in

individual actions carried out from 1 January 2018 to 31 December 2020 which

deliver savings after 31 December 2020;


(f) exclude from the calculation of the amount of required energy savings pursuant to

point (a) and (b)(i) of the first subparagraph of paragraph 1, 30% of the

verifiable amount of energy generated on or in buildings for own use as a result of

policy measures promoting new installation of renewable energy technologies;


(g) count towards the amount of required energy savings pursuant to point (a) and (b)(i)

of the first subparagraph of paragraph 1, energy savings that exceed the energy

savings required for the obligation period from 1 January 2014 to 31 December

2020, provided that those savings result from individual actions carried out under

policy measures referred to in Articles 9 and 10, notified by Member States in their

National Energy Efficiency Action Plans and reported in their progress reports in

accordance with Article 24.


  1. Member States shall apply and calculate the effect of the options chosen under paragraph 8

    for the period referred to in points (a) and (b)(i) of the first subparagraph of paragraph 1

    separately:

(a) for the calculation of the amount of energy savings required for the obligation period

referred to in point (a) of the first subparagraph of paragraph 1, Member States may

make use of points (a) to (d) of paragraph 8. All the options chosen under paragraph

8 taken together shall amount to no more than 25% of the amount of energy savings

referred to in point (a) of the first subparagraph of paragraph 1;


(b) for the calculation of the amount of energy savings required for the obligation period

referred to in point (b)(i) of the first subparagraph of paragraph 1, Member States may

make use of points (b) to (g) of paragraph 8, provided individual actions referred to

in point (d) of paragraph 8 continue to have a verifiable and measurable impact after

31 December 2020. All the options chosen under paragraph 8 taken together shall not

lead to a reduction of more than 35% of the amount of energy savings calculated in

accordance with paragraphs 6 and 7.


Regardless of whether Member States exclude, in whole or in part, energy used in transport

from their calculation baseline or make use of any of the options listed in paragraph 8, they

shall ensure that the calculated net amount of new savings to be achieved in final energy

consumption during the obligation period referred to in point (b)(i) of the first

subparagraph of paragraph 1 from 1 January 2021 to 31 December 2023 is not lower

than the amount resulting from applying the annual savings rate referred to in point (b) of

the first subparagraph of paragraph 1


  1. Member States shall describe in the updates of their integrated national energy and climate plans in accordance with Article 14 of Regulation (EU) 2018/1999, in their subsequent integrated national energy and climate plans pursuant to Articles 3 and 7 to 12 of Regulation (EU) 2018/1999, and in accordance with Annex III to Regulation (EU) 2018/1999, and respective progress reports, the calculation of the amount of energy savings to be achieved over the period from 1 January 2021 to 31 December 2030, and shall, if relevant, explain how the annual savings rate and the calculation baseline were established, and how and to what extent the options referred to in paragraph 8 of this Article were applied.

  2. Member States shall notify the Commission of the amount of the required energy savings referred to in point (b) of the first subparagraph of paragraph 1 and paragraph 3 of this Article, a description of the policy measures to be implemented to achieve the required total amount of the cumulative end-use energy savings, and their calculation methodologies pursuant to Annex V of this Directive, as part of the updates of their integrated national energy and climate plans in accordance with Article 14 of Regulation (EU) 2018/1999, and as part of their integrated national energy and climate plans as referred to in, and in accordance with, the procedure pursuant to Articles 3 and 7 to 12 of Regulation (EU) 2018/1999. Member States shall use the reporting template provided to them by the Commission.

  3. Where, on the basis of the assessment of the integrated national energy and climate progress reports pursuant to Article 29 of Regulation (EU) 2018/1999, or of the draft or final update of the latest notified integrated national energy and climate plan pursuant to Article 14 of Regulation (EU) 2018/1999, or the assessment of the subsequent draft and final integrated national energy and climate plans pursuant to Articles 3 and 7 to 12 of Regulation (EU) 2018/1999, the Commission concludes that policy measures do not ensure the achievement of the required amount of cumulative end-use energy savings by the end of the obligation period, the Commission may issue recommendations in accordance with Article 34 of Regulation (EU) 2018/1999 to the Member States whose policy measures it deems insufficient to ensure the fulfillment of their energy savings obligations.

  4. Where a Member State has not achieved the required cumulative end-use energy savings by the end of each obligation period set out in paragraph 1 of this Article, it shall achieve the outstanding energy savings in addition to the cumulative end-use energy savings required by the end of the following obligation period.Alternatively, where a Member State has achieved cumulative end-use energy savings above the required level by the end of each obligation period set out in paragraph 1 of this Article, it shall be entitled to carry the eligible amount of no more than 10% of such surplus into the following obligation period without having the target commitment being increased.

  5. As part of their updates of national energy and climate plans and respective progress reports, and their subsequent integrated national energy and climate plans as notified pursuant to Regulation (EU) 2018/1999, Member States shall demonstrate, including, where appropriate, evidence and calculations:(a) that where there is an overlap in the impact of policy measures or individual actions, there is no double counting of energy savings;(b) how energy savings achieved pursuant to point (b) of the first subparagraph of paragraph 1 contribute to the achievement of their national contribution pursuant to Article 4;(c) that policy measures are established for fulfilling their energy savings obligation, designed in compliance with the requirements of this Article and that those policy measures are eligible and appropriate to ensure the achievement of the required amount of cumulative end-use energy savings by the end of each obligation period.

Article 9 Energy efficiency obligation schemes

  1. Where Member States decide to fulfil their obligations to achieve the amount of savings

    required under Article 8(1) by way of an energy efficiency obligation scheme, they shall

    ensure that obligated parties as referred to in paragraph 2 of this Article operating in each

    Member State's territory achieve, without prejudice to Article 8(8) and (9), their

    cumulative end-use energy savings requirement as set out in Article 8(1).Where applicable, Member States may decide that obligated parties fulfil those savings, in

    whole or in part, as a contribution to the Energy Efficiency National Fund in accordance

    with Article 28(11).1a. Where Member States decide to fulfil their obligations to achieve the amount of savings

    required under Article 8(1) by way of an energy efficiency obligation scheme, Member

    States may also appoint an implementing public authority to administer the scheme.

  2. Member States shall designate, on the basis of objective and non-discriminatory criteria,

    obligated parties among transmission system operators, distribution system operators,

    energy distributors, retail energy sales companies and transport fuel distributors or

    transport fuel retailers operating in their territory. The amount of energy savings needed to

    fulfil the obligation shall be achieved by the obligated parties among final customers,

    designated by the Member State, independently of the calculation made pursuant to Article

    8(1) or, if Member States so decide, through certified savings stemming from other parties

    as described in point (a) of paragraph 10 of this Article.

  3. Where retail energy sales companies are designated as obligated parties under paragraph 2,

    Member States shall ensure that, in fulfilling their obligation, retail energy sales companies

    do not create any barriers that impede consumers from switching from one supplier to another.

  4. Member States may require obligated parties to achieve a share of their energy savings

    obligation among people affected by energy poverty, vulnerable customers, low-income

    households and, where applicable, people living in social housing. Member States may

    also require obligated parties to achieve energy cost reduction targets, provided they result

    in end-use energy savings and are calculated in accordance with Annex V, and to

    achieve energy savings by promoting energy efficiency improvement measures, including

    financial support measures mitigating carbon price effects on SMEs and microenterprises.

  5. Member States may require obligated parties to work with regional and local authorities or

    municipalities and social services to promote energy efficiency improvement measures

    among people affected by energy poverty, vulnerable customers, low-income households

    and, where applicable, people living in social housing. This includes identifying and

    addressing the specific needs of particular groups at risk of energy poverty or more

    susceptible to its effects. To protect people affected by energy poverty, vulnerable

    customers and, where applicable, people living in social housing, Member States shall

    encourage obligated parties to carry out actions such as renovation of buildings, including

    social housing, replacement of appliances, financial support and incentives for energy

    efficiency improvement measures in conformity with national financing and support

    schemes, or energy audits. Member States shall ensure the eligibility of measures for

    individual units located in multi-apartment buildings.

  6. When applying the requirements of paragraphs 4 and 5, Member States shall require

    obligated parties to report on an annual basis on the energy savings achieved by the

    obligated parties from actions promoted among people affected by energy poverty,

    vulnerable customers, low-income households, and, where applicable, people living in

    social housing, and shall require aggregated statistical information on their final customers

    (identifying changes in energy savings to previously submitted information) and regarding

    technical and financial support provided.

  7. Member States shall express the amount of energy savings required of each obligated party

    in terms of either final or primary energy consumption. The method chosen to express the

    amount of energy savings required shall also be used to calculate the savings claimed by

    obligated parties. When converting the amount of energy savings, the net calorific values

    set out in Annex VI of Commission Implementing Regulation (EU) 2018/2066 and the

    primary energy factor pursuant to Article 29 shall apply unless the use of other conversion

    factors can be justified.

  8. Member States shall establish measurement, control and verification systems for carrying

    out documented verification on at least a statistically significant proportion and

    representative sample of the energy efficiency improvement measures put in place by the

    obligated parties. The measurement, control and verification shall be carried out

    independently of the obligated parties. Where an entity is an obligated party under a

    national energy efficiency obligation scheme under Article 9 and under the EU Emissions

    Trading System to buildings and road transport [COM(2021) 551 final, 2021/0211

    (COD)], the monitoring and verification system shall ensure that the carbon price passed

    through when releasing fuel for consumption [according to Article 1(21) of COM(2021)

    551 final, 2021/0211 (COD)] shall be taken into account in the calculation and reporting of

    energy savings of the entity's energy saving measures.

  9. Member States shall inform the Commission, as part of the integrated national energy and

    climate progress reports pursuant to Article 17 of Regulation (EU) 2018/1999, on the

    measurement, control and verification systems put in place, including but not limited to

    methods used, issues identified and how they were addressed.

  10. Within the energy efficiency obligation scheme, Member States may authorize obligated

    parties to carry out the following:

    (a) to count towards their obligation certified energy savings achieved by energy service

    providers or other third parties, including when obligated parties promote measures

    through other State-approved bodies or through public authorities that may involve

    formal partnerships and may be in combination with other sources of finance. Where

    Member States so permit, they shall ensure that the certification of energy savings

    follows an approval process that is put in place in the Member States, that is clear,

    transparent, and open to all market participants, and that aims to minimize the costs

    of certification;

    (b) to count savings obtained in a given year as if they had instead been obtained in any

    of the four previous or three following years as long as this is not beyond the end of

    the obligation periods set out in Article 8(1).

    Member States shall assess and, if appropriate, take measures to minimize the impact of the

    direct and indirect costs of energy efficiency obligation schemes on the competitiveness of

    energy-intensive industries exposed to international competition.

  11. Member States shall, on an annual basis, publish the energy savings achieved by each obligated party, or each sub-category of obligated party, and in total under the scheme.

Article 10 Alternative policy measures

  1. Where Member States decide to fulfil their obligations to achieve the savings required under Article 8(1) by way of alternative policy measures, they shall ensure, without prejudice to Article 8(8) and (9), that the energy savings required under Article 8(1) are achieved among final customers.

  2. For all measures other than those relating to taxation, Member States shall put in place measurement, control and verification systems under which documented verification is carried out on at least a statistically significant proportion and representative sample of the energy efficiency improvement measures put in place by the participating or entrusted parties. The measurement, control and verification shall be carried out independently of the participating or entrusted parties.

  3. Member States shall inform the Commission, as part of the integrated national energy and climate progress reports pursuant to Article 17 of Regulation (EU) 2018/1999, on the measurement, control and verification systems put in place, including but not limited to methods used, issues identified and how they were addressed.

  4. When reporting a taxation measure, Member States shall demonstrate how the effectiveness of the price signal, such as tax rate and visibility over time, has been ensured in the design of the taxation measure. Where there is a decrease in the tax rate, Member States shall justify how the taxation measures still result in new energy savings.

Article 11 Energy management systems and energy audits

  1. Member States shall ensure that enterprises with an average annual consumption higher than 85TJ of energy over the previous three years and taking all energy carriers together implement an energy management system. The energy management system shall be certified by an independent body according to the relevant European or International Standards. Member States shall ensure that enterprises falling under this obligation have an energy management system in place at the latest two years after the transposition deadline of this Directive, as set out in Article 35(1).

  2. Member States shall ensure that enterprises with an average annual consumption higher than 10TJ of energy over the previous three years and taking all energy carriers together that do not implement an energy management system are subject to an energy audit. Energy audits shall be carried out in an independent and cost-effective manner by qualified or accredited experts in accordance with requirements provided in Article 26 or implemented and supervised by independent authorities under national legislation. Energy audits shall be carried out at least every four years from the date of the previous energy audit, with the first audit carried out, for those enterprises falling under the obligation for the first time, at the latest, a year after the transposition deadline of this Directive, as set out in Article 35(1). For those enterprises already implementing the energy audit obligation, energy audits shall continue to be carried out at least every four years from the date of the previous energy audit, in accordance with the provisions of this Directive.The recommendations from these energy audits shall result in a concrete and feasible Action Plan, provided by the enterprise and transmitted to the management of the enterprise. The Action Plan shall identify measures to implement each audit recommendation where it is technically or economically feasible.In addition, Member States shall ensure that the Action Plans and the recommendation implementation rate are published in the enterprise's annual report and made publicly available, except information subject to national and EU laws protecting trade and business secrets and confidentiality.For the purposes of paragraphs 1 and 2, Member States shall require that if an enterprise has an annual consumption of more than 85 TJ and 10TJ respectively in any given year, this information be made available to the national authorities in charge of the implementation of this article. For this purpose, Member States may promote the use of a new or existing platform to facilitate the collection of the required data at national level.

  3. Member States may encourage the enterprises under the scope of paragraphs 1 and 2 to provide information in their annual report about their yearly energy consumption in kWh, their yearly volume of water consumed in cubic metres, and a comparison of their energy and water consumption with previous years.

  4. Member States shall promote the availability to all final customers of high-quality energy audits which are cost-effective and:(a) carried out in an independent manner by qualified and/or accredited experts according to qualification criteria; or (b) implemented and supervised by independent authorities under national legislation.The energy audits referred to in the first subparagraph may be carried out by in-house experts or energy auditors provided that the Member State concerned has put in place a scheme to assure and check their quality, including, if appropriate, an annual random selection of at least a statistically significant percentage of all the energy audits they carry out.For the purpose of guaranteeing the high quality of the energy audits and energy management systems, Member States shall establish transparent and non-discriminatory minimum criteria for energy audits based on Annex VI and taking into consideration relevant European or International Standards. Member States shall designate a competent authority or body to ensure that the timelines for conducting energy audits as specified in paragraph 2 are respected and the minimum criteria set out in Annex VI are correctly applied.Energy audits shall not include clauses preventing the findings of the audit from being transferred to any qualified/accredited energy service provider, on condition that the customer does not object.

  5. Member States shall develop programmes with the aim of encouraging and providing technical support to SMEs that are not subject to paragraph 1 or 2 to undergo energy audits and the subsequent implementation of the recommendations from these audits.On the basis of transparent and non-discriminatory criteria and without prejudice to Union State aid law, Member States may set up mechanisms such as energy audit centres for SMEs and microenterprises, where these are not in competition with private auditors, to provide energy audits, as well as other support schemes for SMEs, including if they have concluded voluntary agreements, to cover costs of an energy audit and of the implementation of highly cost-effective recommendations from the energy audits, if the proposed measures are implemented.

  6. Member States shall ensure that their programmes include support to SMEs in quantifying the multiple benefits of energy efficiency measures within their operation, development of energy efficiency roadmaps, and development of energy efficiency networks for SMEs, facilitated by independent facilitators.Member States shall bring to the attention of SMEs, including through their respective representative intermediary organisations, concrete examples of how energy management systems could help their businesses. The Commission shall assist Member States by supporting the exchange of best practices in this domain.

  7. Member States shall develop programmes to encourage non-SMEs that are not subject to paragraph 1 or 2 to undergo energy audits and the subsequent implementation of the recommendations from these audits.

  8. Energy audits shall be considered as fulfilling the requirements of paragraph 2 when they are carried out in an independent manner, on the basis of minimum criteria based on Annex VI, and implemented under voluntary agreements concluded between organisations of stakeholders and an appointed body and supervised by the Member State concerned, or other bodies to which the competent authorities have delegated the responsibility concerned, or by the Commission.Access of market participants offering energy services shall be based on transparent and non-discriminatory criteria.

  9. Enterprises that implement an energy performance contract shall be exempted from the requirements of paragraphs 1 and 2 provided that the energy performance contract covers the necessary elements of the energy management system and that the contract complies with the requirements set out in Annex XIV.

  10. Enterprises that implement an environmental management system—certified by an independent body according to the relevant European or international standards—shall be exempted from the requirements of paragraphs 1 and 2, provided that the environmental management system concerned includes an energy audit on the basis of the minimum criteria based on Annex VI.

  11. Energy audits may stand alone or be part of a broader environmental audit. Member States may require that an assessment of the technical and economic feasibility of connection to an existing or planned district heating or cooling network shall be part of the energy audit. Without prejudice to Union State aid law, Member States may implement incentive and support schemes for the implementation of recommendations from energy audits and similar measures.

Article 11a Data centres

  1. By 15 May 2024 and annually thereafter, Member States shall require owners and operators of data centres in their territory with an installed IT power demand of at least 500kW to make the information set out in Annex VIa publicly available, except information subject to national and EU laws protecting trade and business secrets and confidentiality.

  2. Data centres used or providing their services exclusively with final purposes for defence and civil protection shall not be covered by the provisions of paragraph 1.

  3. The Commission shall establish a European database on data centres that includes information communicated by the obligated data centres in accordance with paragraph 1. The EU database shall be publicly available at an aggregated level.

  4. Member States shall encourage owners and operators of data centres in their territory with an installed IT power demand equal to or greater than 1 MW to take into account the best practices referred to in the most recent version of the European Code of Conduct on Data Centre Energy Efficiency.

  5. By 15 May 2025, the Commission shall assess the available data on the energy efficiency of data centres submitted to it by the Member States pursuant to paragraph 2 and shall submit a report to the European Parliament and the Council. The report shall be accompanied, if appropriate, by a proposal on further measures to improve energy efficiency, including on establishing minimum performance standards and an assessment of the feasibility of transition towards a net-zero emission data centres sector, in close consultation with the relevant stakeholders. Such a proposal may establish a timeframe within which existing data centres are to be required to meet minimum performance standards.

Article 12 Metering for natural gas

  1. Member States shall ensure that, insofar as it is technically possible, financially reasonable, and proportionate to the potential energy savings, natural gas final customers are provided with competitively priced individual meters that accurately reflect the final customer's actual energy consumption and provide information on actual time of use.7446/23 PZ/ns 105

    ANNEX TREE.2.B LIMITE ENSuch a competitively priced individual meter shall always be provided when:

    (a) an existing meter is replaced, unless this is technically impossible or not cost-effective in relation to the estimated potential savings in the long term;

    (b) a new connection is made in a new building or a building undergoes major renovations, as set out in Directive 2010/31/EU.

  2. Where, and to the extent that, Member States implement intelligent metering systems and roll out smart meters for natural gas in accordance with Directive 2009/73/EC:

    (a) they shall ensure that the metering systems provide final customers with information on actual time of use and that the objectives of energy efficiency and benefits for final customers are fully taken into account when establishing the minimum functionalities of the meters and the obligations imposed on market participants;

    (b) they shall ensure the security of the smart meters and data communication, and the privacy of final customers, in compliance with relevant Union data protection and privacy legislation;

    (c) they shall require that appropriate advice and information be given to customers at the time of installation of smart meters, in particular about their full potential with regard to meter reading management and the monitoring of energy consumption.