The European Commission’s latest guidance marks a significant milestone in the EU’s commitment to reducing carbon emissions. As a result, financial incentives for new stand-alone boilers powered by fossil fuels, such as natural gas, oil, and coal, will be discontinued in 2025. This decision is part of the revised Energy Performance of Buildings Directive (EPBD) which aims to achieve a fully decarbonised building stock by 2050.

While financial support for fossil fuel boilers will end, incentives for hybrid heating systems—which combine fossil fuel boilers with renewable energy sources—may still be available, provided the renewable share is substantial. Member States will have the final say, but a preferred target value or range (e.g. 30-60% of renewable energy). Additionally, existing incentives that have already been approved or granted will continue to be disbursed.

However, experts agree that not only the origin of energy sources should be a priority, but also the amount of CO₂ emissions. According to the Commission draft guidance document, the bio methane boiler, emitting the less CO₂ (46.3 gCO₂/kWh), might not be subsidised, whereas the electrical boiler (251 gCO₂/kWh), might be subsidised. These provisions raise concerns regarding the decarbonisation target.

The Commission is expected to release further guidance on other aspects of the updated EPBD in the coming months. Europe’s march towards a greener future hinges on coordinated efforts between governments, industries, and consumers. Only through joint action can a balanced and effective shift to eco-friendly heating systems be achieved.