The directive sets out rules for the energy performance of both new and existing buildings. Member States will have to take measures to achieve these requirements at "cost-optimal levels".
Higher standards for new buildings
All buildings put up from the end of 2020 must have high energy-saving standards and, to a large extent, use renewable energy. Public authorities' building projects are to lead the way two years earlier. Part of the funding for these changes will come from the EU budget.
Upgrading of existing buildings
Where feasible the energy performance of existing buildings will have to be improved during major renovations. When renovating, owners will be encouraged to install "smart meters" and replace heating, hot-water plumbing and air-conditioning systems with high-efficiency alternatives such as heat pumps. Regular inspections of boilers and air conditioning systems will be required.