2026

Download the PDF The revised Energy Performance of Buildings Directive (EPBD) and the Energy Efficiency Directive (EED) introduce new energy performance standards and targets for the rate and depth of building renovations. These measures aim to align the sector with the EU’s decarbonisation pathway toward climate neutrality by 2050, but such efforts risk being undermined if, once completed, renovations fail to achieve the expected energy savings and reductions in CO₂ emissions. Drawing on country assessments and stakeholder consultations in Bulgaria, Romania, Poland, and Croatia, a newly released OUR-CEE guide provides a set of measures for national and local policymakers to address underperformance in public building renovations.  The measures reflect barriers and enabling factors identified across the region and are structured to cover all stage of the renovation process: financing, planning, implementation, and monitoring. Author’s Insights: "Closing the energy performance gap requires action at every stage—from how projects are financed and planned, to how they are implemented and monitored. We need to link funding to real, verified energy savings, invest in data and skills at the local level, and ensure that performance is tracked after renovations are completed. Only then can public buildings truly lead the transition to a climate-neutral future." - Aura Oancea Lead author Aura Oancea Team Lead Supporting authors Armand Niculescu-Faur Researcher For further details and media inquiries, please contact Aura Oancea: aura.oancea@epg-thinktank.org This paper was written as part of the OUR-CEE project, supported by the European Climate Initiative (EUKI) of the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety (BMUKN).

Download the PDF This study outlines the inputs needed to assess both the implementation and socio-economic impacts of carbon management (CM) technologies in Just Transition regions.  It suggests that CM technologies could play a significant role in supporting some of Romania’s Just Transition regions by enabling emissions reductions, as well as maintaining industrial activity and safeguarding employment in regions reliant on heavy industry. Romania is well placed to advance these solutions, given the concentration of hard-to-abate sectors in these regions and favourable geological conditions for CO₂ storage.    Author’s Insights: "Given the economic vulnerability of Just Transition countries, carbon management could offer a viable decarbonisation pathway while supporting the transformation of local industrial bases. To ensure effective and equitable implementation, the deployment pathway should be guided by governance and strategic alignment; planning, financing, and phased rollout; workforce transition and local capacity, and community engagement and equitable benefit. The assessment shows that carbon management should be integrated in decarbonisation strategies for Just Transition regions. However, its full climate, social and economic potential remains insufficiently recognised. This is partly due to limited local awareness and technical understanding, combined with weak coordination between local and central authorities. Moreover, as highlighted in the Capacity Gaps Assessment, the lack of political commitment, both centrally and locally, further constrains the integration of CM into regional transition planning. These findings point to the need for clearer strategic direction and coordinated action to ensure that CM can effectively support the objectives of a just transition." - Ioana Maria Vasiliu Lead author Ioana Maria Vasiliu Former SeniorResearcher Supporting authors Daria Sorescu Research Assistant For further details and media inquiries, please contact Ana-Maria Niculicea: ana.niculicea@epg-thinktank.org This paper was written as part of the GreenHorizon CEE Project: Industrial Carbon Management for a Sustainable Future in CEE. The project is funded by the European Climate Initiative (EUKI) of the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety (BMUKN). 

Download the PDF This study analyses the Zero-Emission Building (ZEB) standard and the mandatory calculation and disclosure of Life-Cycle Global Warming Potential (GWP) for new buildings within the EU's Energy Performance of Buildings Directive (EPBD). The new extensive body of legislation was created to achieve an energy efficient, sustainable, and decarbonised building stock by 2050.  EPG experts argue that the provisions for new buildings significantly expand on what constitutes a “sustainable” building. While energy use and carbon emissions from buildings’ operation remain a central concern, the new regulatory framework adds a wider perspective, which includes circularity, renewable energy sources, and whole-life carbon impacts. Author's Conclusion: “The study identifies several levers for policy development at the national level, essential to strengthen the implementation of the EU policy framework to improve the prospects of a sustainable building sector.   These include expanding spatial boundaries of assessment to set limits to the construction of ZEB buildings against national and local carbon budgets; developing cross-sectoral municipal planning frameworks to enable ZEB compliance, particularly in dense urban areas; addressing demand through sufficiency-oriented measures; and building public and stakeholder acceptance around such measures.”  – Aura Oancea Autor principal Aura Oancea TeamLead Coautor Radu Dudău Co-founder & President For further details and media inquiries, please contact Aura Oancea at: aura.oancea@epg-thinktank.org

Descarcă PDF-ul Noul Op-Ed EPG prezintă o radiografie a situației sectorului siderurgic românesc, care s-a confruntat în ultimii cinci ani cu o serie de provocări, cât și cazul Liberty Steel Galați, singurul producător de oțel primar din România. Prețurile ridicate și volatile la energie, presiunea decarbonizării, accesul inegal la finanțare și ajutoare de stat, competiția neloială cu producători din Asia și tarifele comerciale impuse de SUA au afectat grav producția siderurgică. Unele combinate și-au suspendat activitatea, iar altele au trecut prin procese de restructurare sau schimbări de proprietari. Autoarele subliniază importanța stimulării cererii de oțel cu emisii reduse, inclusiv prin proiecte de infrastructură cu rol dual, ca fiind esențială pentru a susține transformarea și revitalizarea bazei industriale existente. Concluziile autoarei: "Ultimii ani au fost extrem de dificili pentru industria siderurgică din România, iar evenimentele din următoarele luni, de la vânzarea combinatului de la Galați până la deciziile privind susținerea sectorului, vor fi decisive pentru viitorul oțelului românesc. Sectorul siderurgic este esențial pentru industriile apărării, navale, auto și construcțiilor. Viitorul acestuia depinde de tranziția către tehnologii curate și de asigurarea unei cereri stabile pentru produsele rezultate. Statul are un rol important în ambele direcții, atât prin facilitarea accesului la finanțare pentru modernizare, cât și prin stimularea unei cereri predictibile pentru oțel cu emisii reduse de carbon, în special prin achizițiile publice pentru marile proiecte de infrastructură." – Sabina Strîmbovschi Autor principal Sabina Strîmbovschi TeamLead Coautor Mara Bălașa Senior Associate Pentru detalii suplimentare și solicitări media, vă rugăm să o contactați pe Sabina Strîmbovschi la: sabina.strimbovschi@epg-thinktank.org

Descarcă PDF-ul Noul Op-Ed EPG susține că prosperitatea și securitatea pe termen lung a Uniunii Europene (UE) depind de renunțarea la dependența structurală de importurile de combustibili fosili. Autorul evidențiază modul în care crizele energetice recurente (de la șocul petrolier din 1973 până la recentele creșteri ale prețurilor la petrol și gaze) au scos la iveală vulnerabilitatea Europei față de piețele volatile de hidrocarburi și furnizorii guvernați de o geopolitică incertă.  Deși UE a redus dependența de energia rusească după criza din 2022, aceasta continuă să depindă puternic de importuri de petrol și gaze, plătind aproximativ de trei ori mai mult pentru gazul natural decât industria din Statele Unite. Pentru a evita repetarea acestor șocuri energetice, UE trebuie să depășească diversificarea pe termen scurt și să adopte o strategie energetică europeană unitară, care să accelereze electrificarea economiei, să consolideze parteneriatele cu vecini de încredere și să dezvolte lanțuri valorice interne în domeniul tehnologiilor curate. Concluziile autorului: „Spre deosebire de anii 1970, când țările au reacționat individual, această criză necesită un salt către o integrare europeană mai profundă. Diversificarea furnizorilor de combustibili fosili este doar o soluție temporară; răspunsul pe termen lung constă în accelerarea electrificării. UE ar trebui să valorifice accesul la piațăpentru a construi capacități interne în domeniul tehnologiilor curate și pentru a-și consolida – nu a-și slăbi – arhitectura climatică, inclusiv prin reforme ale ETS pentru a gestiona mai bine volatilitatea prețurilor, în timp ce mecanismele de protecție împotriva relocării emisiilor de carbon ar trebui să devină instrumente de investiții. Consolidarea apărării europene riscă să fie în zadar dacă nu se abordează vulnerabilitățile economice persistente. Istoria arată că cei care se adaptează în timpul crizelor se poziționează pentru viitor, în timp ce cei care se opun schimbării rămân vulnerabili la provocările recurente.” – Mihnea Cătuți Autor Mihnea Cătuți DirectorExecutiv Pentru detalii suplimentare și solicitări media, vă rugăm să-l contactați pe Mihnea Cătuți.: mihnea.catuti@epg-thinktank.org

Download the PDF This Op-Ed argues that the European Union’s long-term prosperity and security depend on breaking its structural dependence on imported fossil fuels. It highlights how recurring energy crises (from the 1973 oil shock to the recent surge in oil and gas prices) have exposed Europe’s vulnerability to volatile commodity markets and suppliers whose political trajectories are uncertain at best. While the EU has reduced its reliance on Russian energy since the 2022 crisis, it still relies heavily on imported oil and gas and pays about three times more for natural gas than industries in the United States. To avoid repeating past energy shocks, the EU should move beyond short-term diversification and pursue a more integrated energy strategy that accelerates electrification, strengthens partnerships with reliable neighbours, and builds domestic clean-technology supply chains. Author’s Conclusion: "Unlike the 1970s, when countries responded individually, this crisis demands a leap in deeper European integration. Diversifying fossil fuel suppliers is only a temporary solution; the long-term answer lies in accelerating electrification. The EU should leverage market access to build domestic clean tech capacity and strengthen—not weaken—its climate architecture, including reforms to the ETS to better manage price volatility, while carbon leakage tools should become investment instruments. Strengthening European defense risks being in vain without addressing its persistent economic vulnerabilities. History shows that those who adapt during crises position themselves for the future, while those who resist change remain vulnerable to recurring challenges.” – Mihnea Cătuți Author Mihnea Cătuți ExecutiveDirector For further details and media inquiries, please contact Mihnea Cătuți: mihnea.catuti@epg-thinktank.org

Download the PDF This study analyses how citizens, local communities, industry, civil society, and public authorities in Romania understand and evaluate carbon management technologies, in particular carbon capture and storage (CCS), considered among the relevant solutions for reducing emissions in hard-to-abate industrial sectors.    The analysis is based on a national survey, focus groups, and interviews with relevant stakeholders. These methods provide an integrated picture of public awareness. They also show how citizens perceive the risks and benefits, and under what conditions these technologies could gain social acceptance.  Author’s Insights: "The level of public awareness regarding CCS remains low, but when citizens receive clear and accessible explanations, they tend to show openness to these technologies. Acceptance depends not only on understanding the technology, but also on trust in institutions and the transparency of decision-making. Even technically sound CCS projects may face resistance if communication is insufficient or perceived as lacking credibility. The study also indicates that the feasibility and social acceptance of CCS are closely linked to clearly defined institutional roles, effective coordination between national and local authorities, and adequate administrative capacity. Citizens and local stakeholders primarily assess CCS in terms of tangible economic impacts such as jobs, industrial competitiveness, and regional development - while concerns focus on cost distribution, possible energy price increases, and the ability of institutions to manage projects transparently. Overall, Romania appears to be at an early but favourable stage, where perceptions of CCS are still forming and can be positively shaped through effective governance and proactive communication." – Ioana Maria Vasiliu Lead author Ioana Maria Vasiliu SeniorResearcher Supporting authors Daria Sorescu Research Assistant Sabina Ghiță Research Assistant For further details and media inquiries, please contact Ioana Maria Vasiliu: ioana.vasiliu@epg-thinktank.org This paper was written as part of the GreenHorizon CEE Project: Industrial Carbon Management for a Sustainable Future in CEE. The project is funded by the European Climate Initiative (EUKI) of the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety (BMUKN). 

On 16 July 2025, the European Commission launched the negotiations on the EU’s next long-term budget by publishing its proposal for the 2028–2034 Multiannual Financial Framework (MFF). The MFF remains the EU’s main financial tool for turning common political goals and priorities into concrete investments, providing the stability and coordination of spending essential for some EU policy objectives. The proposal for the future financial plan, worth EUR 1.98 trillion, equivalent to 1.26% of the EU’s Gross National Income (GNI), marks a significant restructuring of EU spending, shifting from programme- to policy-based budgeting and from cost- to performance-based funding. This shift is framed as a response to geopolitical instability, intensified global competition, economic uncertainty, as well as the EU’s commitment to decarbonise its economy by 2050. Therefore, greater budgetary flexibility is designed to allow the Union to respond more quickly to unexpected shocks and emerging priorities, reducing the rigidity that has characterised previous frameworks and thereby adapting more effectively to shifting policy priorities. With the Commission aiming to “maximise the impact of every euro”, security, competitiveness and a successful transition are elevated from supporting objectives to core budgetary priorities, reflecting the political salience of issues regarding EU strategic autonomy and resilience. However, this shift raises important questions about increased centralisation, the potential erosion of traditional cohesion objectives, and the uneven capacity of Member States to operate within a more demanding, performance-driven framework. These tensions are particularly relevant for Central and Eastern European (CEE) Member States, whose economies remain reliant on energy-intensive industries. Those sectors have already been feeling the strain of rising energy prices, while tight public budgets are limiting the ability of governments to cushion the impact through state aid. Facilitating industrial transformation in this region is important not only for meeting climate goals but especially for maintaining economic resilience, stimulating competitiveness and growth, and maintaining social cohesion. Therefore, the success of the next MFF in contributing to the EU’s industrial ambitions also depends on its ability to drive investment in CEE. The new budget proposal offers instruments that could address these needs, especially through novel funding programmes. At the same time, the proposal offers no credible mechanism for advancing common industrial goals and no corrective instruments for addressing the Single Market distortions caused by state aid leveraged to support industrial production in some Member States.  Download the full Commentary The authors thank the two reviewers, Mihnea Cătuți and Sabina Strîmbovschi, for their valuable feedback, which significantly contributed to the development of this commentary. Sabina Ghiță, EPG Research Assistant Sabina is a Research Assistant in the Clean Economy Department, working primarily on Industrial Carbon Management. She recently graduated from a research Master’s programme in Behavioural Economics at the University of Bucharest and is interested in technologies that can combat climate change. Before joining the Clean Economy Department, Sabina worked as a Strategy & Transactions Junior at EY, assisting with financial due diligence evaluations and market analyses. Contact: sabina.ghita@epg-thinktank.org

The Cohesion Policy, often described as the European Union’s (EU) main investment instrument within its Multiannual Financial Framework (MFF), seeks to promote balanced development across Member States by reducing economic, social, and territorial disparities between regions. It accounts for roughly one third of the 2021-2027 EU MFF, with €392 billion allocated to the design and implementation of targeted projects. The Central and Eastern Europe (CEE) countries are among the main beneficiaries, due to existing structural and historical deficiencies, including lower levels of economic development, weak infrastructure connectivity, and a high share of less developed regions. There are four main funds that make up the Cohesion Policy:   The Just Transition Fund (JTF) supports regions most affected by the transition to climate neutrality. The European Regional Development Fund (ERDF) supports the social and economic development of regions. The Cohesion Fund (CF) finances environmental and transport investments in lower-income Member States. The European Social Fund Plus (ESF+) aims to support jobs and create a fair and inclusive society in EU countries. The latest mid-term review of the Cohesion Policy expands the policy's emphasis from its long-term goal of addressing regional inequality toward a more flexible approach aligned with immediate needs arising from recent crises (the COVID-19 pandemic and the war in Ukraine). While the increasing flexibility of Cohesion Policy spending may be seen as potentially diluting its core objective, it also offers CEE countries an opportunity to capitalise on available funding and redirect resources towards strategic priorities such as defence, competitiveness and decarbonisation, by channelling investments in industrial transformation, dual-use infrastructure and energy-related investments. These amendments could therefore open up opportunities to support industrial transformation in CEE, where industry accounts for 21%-33% of national GDP. Two of the main challenges faced by heavy industry in CEE countries are rising energy costs and tight public budgets, leading to delayed investment in industrial modernisation and decarbonisation. In this context, the mid-term review may offer an opportunity to redirect funding to these pressing needs. Download the full Commentary The authors thank the two reviewers, Mihnea Cătuți and Sabina Strîmbovschi, for their valuable feedback, which significantly contributed to the development of this commentary. Izabela Manea, EPG Research Assistant Izabela Manea is a Research Assistant in the Data Analytics department, focusing her efforts on infographics and data storytelling to make research reports more accessible and impactful. With an academic background in Sociology, she is currently pursuing a Master’s degree in Public Policy and Administrative Management at the University of Bucharest. Her core interests lie in policy making, particularly within the domains of environmental policy, sustainability, and good governance. Contact:izabela.manea@epg-thinktank.org

Romania's updated NECP represents an improvement in coherence and ambition, but its effectiveness is constrained by delayed formal adoption and persistent delivery and governance risks. Methodological robustness and transparency remain uneven, raising potential credibility and implementation concerns particularly in the LULUCF sector. Romania’s transition strategy remains strongly anchored in its traditional energy security strengths, yet relies heavily on a limited number of large-scale projects, increasing exposure to execution, financing, and political continuity risks. Emerging transition-era vulnerabilities, such as supply chain dependencies, critical raw materials, circularity, and climate resilience are insufficiently integrated into the NECP’s risk framework. Household affordability constitutes a structural and binding constraint on implementation, with existing measures fragmented and not yet consolidated into a coherent, long-term affordability strategy. System reliability risks are shifting toward electricity networks, flexibility, and resilience, but the NECP lacks operational sequencing and clarity on infrastructure readiness. Public support for climate objectives remains broadly robust, particularly when framed around energy security, but willingness to pay is limited and highly sensitive to fairness and cost distribution. The NECP’s contribution to reducing energy and climate security risks will depend on moving from planning to delivery, strengthening system-level resilience, and embedding affordability and social acceptance as core enablers rather than secondary considerations.  Download the full report The author has also written a Policy Brief about Romania's trajectory in securing its energy and climate transition under the NECP. Download the policy brief Ioana Vasiliu, EPG Senior Researcher Ioana Maria Vasiliu is Senior Researcher within the Clean Economy Department at EPG, where she leverages her extensive expertise in climate policy. She holds a bachelor’s degree in public administration management and a post-university diploma in sustainable development, both from the Economic Academy of Bucharest.   Before joining EPG, Ioana worked as a European Affairs Advisor in the Climate Strategies and Reporting Department at the Romanian Ministry of Environment, Waters and Forests, where she was responsible for developing policies aimed at reducing greenhouse gas emissions and enhancing climate resilience. Contact: ioana.vasiliu@epg-thinktank.org The "Fostering Ambitious NECPs in CEE" project is part of the European Climate Initiative (EUKI) of the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety (BMUKN). The opinions put forward in this study are the sole responsibility of the author and do not necessarily reflect the views of the German Federal Ministry for the Environment, Climate Action, Nature Conservation and Nuclear Safety.

Convenția UNCCD definește deșertificarea ca fiind degradarea terenurilor în zone aride, semi-aride și subumede uscate, ca urmare a unor factori precum variațiile climatice și activitățile umane. Ea presupune pierderea sau reducerea productivității biologice și economice a solului, vegetației și ecosistemelor din aceste regiuni, afectând pășunile, terenurile agricole și pădurile. În esență, deșertificarea înseamnă transformarea terenurilor productive în terenuri degradate, cu impact direct asupra resurselor de apă și asupra calității vieții locale și regionale.  Deșertificarea este atât o consecință, cât și o cauză a schimbărilor climatice: temperaturile mai ridicate, secetele și alte fenomene meteorologice extreme intensifică degradarea solului. Terenurile devin astfel mai vulnerabile la eroziune, inclusiv din cauza inundațiilor. La rândul său, deșertificarea are un efect negativ asupra climei: degradarea solului generează emisii de gaze cu efect de seră, iar solurile degradate au o capacitate redusă de a reține carbonul.  În România, deșertificarea are implicații asupra vieții cotidiene a populației rurale, echilibrului economic și coeziunii sociale. Regiunile Sud-Est, Sud-Muntenia și Sud-Vest Oltenia se află în prima linie a impactului climatic. Zonele cele mai afectate includ județele Mehedinți, Olt, Giurgiu, Călărași, Teleorman, Ilfov (inclusiv București), Constanța și Tulcea. Acestea se confruntă cu un număr crescut de zile cu temperaturi ridicate și lipsă de precipitații, ceea ce amplifică deficitul de apă din sol și contribuie la procesele de aridizare3 și deșertificare. De asemenea, zonele marcate în roșu deschis și portocaliu închis indică arșiță severă sau ridicată, reflectând extinderea impactului și către alte teritorii din sudul și sud-estul țării. Astfel, se confirmă tendințele climatice, respectiv extinderea treptată și intensificarea aridizării în aceste zone, care accentuează vulnerabilitatea ecosistemelor și comunităților locale.   Analiza de față își propune să aducă în atenție deșertificarea ca o problemă multidimensională: socială, economică și de mediu. Scopul este de a oferi o perspectivă integrată asupra fenomenului, evidențiind riscurile sistemice pe care le implică și propunând recomandări care să sprijine dezvoltarea durabilă a zonelor afectate.   Impactul socio-economic al acestui fenomen se manifestă mai ales în comunitățile rurale dependente de agricultura de subzistență, unde se suprapun condițiile climatice extreme, o structură economică fragilă și un acces redus la infrastructură. Agricultura, principala sursă de venit pentru numeroase gospodării, înregistrează scăderi semnificative de productivitate, ceea ce limitează perspectivele economice și accentuează vulnerabilitatea locală. Lipsa alternativelor viabile de venit agravează situația, generând presiuni economice tot mai mari.  Accentul este pus pe impactul deșertificării asupra categoriilor sociale vulnerabile, adesea cele mai expuse efectelor schimbărilor climatice, din cauza unor factori precum sărăcia, accesul limitat la resurse, dependența de agricultura de subzistență și capacitatea redusă de adaptare la aceste efecte.   Descarcă analiza Ioana Vasiliu, EPG Senior Researcher Ioana Maria Vasiliu is Senior Researcher within the Clean Economy Department at EPG, where she leverages her extensive expertise in climate policy. She holds a bachelor’s degree in public administration management and a post-university diploma in sustainable development, both from the Economic Academy of Bucharest.   Before joining EPG, Ioana worked as a European Affairs Advisor in the Climate Strategies and Reporting Department at the Romanian Ministry of Environment, Waters and Forests, where she was responsible for developing policies aimed at reducing greenhouse gas emissions and enhancing climate resilience. Her work reflects a strong focus on climate change, sustainable development and international cooperation.  Notably, Ioana played a key role in formulating Romania’s national position on EU climate legislation, helping align the country’s climate goals with broader EU objectives. She actively participated in expert-level EU negotiations, advocating for Romania’s specific needs and ensuring they were represented in final policies. She also coordinated Romania’s climate-focused efforts during its accession to the OECD, representing the country in key working groups, including the Environment Policy Committee, the Working Party on Climate, Investment and Development, and the Inclusive Forum on Carbon Mitigation Approaches.  She also played a role in preparing international reports on Romania’s environmental performance, such as the UNECE Environmental Performance Reviews and the OECD Economic Surveys 2024, with a focus on decarbonizing Romania’s industry and the EU report on Strengthening cultural heritage resilience for climate change – Where the European Green Deal meets cultural heritage and she contributed to the development of the UNIDO Strategy for Climate Change.  In addition to international work, Ioana supported significantly the development of Romania’s National Strategy for Adaptation to Climate Change, the National Strategy for Disaster Risk Reduction and the Climate Change Strategy for Ministry of National Defense. She also served as Romania’s rapporteur for Articles 17 and 19 of EU Regulation 2018/1999.  Further, as a member of the interministerial Working Group for the Social Climate Fund, Ioana provided recommendations to address energy poverty and the socio-economic impacts of Romania’s green transition. She also contributed to the review and amendment of Romania’s Emergency Ordinance 64/2011, ensuring it remained aligned with EU legislation and national priorities.  Contact: ioana.vasiliu@epg-thinktank.org