Decarbonization, There's Still Much to Do: Heating and Cooling Systems Responsible for 27% of Emissions
The new analysis by EHPA highlights deficiencies by European states in achieving climate and energy decarbonization goals
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To achieve these climate and energy goals, European Union countries must adopt effective and lasting strategies. One of the key points is the decarbonization of heating and cooling systems, responsible for 27% of CO2 emissions in the EU.
Decarbonization: Italy has Ambitious Goals for Renewable Energies
From the analysis of the National Energy and Climate Plans (NECPs) conducted by EHPA, several aspects emerge. Italy, for example, stands out for its ambitious goals in renewable energies, a trend shared by other countries such as Hungary, Spain, Lithuania, the Netherlands, and Slovakia, specifically in the heating and cooling sector.
However, some gaps in national plans are evident, especially in the underestimation of heat pumps, despite their key role in decarbonization and energy security. For instance, Slovakia's plan does not provide specific incentives for these technologies, unlike the Netherlands and Portugal, which actively promote their use.
EHPA highlights concern regarding the abandonment of fossil fuel boilers. Only 10 states have planned a gradual phase-out of this type of boilers; Spain has not yet set a specific date and this aspect should be urgently integrated into the NECP, to facilitate a rapid and safe replacement of fossil fuel heating methods.
Additionally, there is a significant expenditure of 3 billion euros in fossil fuel appliances in Europe, with Italy, Belgium, Bulgaria, Greece, and Poland among the major funders. In Hungary, for example, substantial funds have been allocated to support fossil fuel prices in 2024, and it is essential to stop these subsidies.
Decarbonization: Excessive Taxation and Insufficient Financial Support
At the same time, excessive taxation on heat pumps in some countries is noted. Lithuania and Hungary have adopted a 0% VAT tax on these devices, an example that should be followed by other European states.
In this regard, according to EHPA, it is essential to provide financial support to consumers, particularly to the less affluent, and to reduce energy costs. Consideration should also be given to the creation of 'one-stop shops' to amplify access to information on switching to heat pumps.
Less than half of the member states have local heating plans, despite their importance for an efficient transition. It would be useful for EU countries to contribute to a database on the workforce specialized in heat pumps, identifying and bridging skill gaps.
This enhancement is crucial to achieve the REPowerEU goal of installing 60 million heat pumps by 2030, stimulating climate action, energy independence, and the European industrial sector.