Proposal for a COUNCIL DECISION on the position to be adopted, on behalf of the European Union, within the EEA Joint Committee concerning an amendment to Annex IV (Energy) to the EEA Agreement (RED II)
Date: 2025-06-13
Institutions: European Commission, Secretariat-General
Subjects: EEA Joint Committee, European Economic Area, air conditioning, energy consumption, energy efficiency, energy saving, environmental standard, heat pump, renewable energy, revision of an agreement

EN 

  EN 

   EUROPEAN COMMISSION  Brussels, 13.6.2025  COM(2025) 312 final 2025/0164 (NLE)  Proposal for a COUNCIL DECISION on the position to be adopted, on behalf of the European Union, within the EEA Joint Committee concerning an amendment to Annex IV (Energy) to the EEA Agreement  (RED II)   (Text with EEA relevance)  
 
EXPLANATORY MEMORANDUM 

1. 

SUBJECT MATTER OF THE PROPOSAL 

This  proposal  concerns  the  decision  establishing  the  position  to  be  adopted  on  the  Union's 
behalf  in  the  EEA  Joint  Committee  in  connection  with  the  envisaged  adoption  of  the  Joint 
Committee Decision concerning an amendment of Annex IV (Energy) to the EEA Agreement 

2. 

CONTEXT OF THE PROPOSAL 

2.1. 

The EEA Agreement 

The  Agreement  on  the  European  Economic  Area  (‘the  EEA  Agreement’)  guarantees  equal 
rights and obligations  within the Internal Market  for  citizens  and  economic  operators in the 
EEA.  It provides  for  the  inclusion  of  EU  legislation  covering  the  four  freedoms  throughout 
the 30 EEA States comprising of EU Member States, Norway, Iceland and Liechtenstein. In 
addition,  the  EEA  Agreement  covers  cooperation  in  other  important  areas  such  as  research 
and  development,  education,  social  policy,  the  environment,  consumer  protection,  tourism 
and  culture,  collectively  known  as  “flanking  and  horizontal”  policies.  The  EEA  Agreement 
entered into force on 1 January 1994. The Union together with its Member States is a party to 
the EEA Agreement. 

2.2. 

The EEA Joint Committee 

The EEA Joint Committee is responsible for the management of the EEA Agreement. It is a 
forum  for  exchanging  views  linked  to  the  functioning  of  the  EEA  Agreement.  Its  decisions 
are  taken  by  consensus  and  are  binding  on  the  Parties.  The  responsibility  for  coordinating 
EEA matters on the EU side is with the Secretariat General of the European Commission.  

2.3. 

The envisaged act of the EEA Joint Committee 

The  EEA  Joint  Committee  is  expected  to  adopt  the  EEA  Joint  Committee  Decision  (‘the 
envisaged act’) regarding the amendment of Annex IV (Energy) to the EEA Agreement. 

The  purpose  of  the  envisaged  act  is  to  incorporate  into  the  EEA  Agreement  Commission 
Delegated Regulation (EU) 2022/759 as regards a methodology for calculating the amount of 
renewable energy used for cooling and district cooling1 and Directive (EU) 2018/2001 on the 
promotion of the use of energy from renewable sources2. 

The envisaged act will become binding on the parties in accordance with Articles 103 and 104 
of the EEA Agreement.  

3. 

POSITION TO BE TAKEN ON THE UNION'S BEHALF 

The  Commission  submits  the  annexed  draft  Decision  of  the  EEA  Joint  Committee  for 
adoption  by  the  Council  as  the  Union’s  position.  The  position,  once  adopted,  should  be 
presented in the EEA Joint Committee at the earliest possible opportunity. 

1 

2 

Commission  Delegated  Regulation  (EU)  2022/759  of  14  December  2021  amending  Annex  VII  to 
Directive (EU) 2018/2001 of the European Parliament and of the Council as regards a methodology for 
calculating the amount of renewable energy used for cooling and district cooling, OJ L 139, 18.5.2022, 
p. 1. 
Directive (EU) 2018/2001 of the European Parliament and of the Council of 11 December 2018 on  the 
promotion of the use of energy from renewable sources, OJ L 328, 21.12.2018, p. 82, as corrected by 
OJ L 311, 25.9.2020, p. 11 and OJ L 41, 22.2.2022, p. 37.  

EN 

1 

  EN 

 
 
The  annexed  draft  Decision  of  the  EEA  Joint  Committee  includes  adaptations  for  the  EEA 
EFTA  States  as  outlined  in  the  recitals  and  adaptations  text  in  the  annexed  draft  Joint 
Committee Decision, which go beyond what can be considered mere technical adaptations in 
the  sense  of  Council  Regulation  (EC)  No  2894/943.  The  Union  position  shall  therefore  be 
established by the Council. 

4. 

LEGAL BASIS 

4.1. 

Procedural legal basis 

4.1.1.  Principles 

Article 218(9) of the Treaty on the Functioning of the European Union (TFEU) provides for 
decisions establishing ‘the positions to be adopted on the Union’s behalf in a body set up by 
an  agreement,  when  that  body  is  called  upon  to  adopt  acts  having  legal  effects,  with  the 
exception of acts supplementing or amending the institutional framework of the agreement.’ 

The concept of ‘acts having legal effects’ includes acts that have legal effects by virtue of the 
rules of international law governing the body in question. It also includes instruments that do 
not  have  a  binding  effect  under  international  law,  but  that  are  ‘capable  of  decisively 
influencing the content of the legislation adopted by the EU legislature’4. 

4.1.2.  Application to the present case 

The  EEA  Joint  Committee  is  a  body  set  up  by  an  agreement,  namely  the  EEA  Agreement. 
The  act,  which  the  EEA  Joint  Committee  is  called  upon  to  adopt,  constitutes  an  act  having 
legal  effects.  The  envisaged  act  will  be  binding  under  international  law  in  accordance  with 
Articles 103 and 104 of the EEA Agreement.  

The  envisaged  act  does  not  supplement  or  amend  the  institutional  framework  of  the 
Agreement. Therefore, the procedural legal basis for the proposed decision is Article 218(9) 
TFEU in conjunction with Article 1(3) of Council Regulation (EC) No 2894/94. 

4.2. 

Substantive legal basis 

4.2.1.  Principles 

The  substantive  legal  basis  for  a  decision  under  Article  218(9)  TFEU  in  conjunction  with 
Article  1(3)  of  Council  Regulation  (EC)  No  2894/94  depends  primarily  on  the  substantive 
legal basis of the EU legal act to be incorporated into the EEA Agreement.  

If  the  envisaged  act  pursues  two  aims  or  has  two  components  and  if  one  of  those  aims  or 
components  is  identifiable  as  the  main  one,  whereas  the  other  is  merely  incidental,  the 
decision  under  Article  218(9)  TFEU  must  be  founded  on  a  single  substantive  legal  basis, 
namely that required by the main or predominant aim or component. 

4.2.2.  Application to the present case 

Since  the  Joint  Committee  Decision  incorporates  into  the  EEA  Agreement  Commission 
Delegated Regulation (EU) 2022/759 and Directive (EU) 2018/2001, it is appropriate to base 
this  Council  decision  on  the  same  substantive  legal  base  as  the  act  that  is  incorporated. 
Therefore, the substantive legal basis of the proposed decision is Article 194(2) of the TFEU. 

3 

4 

Council Regulation (EC) No 2894/94 of 28 November 1994 concerning arrangements for implementing 
the Agreement on the European Economic Area, OJ L 305, 30.11.1994, p. 6. 
Judgment  of 
ECLI:EU:C:2014:2258, paragraphs 61 to 64.  

the  Court  of  Justice  of  7  October  2014,  Germany  v  Council,  C-399/12, 

EN 

2 

  EN 

 
4.3. 

Conclusion 

The legal basis of the proposed decision should be Article 194(2) TFEU, in conjunction with 
Article 218(9) TFEU and Article 1(3) of Council Regulation (EC) No 2894/94. 

5. 

PUBLICATION OF THE ENVISAGED ACT 

As  the  act  of  the  EEA  Joint  Committee  will  amend  Annex  IV  (Energy)  to  the  EEA 
Agreement, it is appropriate to publish it in the Official Journal of the European Union after 
its adoption. 

EN 

3 

  EN 

 
 
2025/0164 (NLE) 

Proposal for a 

COUNCIL DECISION 

on the position to be adopted, on behalf of the European Union, within the EEA Joint 
Committee concerning an amendment to Annex IV (Energy) to the EEA Agreement 

(RED II) 

(Text with EEA relevance) 

THE COUNCIL OF THE EUROPEAN UNION, 

Having  regard  to  the  Treaty  on  the  Functioning  of  the  European  Union,  and  in  particular 
Article 194(2) in conjunction with Article 218(9) thereof, 

Having  regard  to  Council  Regulation  (EC)  No  2894/94  of  28  November  1994  concerning 
arrangements  for  implementing  the  Agreement  on  the  European  Economic  Area5,  and  in 
particular Article 1(3) thereof, 

Having regard to the proposal from the European Commission, 

Whereas: 

(1) 

(2) 

(3) 

(4) 

(5) 

5 
6 
7 

8 

The Agreement on the European Economic Area6 ('the EEA Agreement') entered into 
force on 1 January 1994. 

Pursuant to Article 98 of the EEA Agreement, the EEA Joint Committee may decide 
to amend, inter alia, Annex IV (Energy) to the EEA Agreement. 

Commission  Delegated  Regulation  (EU)  2022/759  as  regards  a  methodology  for 
calculating the amount of renewable energy used for cooling and district cooling7 and 
Directive  (EU)  2018/2001  on  the  promotion  of  the  use  of  energy  from  renewable 
sources8 should be incorporated into the EEA Agreement. 

Several  provisions  of  Directive  (EU)  2018/2001  require  substantive  adaptations  that 
reflect the specificities of the EEA Agreement and of the EFTA States.  

Since the Union’s binding renewable energy target does not apply to the EFTA States, 
the Union target set out in Article 3(1) of Directive (EU) 2018/2001 should not apply 
to EFTA States. That Article was therefore adapted accordingly. However, the EFTA 

OJ L 305, 30.11.1994, p. 6. 
OJ L 1, 3.1.1994, p. 3. 
Commission  Delegated  Regulation  (EU)  2022/759  of  14  December  2021  amending  Annex  VII  to 
Directive (EU) 2018/2001 of the European Parliament and of the Council as regards a methodology for 
calculating the amount of renewable energy used for cooling and district cooling (OJ L 139, 18.5.2022, 
p. 1). 
Directive (EU) 2018/2001 of the European Parliament and of the Council of 11 December 2018 on the 
promotion of the use of energy from renewable sources (OJ L 328, 21.12.2018, p. 82), as corrected by 
OJ L 311, 25.9.2020, p. 11 and OJ L 41, 22.2.2022, p. 37.  

EN 

4 

  EN 

 
 
 
 
(6) 

(7) 

(8) 

(9) 

(10) 

States  set  out  in  a  voluntary  manner  their  national  indicative  targets  for  renewable 
energy,  as  set  out  in  the  Declaration  of  EFTA  States  attached  to  the  EEA  Joint 
Committee Decision. Consequently, the EFTA States should not be part of the Union 
renewable development  platform nor partake in  statistical  transfers with  the Member 
States. Article 8 of Directive (EU) 2018/2001 should therefore not apply to the EFTA 
States. 

Given  the  Iceland’s  remote  geographical  location  and  related  challenges  with 
calculating  gross  final  consumption  of  energy  in  relation  to  the  amount  of  energy 
consumed  in  aviation,  the  same  threshold  as  that  granted  to  Cyprus  and  Malta  in 
Article 7 of Directive (EU) 2018/2001, should apply to Iceland. 

As  regards  the  permit-granting  procedures  set  out  in  Article  16  of  Directive  (EU) 
2018/2001, the Joint Committee Decision takes into account the particular obligations 
of  Norway  to  consult  the  Sami  people,  so  to  ensure  that  the  time  periods  for  the 
permit-granting  process  referred  to  in  Articles  16(4),  16(5)  and  16(6)  od  Directive 
(EU) 2018/2001 may be extended for up to one year. 

The EFTA States should follow the Union policy with respect to mutual recognition of 
guarantees  of  origin  with  third  countries  set  out  in  Article  19(11)  of  Directive  (EU) 
2018/2001.  Accordingly,  they  should  not  recognise  guarantees  of  origin  issued  by  a 
third  country  unless  the  Union  has  concluded  an  agreement  with  that  third  country, 
and  the  criteria  set  out  in  that  Article  are  met.  Article  19(11)  of  Directive  (EU) 
2018/2001 was therefore adapted accordingly. 

Since Norway and Iceland have high shares of renewable electricity and Norway uses 
that  electricity  predominantly  for  heating  purposes  while  Iceland  covers  its  heating 
demand  from  either  renewable  geothermal  sources  or  renewable  electricity,  it  is 
appropriate to adapt the calculation methods relating to the mainstreaming of heating 
and cooling set out in Article 23 of Directive (EU) 2018/2001. 

 Furthermore, it is currently not possible for Liechtenstein to apply Articles 25 to 31 of 
Directive  (EU)  2018/2001  on  renewable  energy  in  the  transport  sector  and 
sustainability requirements for renewable fuels, given that policy on fuels is regulated 
in  the  regional  union  of  Liechtenstein  with  Switzerland.  Therefore,  a  temporary 
derogation  should  be  granted  to  Liechtenstein,  taking  into  account  that  it  applies 
within  that  regional  union  a  system  of  increasing  biofuels  based  on  a  CO2 
compensation mechanism with a target of 23% applicable since 2024. The derogation 
should  apply  only  until  Directive  (EU)  2018/2001  as  amended  by  Directive  (EU) 
2023/2413 has been incorporated in the EEA Agreement. 

(11)  Annex IV (Energy) to the EEA Agreement should therefore be amended accordingly. 

(12)  The position of the Union within the EEA Joint Committee should therefore be based 

on the attached draft Decision, 

HAS ADOPTED THIS DECISION:  

The position to be adopted, on behalf of the Union, within the EEA Joint Committee on the 
proposed  amendment  of  Annex  IV  (Energy)  to  the  EEA  Agreement,  shall  be  based  on  the 
draft decision of the EEA Joint Committee attached to this Decision. 

Article 1 

EN 

5 

  EN 

This Decision shall enter into force on the date of its adoption. 

Done at Brussels, 

Article 2 

For the Council 
The President 

EN 

6 

  EN