Position Paper
11.04.2025

Enabling Renewable Gases in Buildings with Green Contracts

Read the full position paper here.

The revised Energy Performance of Buildings Directive (EPBD), together with the revised Energy Efficiency Directive (EED) are the foundation of the EU's plan to decarbonise its building stock, which today is responsible for about 40% of the energy consumed and produces one third of the EU's energy-related GHG emissions. The Commission is expected to present different Implementing Acts and Guidance Documents to support Member States to prepare for the full implementation of these two Directives.

The EPBD already enables the sustainable solution of using existing infrastructure, which can be injected with biomethane molecules - virtually indistinguishable from natural gas. Yet, in this case a question arises: how can consumers prove that they are using this renewable alternative to heat their homes?

One possible solution is the introduction of 'green contracts,' which have already been introduced in Denmark, France, Germany and the Netherlands. With these, consumers have the option to decide whether to pay a premium for buying market-based renewable energy certificates which demonstrate the origin and sustainability of renewable gas that is used. Green contracts also complement energy-efficiency measures.

To make green contracts a reality, Member States should support the increase of biogas/biomethane production, at least in a first moment, financially but also legally, by cutting red tape and speeding up permitting processes. The availability of biomethane in the grid will allow the cost-efficient decarbonisation of building stock.

Read more from our position paper below.