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“Fit for 55” Revision of two Directives: EED and REDIII

European Commission (EC) presented its ‘Fit for 55’ package in July 2021, which includes draft climate, energy, and transport-related legislation intended to align EU laws with its 2030 target of cutting greenhouse gas (GHG) emissions by at least 55% in 2030 compared with 1990 levels and its 2050 ambition. Within these proposals is the revision the Energy Efficiency Directive (EED) and the Renewable Energy Directive (RED).

At the moment (end of 2022), the European Commission, the European Parliament, and the Council of the EU (representing all member states) have entered into trialogue negotiations to find common ground on the different positions.

Main focus of amendment to Energy Efficiency Directive:

  • Binding EU-level and national targets (also for public institutions) for energy consumption reduction

Main focus of amendment to Renewable Energy Directive (RED):

  • Binding EU-level targets and sectors such as transport, heating/cooling, sub targets for the use of energy from renewable sources and hydrogen

A very good summary on the different positions of EC, EP, and Council one can find at International Tax Review. 

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