Strengthening synergies between climate effort sharing & energy savings obligations

An input to the "Fit for 55" package

The new 55% climate target will bring major revisions of the EU’s energy and climate laws. This study looks at the interactions and synergies between three of the key policy instruments: Effort Sharing Regulation (ESR), EU Emission Trading System (EU ETS) and the energy savings obligations in Article 7 of the Energy Efficiency Directive (EED). It clearly shows that the ESR is an important driver for national action to deliver energy savings and thus to ensure cost-effective and equitable GHG reductions.

The study assesses different scenarios with more ambitious ESR targets for Member States and with an increased level of energy savings under Article 7. Most countries would need to fully deliver their EED energy savings obligation in order to meet the ESR targets, not only with the current level of 0.8% savings per year but with an increased level of 1.6%.

The study has been carried out over the last months by Stefan Scheuer Consulting, the Regulatory Assistance Project and Öko-Institut.