REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 2018 assessment of the progress made by Member States towards the national energy efficiency targets for 2020 and towards the implementation of the Energy Efficiency Directive as required by Article 24(3) of the Energy Efficiency Directive 2012/27/EU
Date: 2019-04-09
Institutions: Directorate-General for Energy, European Commission
Subjects: EU Member State, EU programme, energy consumption, energy cooperation, energy efficiency, energy saving, energy use, renewable energy

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 9.4.2019  COM(2019) 224 final  REPORT FROM THE COMMISSION TO THE EUROPEAN PARLIAMENT AND THE COUNCIL 2018 assessment of the progress made by Member States towards the national energy efficiency targets for 2020 and towards the implementation of the Energy Efficiency Directive as required by Article 24(3) of the Energy Efficiency Directive 2012/27/EU  
 
 
Introduction 

1. 
In December 2018, the European Parliament and the Council of the European Union adopted 
the  revised  Energy  Efficiency  Directive  (EED)1.  The  revised  EED  set  the  2030  energy 
efficiency  target  to  be  at  least  32,5 %2.  It  also  included  a  possible  upward  revision  clause, 
which increases the level of ambition compared to efforts required to meet the 2020 targets. 
Energy efficiency is strong driver to achieve the 2020 and 2030 climate targets and also a key 
building block for the Commission’s proposal for ‘A European strategic long-term vision for 
a prosperous, modern, competitive and climate-neutral economy’3 tabled in November 2018. 

In  this  context,  it  is  important  that  the  2020  targets  for  energy  efficiency  are  met  with 
measures that can continue to deliver energy savings in the next decade. 

This  report  provides  the  latest  insights  into  progress  made  up  until  2017  to  meet  the  20 % 
target before 2020.4 The official European statistics on energy, which Member States sent to 
Eurostat up to January 2019, were used as the primary data source. The report builds on the 
2017  Energy  Efficiency  Progress  Report,5  the  2018  Annual  Reports  submitted  by  Member 
States, and complementary analysis carried out during 2018. To better understand the factors 
behind recent energy trends, a decomposition analysis developed by the Joint Research Centre 
(JRC)6 and the Odyssee-Mure project7 was used. 

The main findings are as follows: 

  Following a gradual decrease between 2007 and 2014, energy consumption increased 

between 2014 and 2017. 

  Primary  energy  consumption rose by 0,9 % in  2017 compared to  2016.  Final energy 
consumption increased by 1,1 % in 2017. At present, both are slightly above the fixed 
trajectory towards the 2020 target. 

 

  Weather  variations8  are  one  of  the  main  reasons  for  the  fluctuations  observed  in 
in  recent  years.  Weather-corrected  figures  for  energy 

energy  consumption 
consumption are less volatile, but also show a rebound trend since 2014 (Figure 1). 
Increases  in  economic  activity  continue  to  push  energy  consumption  up.  Energy 
savings  have  helped  offset  the  impact  of  these  increases,  leading  to  gradual 
improvements in energy intensity. However, in recent years, energy savings were not 
high enough to offset the impact of the growth in economic activity, possibly also due 
to the delays in implementing energy efficiency policies in some Member States. 

1 Directive 2018/2002/EU. 
2  The  32,5 %  target  for  2030  translates  into  final  energy  consumption  of  956  Mtoe  and/or  primary  energy 
consumption of 1273 Mtoe in the EU28. 
3 COM(2018) 773 final  
4 The 2020 target involves lowering the EU28’s final energy consumption to at most 1086 Mtoe, and its primary 
energy consumption to at most 1483 Mtoe. 
5 COM(2017) 687 final. 
6  Economidou,  M.  and  Romàn  Collado,  R.  (2019),  Assessing  the  progress  towards  the  EU  efficiency  targets 
using index decomposition analysis 2015-2016, JRC Science for Policy Report. 
7 http://www.indicators.odyssee-mure.eu/decomposition.html. 
8 An exceptionally warm winter in 2014 resulted in much lower heating needs that year. 2015, 2016 and 2017 
winter  temperatures  were  more  in  line  with  the  climatic  average  (although  still  below  the  long-term  average), 
increasing heating needs as well as energy consumption in the residential- and service sectors. 

1 

 
                                                 
  Based on an assessment of the latest national energy efficiency action plans (NEEAPs) 
and 2018 annual reports, it is clear that, collectively, Member States are making good 
progress  in  achieving  energy  savings  under  Article 7  of  the  EED.  However,  some 
Member  States  are  lagging  behind  and  might  not  reach  their  cumulative  savings 
requirements for 2014–2020. 

If the increasing  trend in energy  consumption observed since 2014  continues in  the  coming 
years,  reaching  the  2020  target  both  for  primary  and  final  energy  consumption  could  be  at 
risk.  Therefore,  there  is  a  need  to  further  intensify  efforts  to  deliver  energy  savings  in  the 
short term. 

In order to  better  assess  the growing energy consumption  trend and identify  a possible way 
forward, in July 2018 the European Commission set up a Task Force on mobilising efforts to 
reach  the  EU  energy  efficiency  targets  for  2020.9  So  far,  the  Task  Force  highlights  in 
particular  the  need  to  better  mobilise  funding,  increase  the  rate  and  depth  of  building 
renovation and ensure that minimum energy performance standards are met. 

Figure 1: GDP and weather-corrected final energy consumption, 1995-201610 

Source: Odyssee-Mure 

2. 
Progress towards the EU’s 2020 energy efficiency target 
Final energy consumption11 in the EU fell by 5,9 %, from 1193 Mtoe in 2005 to 1122 Mtoe in 
2017.  This  is  3,3 %  above  the  2020  final  energy  consumption  target  of  1086  Mtoe.  It 
decreased at an annual average rate of 0,5 % between 2005 and 2017, although the downward 

9  European  Commission  (2019),  Report  of  the  work  of  the  Task  Force  on  mobilising  efforts  to  reach  the  EU 
Energy efficiency targets for 2020. 
10 The  weather correction factor  was calculated as a  proportion  of heating degree days (HDD) in a  given  year 
over the average HDD from 1980 to 2004. This correction factor was applied to the energy consumption used for 
space heating in the residential sector. 
11  Indicators  from  Eurostat’s  new  energy  balances  are  used  to  monitor  progress  towards  achieving  the  Europe 
2020-2030 energy efficiency target. 

2 

 
 
 
 
                                                 
trend was interrupted in 2015 when final energy consumption started to rise again (it rose by 
1,1 % in 2017 compared to the previous year). 

In  2017,  higher  energy  consumption  was  mainly  seen  in  transport  (+2,5 %  year-on-year 
increase)  and  industry  (+1,6 %).  Energy  consumption  did  not  change  in  the  services  sector, 
and it decreased in the residential sector (-0,5 %). 

Transport  accounted  for  34 %  of  final  energy  consumption  in  2017,  followed  by  the 
residential sector, industry (25 % each), the services sector (13 %) and other sectors (3 %). 

Primary energy consumption in the EU dropped by 9,2  %, from 1720 Mtoe in 2005 to 1561 
Mtoe in 2017. This is 5,3 % above the 2020 target of 1483 Mtoe. It decreased on average by 
0,8 % per year between 2005 and 2017, but has been rising again since 2015. A year-on-year 
increase of 0,9 % was recorded in 2017. 

National targets 

3. 
Until 2017, 17 Member States managed to reduce or keep the final energy consumption level 
below their hypothetical  linear trajectory  for  reaching their estimated targets  by  2020.12 For 
primary energy consumption, however, 15 Member States were still above their hypothetical 
linear  trajectories  in  2017.13  Overall,  the  final  energy  consumption  of  17  Member  States  (a 
decrease from 18 in 2015) was below the indicative 2020 final energy target in 2017.14 Only 
14  Member  States  (a  decrease  from  17  in  2015)  reached  or  managed  to  keep  their  primary 
energy consumption level below their indicative 2020 target in 2017.15  

Note that, unlike for the 2030 contributions, there is no requirement for national 2020 targets 
to add up to the EU target. In fact, there is a gap between the sum of national targets and the 
EU target.  For  final  energy consumption, the national  indicative targets  add up to  a total  of 
1085 Mtoe, i.e. 1 Mtoe below the EU target; for primary energy consumption, they add up to 
1533 Mtoe i.e. 50 Mtoe above the EU target.16 

Energy consumption trends in Member States 

4. 
Since  2005,  final  energy  consumption  has  fallen  in  all  Member  States  except  Cyprus, 
Lithuania,  Malta,  Austria  and  Poland.  However,  when  compared  to  2016,  final  energy 
consumption  rose  in  24  Member  States  in  2017,  with  the  highest  increases  recorded  in 
Slovakia  (+7 %),  Malta  (+6,7 %)  and  Poland  (+6,5 %).  The  biggest  reductions  were  seen  in 
Belgium (-1,2 %), the United Kingdom (-0,8 %) and Italy (-0,6 %). 

12  Except  Belgium,  Bulgaria,  Germany,  Estonia,  France,  Lithuania,  Hungary,  Austria,  Poland,  Slovakia  and 
Sweden. 
13  Except  Belgium,  Bulgaria,  Germany,  Estonia,  Ireland,  France,  Cyprus,  Hungary,  the  Netherlands,  Austria, 
Poland, Portugal and Sweden. 
14  Except  Belgium,  Bulgaria,  Germany,  Estonia,  France,  Lithuania,  Hungary,  Austria,  Slovakia,  Sweden,  the 
United Kingdom. 
15  Except  Belgium,  Bulgaria,  Cyprus,  Germany,  France,  Austria,  the  Netherlands,  Sweden  and  the  United 
Kingdom. 
16  The  difference  can  be  even  bigger  given  that  the  levels  of  primary  energy  consumption  and  final  energy 
consumption for some national targets do not follow the right methodology. 

3 

 
                                                 
Since  2005,  primary  energy  consumption  has  fallen  in  all  Member  States  except  Estonia, 
Cyprus  and  Poland.  Countries  with  the  largest  primary  energy  consumption  decline  include 
Lithuania  (-23,4 %),  Greece  (-23,2 %),  the  United  Kingdom  (-20,8 %)  and  Italy  (-17 %). 
However, in 2017 primary energy consumption increased in 20 Member States compared to 
the previous year, with the highest increases in Malta (+12,9 %), Romania (+5,7 %) and Spain 
(+5,4 %).  Estonia  reported  the  highest  year-on-year  decrease  (-4,2 %)  compared  to  2016, 
followed by the United Kingdom (-1,6 %) and Ireland (-1,4 %). 

The  declining  trend  reversed  in  the  three-year  period  from  2014  to  2017,  as  final  energy 
consumption  rose  in  all  Member  States  and  primary  energy  consumption  in  23  Member 
States17 compared to 2014. However, the increase in primary consumption in this period was 
smaller than the growth of GDP. This translates into a reduction of primary energy intensity 
in all but six Member States (Belgium, Greece, Italy, Hungary, Austria and Portugal). 

Figure  2:  Relative  change  in  primary  energy  consumption,  primary  energy  intensity18  and 
GDP, 2014-2017 

Source: Eurostat 

In order to  better understand the factors behind  recent  increases in  energy  consumption, the 
European  Commission  organised  an  expert  workshop  which  provided  input  for  a  report 
presenting  the  drivers  of  recent  energy  consumption  trends.19  The  analysis  of  the  possible 
factors  that  have  influenced  the  increase  in  consumption  trends  in  the  years  since  2014 
indicates that there are differences between sectors: the main increase in energy consumption 
was seen in buildings (residential and services) in spite of a slight downward trend in 2017, 
followed by transport, while energy consumption in industry grew very little. Consumption in 
energy  supply  (generation,  transmission  and  distribution)  fell  because  of  the  shift  to 
renewable energy in  electricity  generation. The report also  confirmed that  there is  no single 

17 Note that in 2014 there was an exceptionally warm winter, so part of the increase in energy consumption is a 
consequence of a correction to more average winter temperatures. 
18 Primary energy consumption in relation to GDP 
19 Samuel Thomas (2018), Drivers of recent energy consumption trends across sectors in EU28. 
Energy Consumption Trends Workshop Report. 

4 

 
 
                                                 
reason for why energy consumption in the EU has increased since 2014. The increase could 
be  partly  the  result  of  good  economic  performance  since  2014,  partly  due  to  low-oil  prices 
and  partly  due  to  colder  winters  in  2015  and  2016,  and  the  mix  of  these  will  vary  across 
sectors. 

To discuss the growing energy consumption trends and identify possible solutions to put the 
EU  back  on  track  to  achieving  the  2020  energy  efficiency  targets,  Member  State 
representatives met twice in the autumn of 2018 in the framework of a dedicated Task Force 
created by the Commission. The report on the work carried out by the Task Force20 identified 
some  additional  causes  of  the  growth  in  energy  consumption  related  to  national  contexts. 
These  included:  (i)  delayed  implementation  of  energy  efficiency  policies;  (ii)  a  difference 
between  estimated  energy  savings  and  actual  energy  savings  achieved;  (iii)  insufficient 
consideration  of  the  impact  of  behavioural  aspects  such  as  the  rebound  effect;  (iv)  lack  of 
funding for energy efficiency policies; and (v) restrictions related to EU state aid rules. 

A  more  quantitative  analysis  of  the  different  factors  behind  the  changes  in  energy 
consumption  is  possible  thanks  to  the  decomposition  analysis  carried  out  by  the  JRC21  and 
Odyssee-Mure.22 However, both analyses only cover data until 2016. 

The  main  factor  of  reducing  primary  energy  consumption  was  the  drop  in  final  energy 
demand due to improvements in final energy intensity (Figure 3). This contributed to a total 
drop  of  122  Mtoe  in  primary  energy,  equivalent  to  7 %  of  consumption  in  2005. 
Improvements  in  transformation  efficiency  accounted  for  a  drop  of  30  Mtoe  in  2005-2016. 
Decreases  in  distribution  losses  and  conversion  sector  consumption  produced  an  additional 
reduction  of  9,5  Mtoe  in  primary  energy  consumption.  The  increasing  share  of  renewable 
energy in gross final energy consumption, which grew from 9 % to 17 %23 at EU level, also 
decreased  primary  energy  consumption  levels.  However,  increasing  use  of  electricity  had  a 
counterbalancing  effect,  so  overall  the  transformation  efficiency  effect  of  -30  Mtoe 
(equivalent to a -2 % decline compared to the 2005 primary energy consumption) was rather 
moderate. 

20 European Commission (2019), Report of the work … op. cit. 
21 Economidou, M. and Romàn Collado, R. op. cit. 
22 http://www.indicators.odyssee-mure.eu/decomposition.html. 
23 2016 data. 

5 

 
 
 
 
                                                 
Figure  3:  Breakdown  of  changes  in  EU-28  primary  energy  consumption  (Mtoe)  for  2005-
2016 using the additive Logarithmic Mean Divisia Index (LMDI) approach  

Source: JRC 

The fall in final energy consumption was mainly driven by the decreases in industry (-15 % in 
2017 compared to 2005) and in the residential sector (-9 %). In contrast, energy consumption 
increased in the services sector (+4 %) and in transport (+3 %) compared to 2005. 

Figure 4:  Breakdown of changes in  EU-28 final  energy consumption (Mtoe) for 2005-2016 
using the additive Logarithmic Mean Divisia Index (LMDI) approach 

Source: JRC 

6 

 
 
 
 
The JRC analysis indicates that, as for primary energy, the drop in final energy consumption 
for  the  2005-2016  period  was  due  to  improvements  in  final  energy  intensity  (-171,4  Mtoe), 
which  offset  the  increase  in  energy  consumption  due  to  economic  growth  (+117,4  Mtoe). 
Structural  shifts  towards  more  energy  efficient  sectors  accounted  for  a  drop  in  final  energy 
consumption of 9,1 Mtoe, while warmer winters resulted in a decrease of energy consumption 
by 13,1 Mtoe. This resulted in a drop in final energy consumption from 1174 to 1098 Mtoe 
across the EU in 2005-2016 (see Figure 4). 

In  2015-2016,  an  increase  of  +20,8  Mtoe  in  total  final  energy  consumption  was  recorded 
across  the  EU.  In  this  short  period,  the  improvements  in  intensity  (-4,6  Mtoe)  were  not 
sufficient to counterbalance the effect of economic growth (activity effect: +20,9 Mtoe) and 
colder weather (+4,5 Mtoe). 

The Odyssee-Mure analysis  shows similar trends for the 2005-2016 period.  It confirms  that 
energy  savings  played  a  major  role  in  offsetting  the  increase  in  consumption  driven  by  the 
activity  effect,  lifestyles  and  demography  over  this  period.  However,  the  significance  of 
various factors and their magnitude  are not  the same due to  differences in  the methodology 
and data used as input. Lower primary energy consumption was mainly driven by a decrease 
in final energy consumption (-85 Mtoe), but the role of efficiency improvements and changes 
in the fuel mix in power generation were also quite significant  (-75 Mtoe). Looking at final 
energy  consumption,  the  activity  effect  led  to  an  increase  of  58  Mtoe,  while  lifestyle  and 
demography accounted for an additional 32 Mtoe and 25 Mtoe, respectively. These increases 
were  offset  by  much  higher  energy  savings  between  2005  and  2016  (-163  Mtoe),  while 
structural change and weather led to a further reduction of 11 Mtoe each. 

4.1. 

Industrial sector 

The  final  energy  consumption  of  industry  in  the  EU  decreased  in  absolute  terms  from  332 
Mtoe in 2005 to 283 Mtoe in 2017 (-15 %). However, in some countries industry increased its 
energy  consumption  during  this  period,  namely  in  Hungary  (+25 %),  Malta  (+9 %),  Latvia 
(+7 %), Austria (+7 %), Belgium, Germany and Poland (by less than 5 % each). Compared to 
the previous year, the EU’s final energy consumption in industry increased by 1,6 % in 2017, 
but developments across Member States varied (11 Member States recorded a decline). The 
countries with the highest increases included Luxembourg, Poland, Denmark (around +4 %), 
Finland and Belgium (+3 %). The volume of industrial production rose by 9 % between 2014 
and 2017 (3,4 % in 2017 year-on-year), but this growth in activity was only partially reflected 
in changes in energy consumption which rose by 2 % in the same period.   

In terms of energy intensity,24  almost  all Member  States managed to  improve their industry 
performance  between  2005  and  2017,  leading  to  an  overall  reduction  in  energy  intensity  of 
22 %  in  the  EU.  Only  Hungary  (+24 %),  Greece  (+17 %)  and  Latvia  (+9 %)  increased  their 
final  energy  consumption  as  a  proportion  of  gross  value  added  (GVA)  of  their  industrial 
sector.  On  the  other  hand,  Romania,  Estonia,  Bulgaria  and  Ireland  recorded  the  biggest 
improvements (over 50 %). Looking at annual developments compared to 2016, only Greece, 
Latvia, Hungary and Cyprus recorded an increase in the energy intensity of industry in 2017, 
while all other Member States continued to improve their performance. 

24 Energy consumption relative to gross value added (GVA). 

7 

 
                                                 
4.2. 

Residential sector 

The final energy consumption of the residential sector dropped by some 9 % from 310 Mtoe 
in 2005 to 284 Mtoe in 2017. However, energy use rose by 7 % between 2014 and 2017 (with 
a -0,5% decrease in 2017). This increase was to some extent a result of colder winter weather, 
following  the  exceptionally  warm  winter  of  2014,  given  that  space  heating  energy 
consumption  accounts  for  around  2/3  of  residential  energy  consumption.  Weather-corrected 
heating energy consumption has been relatively flat since 2010, following some reductions in 
the preceding years. In 2017, the number of heating degree-days was only slightly higher than 
in  2016,  and  energy  consumption  actually  declined  by  0,5 %  year-on-year.  Although  space 
cooling  still  accounts  for  a  rather  limited  proportion  of  energy  consumption,  it  has  been 
growing fast in some countries, while the number of cooling degree-days almost doubled in 
2017 compared to 2014.25 

It  seems  that  the  wealth  effect  (reflected  among  others  by  a  higher  number  and  a  bigger 
average floor area of dwellings) and lifestyle changes (for example the increasing penetration 
of  new  small  appliances)  could  be  additional  factors  behind  the  recent  hikes  in  energy 
consumption. For public buildings, a greater level of energy comfort has been specified as one 
of the factors contributing to the increased energy consumption trend.26 

Residential  sector intensity in  terms of energy  consumption per population decreased in  the 
EU by some 12 % in 2005-2017 (it also decreased by almost 1 % in 2017 compared to 2016). 
Developments  have  not  been  uniform  across  Member  States,  though.  In  seven  countries, 
performance  deteriorated,  with  the  biggest  increases  in  intensity  recorded  in  Bulgaria 
(+20 %), Lithuania (+14 %) and Malta (+8 %). In contrast, Belgium (-26 %), Ireland (-25 %) 
and the United Kingdom (-23 %) managed to reduce their intensity the most. 

4.3. 

Services sector 

The services sector recorded the highest increase in energy consumption from 2005 to 2017 
(+4 %). This increase reflected to some extent the high growth of activity levels — the GVA 
of the services sector rose by some 19 % between 2005 and 2017. The relationship between 
rising  employment  and  energy  consumption  in  the  services  sector  is  more  evident,  with 
energy consumption rising during the period of relatively strong employment growth to 2008 
and  again  in  the  period  since  2014.  In  addition,  with  an  estimated  45 %  of  the  services 
sector’s  energy  consumption  used  for  space  heating,  winter  temperatures  also  have  a 
significant year-to-year impact on its overall consumption. 

Final  energy  intensity  in  services  improved  by  13 %  in  the  2005-2017  period.  The  biggest 
improvements  were  seen  in  Ireland,  Hungary,  Slovakia,  Austria  and  Sweden.  Compared  to 
2016,  the  EU’s  energy  intensity  improved  further  in  2017;  energy  consumption  remained 
stable while the sector’s GVA rose by some 2 %. 

Transport sector 

4.4. 
The EU’s final energy consumption in transport27 increased by 2,5 % from 369 Mtoe in 2005 
to 378 Mtoe in 2017. In 2017, 19 Member States increased their energy consumption in this 

25 Tsemekidi Tzeiranaki S., Bertoldi P (et al.) (2018), Energy consumption and energy efficiency trends in the 
EU-28 for the period 2000-2016, JRC Science for Policy Report 
26 Samuel Thomas (2018), cp. cit. 
27  Including  pipeline  transport,  contrary  to  the  approach  taken  in  COM(2015)  574  final  as  the  2020  energy 
efficiency targets do not exclude pipeline transport. 

8 

 
                                                 
sector  compared  to  2005  levels.28  Consumption  increased  significantly  (by  more  than  40 % 
since 2005) in Poland, Romania, Lithuania and Malta. In contrast, it fell by more than 10 % in 
Greece and Italy. 

The EU’s final energy consumption in transport rose by 2,5 % from 2017 to 2016, with all but 
three Member States29 reporting an increase. This hike is a continuation of the growing trend 
since 2014 — transport sector energy use rose by 7 % between 2014 and 2017. About 81 % of 
final  energy  consumption  in  transport  is  in  road  transport,  and  oil  products  (gasoline  and 
diesel)  are  by  far  the  biggest  energy  carriers  used  in  the  sector.  Aviation  accounts  for  a 
growing proportion of overall transport energy consumption, increasing by 14 % in the same 
period.  Countries  with  the  largest  year-on-year  increase  include  Poland  (+16 %),  Slovakia 
(+13 %), Croatia, Malta and Romania (+8 % each). 

The  growth  in  transport  activity  and  the  low-oil  prices  during  that  period  were  the  main 
reasons for the increasing energy consumption. The passenger transport activity increased by 
8,3 % between 2012 and 2016, following three years of decline. The increase of 3,2 % in 2016 
was  the  fastest  growth  rate  in  the  last  20  years.  The  freight  transport  activity  has  also 
increased  since  2012,  rising  by  7,9 %  until  2016.  Despite  this  upward  trend,  the  number  of 
tonne  kilometres  transported  is  still  2,4 %  lower  than  its  peak  level  in  2007.  In  addition, 
congestion, especially in big cities, has further contributed to the increased energy demand in 
the transport sector. 

There is a strong correlation between economic growth and commercial road freight transport 
demand,  while  the  relationship  between  GDP  growth  and  passenger  transport  is  more 
complicated  and  is  affected  by  a  multitude  of  factors.  Relatively  lower  fuel  prices  are  also 
reported  to  have  put  upwards  pressure  on  transport  fuel  demand,  and  the  changing 
macroeconomic  environment  has  influenced  the  relationship  between  fuel  prices  and  the 
demand for transportation in the EU over the period since 2000. Concerning the modal shift at 
EU level, changes in the proportion of different passenger transport modes used did not have 
a major impact on energy consumption in the past few years. However, the continued increase 
in air travel is exerting some upward pressure. In the freight transport, the modal shares have 
remained broadly constant over time.  

The efficiency of the light passenger vehicle segment has been improving over time and the 
rising number of new registrations has helped to improve the fuel economy of the whole fleet. 
However,  a  particularly  high  rise  in  registrations  has  been  observed  in  the  past  years  in  the 
sports  utility  vehicle  (SUV)  segment.  In  comparison  with  other  car  types,  SUVs  have 
characteristics  such  as  large  frontal  areas  and  high  drag  coefficients  that  have  a  negative 
impact on fuel consumption. According to JATO30, in Europe, SUVs accounted for 26 % of 
all passenger car sales in 2016, up from 8 % in 2007. In addition, according to  LMC31, this 
strong  upward  trend  is  expected  to  continue,  with  SUVs  reaching  34  %  of  all  European 
passenger car sales in 2020. 

28 A comparison of Member States should be undertaken with caution because final energy consumption is based 
on the fuels sold rather than the fuels used in the territory of a country. 
29 Belgium, Italy and Slovenia. 
30 Munoz, F., (2018), The global domination of SUVs continues in 2017.  
31 LMC (2018), Automotive sales, production, powertrain forecasting.  

9 

 
                                                 
State of play/ status of transposition of the EED 

5. 
In  close  cooperation  with  Member  States,  the  Commission  continues  to  monitor  the 
transposition and implementation of the EED.  

In  2018,  the  Commission  continued  the  structured  dialogue  (EU  pilot  information  requests) 
initiated  with  the  Member  States  the  previous  year  to  ensure  that  all  the  obligations  and 
requirements  under  the  EED  are  correctly  reflected  in  national  legislation  and  policy. 
Following the  assessment  of replies to  the EU pilots,  the Commission sent  letters of formal 
notice to all Member States to seek further clarification on the remaining outstanding issues. 

As concerns the obligation to report to the Commission, all national energy efficiency action 
plans that were due by the end of April 2017 were submitted, albeit several with significant 
delays. A total of 10 Member States included updates of their targets or projections for 2020 
in  their  2017  NEEAPs.  These  revised  targets  indicated  an  increase  in  the  gap  between  the 
aggregated  expected  contributions  and  the  EU  target.  The  NEEAPs  contain  detailed 
information on the energy efficiency policies and measures planned by Member States for the 
following  three-year  period  in  order  to  achieve  their  national  energy  efficiency  targets.  An 
overview  and  assessment  of  the  new  measures  and  the  use  of  different  instruments 
(regulatory, financial, taxation, energy efficiency obligation schemes) has been provided in a 
JRC report.32 This report also analyses the implementation of the energy efficiency measures 
across  different  sectors  (residential,  industry,  transport,  agriculture  and  public  sector)  and 
assesses the energy savings to be generated by the main policy initiatives and programmes. 

As  required  under  Article  24  of  the  EED,  all  Member  State  2018  annual  reports  were 
submitted  during  2018.  However,  the  timeline  of  submission  as  well  as  the  quality  and 
completeness  of  the  information  provided  could  still  be  improved.  The  JRC  analysed  these 
annual reports in 2018.33 

5.1. 

Progress under Article 7 (energy savings obligation) 

Under Article 7, Member States  have reported  achieved savings for 2014-2016;  at  EU level 
these amounted to 54 547 ktoe in cumulative terms. This is approximately 24 % of the sum of 
all cumulative energy savings required by the end of 2020, and approximately 10 % more than 
the  estimated  amount  of  savings  for  2014-2016,  assuming  a  linear  delivery  of  required 
savings.  Although  the  sum  of  the  energy  savings  at  EU  level  shows  a  higher  amount  of 
savings  for  2016,  progress  under  Article  7  should  be  considered  at  national  level:  each 
Member State should achieve its energy savings requirements by the end of 2020. 

The  analysis  shows  that  several  Member  States  are  lagging  behind  in  terms  of  achieved 
savings  for  2016,  with  Bulgaria,  Croatia,  Cyprus,  the  Czech  Republic,  Greece,  Latvia, 
Luxemburg  and  Portugal  having  achieved  less  than  60 %  of  required  savings  for  2016. 
France, Hungary, Italy, Lithuania and Spain achieved more than 80 % but are still below what 
was  required  for  2016.  On  the  other  hand,  Austria,  Belgium,  Denmark,  Estonia,  Finland, 
Germany, Ireland, Malta, the Netherlands, Poland, Romania, Slovakia, Slovenia, Sweden and 
the UK are on track or achieved more energy savings than required for 2014- 2016. 

32  Economidou,  M.,  Labanca,  N.  (et  al.)  (2019),  Assessment  of  the  Second  National  Energy  Efficiency  Action 
Plans under the Energy Efficiency Directive, JRC Science for Policy Report. 
33 Tsemekidi-Tzeiranaki, S., Labanca, N. (et al.) (2019),  Analysis of the annual reports 2018 under the Energy 
Efficiency Directive, JRC Technical Reports. 

10 

 
                                                 
In  their  latest  annual  report,  nine  countries34  communicated  that  they  had  introduced  new 
policy  measures.  Furthermore,  some  countries  updated  their  estimates  of  expected/realised 
savings for 2014 and 2015 from the previously communicated policy measures. 

Most  (approximately  one  third)  energy  savings  were  achieved  through  energy  efficiency 
obligation schemes, 23 % due to energy or CO2 taxes and 18 % because of financing schemes 
or fiscal measures. Only a minor proportion of energy savings was achieved due to labelling 
schemes and national funds. 

Figure  5.  Distribution  of  cumulative  energy  savings  in  2014-2016  per  policy  measure 
type 

Voluntary 
Agreement 
5,2% 

Training and 
Education 
1,6% 

Any other policy 
measure 
3,7% 

Standard or Norm 
12% 

Regulation 
2,6% 
Labelling Scheme 
0,0% 

Fund instead of 
EEOS 
0,2% 

Financing Scheme 
or Fiscal 
18% 

EEOS 
33% 

Energy or CO2 
taxes 
23% 

Source: Own calculations based on the 2018 national annual reports 

More than two thirds of the achieved savings (68 %) were due to cross cutting measures that 
target  different  sectors,  including  buildings.  The  remaining  energy  savings  were  achieved 
thanks  to  measures  targeting  households  (12 %)  and  transport  (9 %),  followed  by  industry 
(6 %) and the services sector (2 %). For 3 % of reported savings, the sector was unclear. 

5.2. 

Progress under Article 5 (exemplary role of buildings used by public bodies) 

When  submitting  their  2018  annual  reports,  seven  Member  States  did  not  provide  the 
requested update regarding Article 5, whilst thirteen Member States did not comply with this 
reporting obligation in  the previous  year.  Among  these, Sweden, Finland, Belgium, Greece, 
Romania  and  Malta  did  not  notify  the  Commission  of  their  achievements  for  the  last  two 
years. 

34 Bulgaria, Cyprus, Estonia, Greece, Hungary, Italy, Latvia, Portugal and Spain. 

11 

 
 
 
                                                 
Among the Member States that have chosen the default approach,35 there are six that achieved 
their  annual  targets  in  terms  of  renovated  floor  area.  These  are:  Estonia,  Spain,  Italy, 
Lithuania,  Latvia,  Luxembourg  and  Slovenia.  Among  the  Member  States  that  have 
implemented the alternative approach, six Member States achieved their annual energy saving 
targets. These are the Czech Republic, France, Croatia, Ireland, the Netherlands and Poland. 
At  the  same  time,  seven  countries  provided  relevant  data  indicating  that  they  have  fulfilled 
their cumulative targets under Article 5 for 2014-2017. These are Cyprus, Germany, Ireland, 
Croatia, Finland, Poland and the UK. 

Conclusion 

6. 
The  2017  data  show  continued  growth  of  energy  consumption  since  2014.  The  increases  in 
the last three years up to 2017 moved energy consumption slightly above the linear trajectory 
for  the  2020  targets.  While  the  2015  and  2016  winters  were  colder  than  in  2014,  which 
increased demand for space heating, it is clear that weather effects are not the sole driver of 
the recent hikes. Economic growth, increasing wealth and lifestyle changes also increased the 
demand for energy. While energy efficiency measures largely offset these effects in the past, 
because  of  delays  in  implementing  some  of  the  policies  and  fewer  new  efforts,  achieved 
savings were insufficient to reduce energy consumption. 

The  two  different  decomposition  analysis  methodologies  analysed  in  this  report  confirmed 
that energy efficiency was a key driver of the improvements in energy intensity across sectors. 
Until  recently,  these  were  sufficient  to  neutralise  the  surge  in  energy  demand  driven  by 
economic  activity,  higher  heating  and  cooling  comfort  standards,  and  changes  in  behaviour 
and  lifestyle.  However,  more  recently  the  amount  of  savings  achieved  seems  to  have 
diminished while the positive effects of activity increased. 

In this context, it has become clear that there is a need to step up efforts not only to reach the 
2020  targets  but  also  to  set  the  right  basis  for  the  subsequent  decade  when  an  even  higher 
level of ambition will be required. Additional efforts to improve energy efficiency would also 
have complementary benefits, such as lower energy bills, better health (through improved air 
quality), more comfort and less energy poverty. 

The Task Force set up by the European Commission agreed that there is a need to address the 
delivery  gap  in  achieving  the  EU  2020  targets.  A  set  of  solutions  was  identified  as  a  way 
forward.  Firstly,  it  is  necessary  to  ensure  full  implementation  of  the  existing  legislation,  as 
there  have  been  delays  in  transposing  and  implementing  both  the  Energy  Efficiency  and 
Energy  Performance  of  Buildings  Directives.  This  includes  full  achievement  of  the  energy 
savings  obligation  under  Article  7  and  meeting  the  requirement  to  carry  out  regular 
inspections under Article 14&15 of the EPBD. Furthermore, it is important to make full use of 
the remaining funding opportunities under the European Structural and Investment Funds and 
to implement additional measures at national level.  

The European Commission has intensified the exchange of information and best practice, and 
has  initiated  the  process  to  strengthen  Member  States’  market  surveillance  of  product 
efficiency requirements.  It  also aims to help Member States to build capacity for promoting 
building  renovation  in  the  public  sector,  including  through  the  use  of  energy  service 

35  Article  5  requires  Member  States  to  each  year  renovate  3 %  of  the  total  floor  area  of  heated  and/or  cooled 
buildings  over  250 m2  owned  and  occupied  by  central  government  which  do  not  meet  minimum  energy 
requirements  to  meet  at  least  the  minimum  energy  performance  requirements  (default  approach)  or  take  other 
cost-effective measures to achieve equivalent energy savings (alternative approach).  

12 

 
                                                 
contracting.  Several  measures  recently  adopted  or  in  the  pipeline  should  bring  additional 
energy  savings  in  a  slightly  longer  time  perspective  after  2020.  These  include  the  legally 
binding  national  climate  targets  2021-2030  for  sectors  like  transports  and  buildings  not 
covered by the EU Emission Trading System, recently agreed stricter CO2 standards for light 
duty  vehicles  beyond  2020,  together  with  an  improved  monitoring  system,  CO2  emission 
standards  for  new  trucks,  the  legislative  package  of  new  energy  performance  standards  and 
labelling  for  products,  and  the  strengthened  Article  7  in  the  revised  EED.  The  fact  that  the 
revised EPBD better incorporates the digital dimension will facilitate deployment of ICT and 
smart  technologies  which  are  expected  to  play  an  important  role  in  increasing  the  energy 
performance of buildings and reducing energy consumption in buildings in the coming years. 
The  improved  coordination  and  corrective  mechanisms  under  the  Regulation  for  the 
Governance  of  the  Energy  Union36  should  also  help  put  the  EU  back  on  track  in  case  of 
insufficient ambition and progress in the post-2020 period. 

The  Commission  will  continue  to  monitor  the  Member  States’  progress  towards  their 
indicative national energy efficiency targets for 2020, as well as their implementation of the 
EED. It will report on progress to the Task Force in the summer of 2019 when the preliminary 
data for 2018 will be available for assessment. 

The Commission also invites the European Parliament and the Council to express their views 
on this assessment. 

36 COM(2016) 759 final. 

13 

 
 
 
                                                 
Table 1: Overview of indicators  

*  The  ‘+’  symbol  is  used  if  Member  States  decreased  their  primary  and  final  energy 
consumption between 2005 and 2017 at a rate which is higher than the rate of decrease which 
would  be  needed  in  the  period  2005  to  2020  to  meet  the  2020  primary  and  final  energy 
consumption targets. The ‘-’ symbol is used for the other cases. FEC stands for final energy 
consumption, PEC for primary energy consumption. 

14 

Energy Intensity whole economyIndustryPEC 2005-2017 trend compared to PEC 2005-2020 trend to reach the 2020 targetFEC 2005-2017 trend compared to FEC 2005-2020 trend to reach the 2020 targetChange of PEC 2017 compared to PEC 2016 [%]Change of FEC 2017 compared to FEC 2016 [%]2005-2017 average annual change of PEC energy intensity [%]2005-2017 average change of FEC energy intensity in industry [%] 2005-2016 average annual change of FEC in residential per capita with climatic corrections [%]2005-2016 average annual change of FEC in residential per dwelling with climatic corrections [%]EU28--0,9%1,2%-2,0%-2,0%-0,5%-1,2%BE---0,3%-1,2%-1,7%-0,7%-2,4%-1,6%BG--3,7%2,5%-2,8%-5,2%2,3%0,4%CZ++0,1%2,7%-3,0%-4,6%1,1%0,0%DK-+2,1%1,3%-1,8%-1,8%0,1%-0,5%DE--0,2%0,9%-2,0%-1,6%-0,4%-0,8%EE+--4,2%1,3%-1,5%-6,0%1,2%0,0%IE-+-1,4%1,5%-4,2%-5,0%-2,6%-3,1%EL++1,2%0,3%-0,2%1,8%-0,5%-0,9%ES-+5,4%2,3%-1,5%-2,4%1,2%-1,2%FR---0,3%0,2%-1,7%-1,4%-0,6%-1,8%HR++3,5%4,3%-1,4%-1,6%0,4%-0,9%IT++0,7%-0,6%-1,3%-2,7%1,0%-0,3%CY-+4,4%5,6%-1,1%0,7%2,0%-1,9%LV++4,0%5,1%-2,1%1,4%-0,6%-1,5%LT+-2,0%5,1%-5,0%-2,0%1,7%-0,8%LU++3,5%3,6%-3,0%-1,0%-2,1%-3,8%HU+-3,1%3,9%-1,6%2,0%0,2%-0,3%MT+-12,9%6,8%-4,5%0,0%13,4%0,0%NL-+-0,4%0,9%-2,1%-1,3%-1,1%-1,8%AT--2,7%2,1%-1,1%-0,3%1,1%0,4%PL--4,5%7,0%-2,7%-3,8%1,0%-0,5%PT++4,7%2,3%-0,7%-1,1%-0,2%-1,7%RO++5,7%4,4%-4,3%-5,9%1,1%-0,8%SI++1,5%-0,3%-1,9%-3,1%0,9%0,1%SK+-5,1%7,2%-3,9%-4,9%-1,0%-1,8%FI++-1,2%0,1%-1,9%-0,5%0,0%-0,7%SE---1,6%0,6%-2,6%-1,1%-0,5%-1,0%UK++-1,6%-0,8%-3,1%-2,5%-2,2%-2,2%Source and extraction dataEurostat01/2019Eurostat01/2019Eurostat01/2019Eurostat01/2019Eurostat01/2019Eurostat01/2019JRC & Eurostat08/2018Odyssee11/2018MSResidentialShort-term trendTrend to reach the 2020 target 
 
Table 2: Overview of indicators  

15 

Services2005-2017 average change of FEC energy intensity in the service sector [%]2005-2017 average change of FEC in the transport sector [%]2016 vs. 2005 change of share of trains, motor coaches, buses and trolley buses for passenger transport [%]2016 vs. 2005 change of share of railway and inland waterways for freight transport [%]2005-2016 average annual change of heat generation from CHP [%]2005-2016 average annual change of ratio Transformation output/Fuel input of thermal power generation [%]EU28-1,0%0,2%0,3%-0,1%-1,0%0,2%BE-0,2%0,5%-1,8%0,0%6,8%0,7%BG-0,8%1,9%-11,6%8,5%0,6%0,4%CZ-2,0%1,2%2,9%-4,4%-0,8%0,4%DK-1,4%-0,1%-2,2%1,9%-1,7%1,3%DE-0,8%0,6%0,1%-2,4%-1,0%0,5%EE-0,2%1,0%-2,9%-37,0%2,6%0,0%IE-5,2%0,1%2,3%-1,0%0,0%0,9%EL1,4%-1,3%-3,6%-1,4%1,3%1,4%ES-0,1%-0,7%0,6%0,1%0,0%-0,9%FR-0,3%0,3%2,8%-0,4%-6,1%-0,1%HR-0,2%1,7%-1,0%2,7%-0,8%0,5%IT0,2%-1,3%-0,1%4,2%1,2%0,6%CY1,1%0,2%-2,2%0,0%0,0%1,0%LV-1,7%1,4%-7,8%-2,2%3,1%-0,3%LT-1,4%3,5%-0,1%5,0%-4,1%8,0%LU-0,5%-0,7%2,4%-16,0%-2,5%1,0%HU-5,0%1,0%-4,3%0,8%-6,6%-0,5%MTn.a.2,9%-2,3%n.a.0,0%1,5%NL-1,8%-0,2%2,3%1,6%-0,7%-0,1%AT-3,4%0,3%1,4%-3,0%2,8%1,0%PL-1,8%5,1%-9,2%-8,6%-1,5%0,1%PT-1,9%-0,1%0,3%5,1%4,6%-0,1%RO-1,4%3,6%-5,2%16,3%-4,3%-0,5%SI-0,9%2,3%-0,6%2,6%0,2%0,9%SK-3,5%1,8%-4,3%-7,3%0,1%0,2%FI0,2%0,4%2,4%1,8%-0,7%0,0%SE-2,9%0,6%2,3%-3,0%2,2%0,7%UK-1,8%-0,3%2,2%-2,7%0,0%0,5%Source and extraction dataEurostat01/2019Eurostat01/2019DG MOVE Pocketbook 2018DG MOVE Pocketbook 2018Eurostat08/2018Eurostat08/2018MSTransportGeneration 
 
 
 
Table 3: Overview of reported energy savings for 2016 under Article 7 (ktoe)  

New 
savings 

2016 

Total 
annual 
savings 

Progress towards the target 

Cumulative 
savings 
over 2014-
2016 

Total 
cumulative 
savings 
required by 
2020 (target) 

Progress 
towards total 
cumulative 
savings 
requirement by 
2020 

Estimated 
annual savings 
required for 
2014- 2016 

2014-2016 
compared to 
estimated 
annual savings 

Austria 

Belgium 

Bulgaria 

Croatia 

Cyprus 

Czech Republic 

Denmark 

Estonia 

Finland 

France 

Germany 

Greece 

Hungary 

Ireland 

Italy 

Latvia 

Lithuania 

Luxembourg 

Malta 

Netherlands 

Poland 

Portugal 

Romania 

Slovakia 

Slovenia 

Spain 

Sweden 

UK 

Total 

389 

226 

50 

15 

2 

150 

256 

77 

562 

943 

2 637 

40 

72 

116 

n.a. 

15 

23 

n.a. 

n.a. 

586 

n.a. 

29 

n.a. 

56 

37 

514 

n.a. 

n.a. 

1 026 

779 

99 

n.a. 

6 

310 

699 

184 

n.a. 

2 887 

4 085 

174 

292 

330 

1 908 

1 640 

178 

62 

14 

521 

1 346 

284 

4 775 

6 489 

9 943 

394 

641 

609 

1 993 

4 638 

32 

86 

14 

8 

3 416 

n.a. 

94 

667 

241 

180 

1 536 

1 505 

2 984 

58 

188 

24 

16 

5 211 

3 268 

206 

1 368 

497 

285 

3 180 

3 021 

6 208 

5 200 

6 911 

1 942 

1 296 

242 

4 882 

3 841 

610 
4 213* 
31 384 

41 989 

3 333 

3 680 

2 164 

25 502 

851 

1 004 

515 

67 

11 512 

14 818 

2 532 

5 817 
2 284** 
945 

15 979 

9 114 

27 859 

6 794 

24 633  

54 547  

230 486 

37 % 

24 % 

9 % 

5 % 

6 % 

11 % 

35 % 

47 % 

113 % 

21 % 

24 % 

12 % 

17 % 

28 % 

18 % 

7 % 

19 % 

5 % 

24 % 

45 % 

22 % 

8 % 

24 % 

22 % 

30 % 

20 % 

33% 

22 % 

24 % 

1 114 

1 481 

416 

278 

52 

1 046 

823 

131 

903 

6 725 

8 998 

714 

788 

464 

5 465 

182 

215 

110 

14 

2 467 

3 175 

543 

1 247 

489 

203 

3 424 

1 953 

5 970 

49 390 

171 % 

111 % 

43 % 

22 % 

28 % 

50 % 

163 % 

217 % 

529 % 

96 % 

111 % 

55 % 

81 % 

131 % 

85 % 

32 % 

87 % 

22 % 

112 % 

211 % 

103 % 

38 % 

110 % 

102 % 

141 % 

93 % 

155% 

104 % 

110 % 

Source: Information reported by Member States and complemented by the Commission’s calculations 
and approximations where necessary.  

16