Today, the European Commission published its long-awaited Electrification Action Plan (EAP), setting out a roadmap to accelerate the electrification of Europe’s economy and reduce its dependence on imported fossil fuels. The implications for heating and cooling, a sector responsible for around half of Europe’s final energy consumption, are particularly significant.
The Cool Heating Coalition welcomes the publication of the Action Plan and the clear political signal it sends: electrification is central to Europe’s competitiveness, energy security and decarbonisation.
A stronger framework for clean heating and cooling
The Action Plan introduces several important measures that can help accelerate the transition towards decarbonised and renewable heating and cooling across Europe.
Among its key announcements are:
- An indicative EU electrification target of 46% by 2040, providing an important signal for long-term investment;
- The publication of a dedicated Cooling & Heating Action Plan, recognising the strategic importance of the sector;
- A commitment to explore a Clean Heat Market Mechanism, alongside the objective of reaching 4 million heat pump installations annually by 2030, almost doubling today’s deployment rate;
- Reforms to electricity pricing and taxation, including the progressive phase-out of fossil fuel subsidies;
- €75 billion in European Investment Bank financing for electrification over the next three years;
- A €15 million pilot programme supporting around 1,000 local heating and cooling plans; and
- Guidance for Member States on how to design social leasing schemes.
Taken together, these proposals represent a significant step towards a more competitive, resilient and energy-independent Europe.
Heating and cooling must remain at the centre of implementation
Heating and cooling account for approximately half of Europe’s final energy demand, making the decarbonisation of buildings essential to reducing fossil fuel dependence, improving affordability and strengthening energy security. The Action Plan acknowledges this and puts forward several measures capable of accelerating the transition.
As Davide Sabbadin, Chair of the Cool Heating Coalition, said:
“Yet again facing a fossil fuel crisis, the Commission rightly commits to electrification. Electrifying energy consumption in Buildings, Transports and Industry is the right pathway, and we welcome this and the constructive proposals on taxation. Now, Europe needs to deliver a concrete proposal for a Clean Heat Market Mechanism, and a binding electrification target. We also welcome the upcoming Cooling and Heating Action Plan to fix Europe’s shortfall in ensuring citizens can stay adequately cool alongside providing clean heat.”
Next steps of the way: turning ambition into delivery
Today’s publication represents a meaningful step for electrifying Europe to ensure our resilience and prosperity.
The Commission has indicated that the current electrification target could become binding as part of the post-2030 Energy Union framework. The Cool Heating Coalition believes this will be crucial to provide the certainty needed for investment and implementation across Member States.
Equally important is the swift delivery of the promised Cooling & Heating Action Plan, which should provide a comprehensive strategy for accelerating the deployment of decarbonised heating and cooling technologies, improving resilience to increasingly frequent heatwaves.
Implementation of the EU Emissions Trading System for buildings and road transport (ETS2) must also continue without further delay. Together with the Social Climate Fund, ETS2 will play a crucial role in ensuring that vulnerable households receive targeted support to access clean, affordable H&C solutions throughout the transition.
Building on today’s momentum
The Electrification Action Plan sets out a clear roadmap towards an electrified and decarbonised Europe. Its commitments on electrification, decarbonised heating, taxation and investment demonstrate growing recognition that reducing Europe’s dependence on fossil fuels is both an economic and strategic necessity.
The challenge now is implementation. Delivering a comprehensive Clean Heat Market Mechanism, making electrification targets binding, rapidly publishing the Cooling & Heating Action Plan, and ensuring adequate support for vulnerable households will determine whether today’s ambition translates into tangible benefits for all citizens across Europe.