Europe’s buildings are at the heart of the climate challenge. They consume 40% of the EU’s energy and produce over a third of its greenhouse gas emissions. Heating and cooling alone account for half of that energy use, and most of it still comes from fossil fuels. The report highlights how outdated infrastructure and poor insulation trap millions of people in energy poverty—especially tenants, rural households, and vulnerable groups. To meet climate goals and improve lives, Europe needs a major shift in how buildings are renovated and powered.

National Building Renovation Plans (NBRPs) are the EU’s new tool to drive this transformation. Required by the recast Energy Performance of Buildings Directive (EPBD), these plans will guide each country’s strategy to upgrade homes, schools, offices, and public buildings. The goal is to phase out fossil fuel boilers, boost renewable heating and cooling, and ensure all buildings become zero-emission by 2050. But it’s not just about technology—NBRPs must also protect renters, prevent evictions, and make renovations accessible to low-income households.

Deep renovations are the key to success. Unlike light upgrades, deep renovations tackle everything at once: insulation, heating systems, cooling, electricity, and even rooftop solar. They deliver big energy savings and long-term comfort. The report urges governments to prioritise these projects, especially in social housing and older buildings. It also calls for district-level approaches, where entire neighbourhoods are upgraded together, unlocking economies of scale and improving urban resilience.

To make renovations work for everyone, local action matters. The report calls for stronger support for municipalities, community-led projects, and one-stop shops that guide households through the process. By building local capacity and involving citizens, countries can ensure renovations are tailored to real needs and deliver lasting impact—especially for those most affected by energy poverty and rising temperatures.