Date: 2025-11-06Category: Not ApplicableState: Union GovernmentCountry: Europe
Decision of the EEA Joint Committee No 174/2025 of 11 July 2025 amending Annex II (Technical regulations, standards, testing and certification) and Annex IV (Energy) to the EEA Agreement [2025/2110]
**Executive Summary**
This is a summary of the EEA Joint Committee Decision No. 174/2025 of 11 July 2025. It amends Annex II (Technical regulations, standards, testing and certification) and Annex IV (Energy) to the EEA Agreement by incorporating Directives 2012/27/EU and (EU) 2018/2002 on energy efficiency. The decision was adopted on 11 July 2025 and enters into force on 12 July 2025, pending notifications under Article 103(1) of the EEA Agreement.
**Key Points / Main Content**
* **Incorporation of EU Directives:**
* Directives 2012/27/EU and (EU) 2018/2002 on energy efficiency are incorporated into the EEA Agreement.
* Directive 2004/8/EC is repealed under the EEA Agreement.
* **EFTA States Adaptations:**
* EFTA States are not included in the EU energy efficiency headline targets for 2020 and 2030 but should set national indicative energy efficiency targets for 2030.
* **Iceland Specific Adaptations:**
* Derogations for Iceland are made to ensure cost-effective implementation, considering its energy system and renewable geothermal energy use.
* Obligations on minimum energy performance in buildings shall follow from national legislation in Iceland due to its exemption from Directive 2010/31/EU.
* Iceland should achieve new energy savings each year from 1 January 2021 to 31 December 2030 equivalent to 0.24% of final energy consumption.
* Articles related to natural gas metering and billing do not apply to Iceland.
* Certain articles regarding cogeneration do not apply to Iceland.
* Articles 9a and 9c shall not apply to district heating systems in Iceland with fewer than 1 500 end-users.
* **Other Adaptations:**
* Additional flexibility in the application of Articles 5 and 20 of Directive 2012/27/EU has been agreed.
**Impact Analysis**
**EFTA States (Norway, Iceland, Liechtenstein)**
* **Impact:** Subject to the amended EEA Agreement regarding energy efficiency, with specific adaptations for Iceland.
* **Action Required:** Set national indicative energy efficiency targets for 2030 (Norway and Liechtenstein). Implement changes according to the adaptations outlined in the decision (Iceland).
**Iceland**
* **Impact:** Subject to specific derogations due to its unique energy circumstances.
* **Action Required:** Implement changes as required by national legislation and the specific derogations outlined in the decision.
Key Entities Referenced
EEA Agreement: Agreement on the European Economic Area. This Decision amends Annexes II and IV of this agreement.
Directive 2012/27/EU: European Parliament and Council Directive on energy efficiency. The Decision incorporates this directive into the EEA Agreement.
Directive (EU) 2018/2002: European Parliament and Council Directive amending Directive 2012/27/EU on energy efficiency. The Decision incorporates this directive into the EEA Agreement.
Iceland: The Decision contains several derogations and special considerations for Iceland regarding energy efficiency regulations.
EFTA States: European Free Trade Association states. The Decision outlines indicative national energy efficiency targets.
Official Journal EN
of the European Union L series
2025/2110 6.11.2025
DECISION OF THE EEA JOINT COMMITTEENo 174/2025
of 11 July 2025
amending Annex II (Technical regulations, standards, testing and certification) and Annex IV
(Energy) to the EEA Agreement [2025/2110]
THE EEA JOINT COMMITTEE,
Having regard to the Agreement on the European Economic Area (“the EEA Agreement”), and in particular Article 98
thereof,
Whereas:
(1) Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy efficiency,
amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC(1)is to be
incorporated into the EEA Agreement.
(2) Directive (EU) 2018/2002 of the European Parliament and of the Council of 11 December 2018 amending
Directive 2012/27/EU on energy efficiency(2)is to be incorporated into the EEA Agreement.
(3) The EFTA States are not included in the EU energy efficiency headline target of 20% energy savings by 2020. Article 3
of Directive 2012/27/EU should apply to the EFTA States except for the provisions in Article 3(1)(a) and 3(5).
(4) The EFTA States are not included in the EU energy efficiency 2030 headline targets of at least 32,5%. Article 1(1) of
Directive 2012/27/EU, as amended by Directive (EU) 2018/2002, should therefore not apply to the EFTA States. The
EFTA States should instead set national indicative energy efficiency targets for 2030.
(5) The derogations for Iceland aim to ensure that energy efficiency measures are implemented in a cost-effective and
appropriate manner to its situation with an isolated and nearly fossil-free energy system, with high levels of security
of supply and energy independence. Iceland has an extensive deployment of renewable geothermal energy with
special characteristics, which inter alia makes it necessary for Iceland to derogate from certain requirements as
regards metering in Articles 9a, 9b and 9c.
(6) Article 5 of Directive 2012/27/EU refers to minimum energy performance standards contained in Article 4 of
Directive 2010/31/EU on the energy performance of buildings. Iceland is exempt from applying
Directive 2010/31/EU in accordance with Decision of the EEA Joint Committee No 135/2022. Therefore,
obligations on the minimum energy performance in buildings shall follow from national legislation in Iceland.
(7) Iceland has a disproportionally high share of energy intensive industry resulting in a savings obligation that is several
times higher than the EU average. 88 % of primary energy in Iceland is renewable and the cost of electricity and heat
is low, implying fewer cost optimal savings. Therefore, in accordance with Article 7(1), Iceland should achieve new
energy savings each year from 1 January 2021 to 31 December 2030 equivalent to 0,24% of final energy
consumption averaged over the most recent three-year period prior to 1 January 2019.
(8) Iceland has no natural gas infrastructure and is exempt from Directive 2009/73/EC on the internal market for natural
gas in accordance with Decision of the EEA Joint Committee No 93/2017. Therefore, Articles 9 and 10 of
Directive 2012/27/EU as regards metering for natural gas and billing information for natural gas should not apply to
Iceland.
(1) OJ L 315, 14.11.2012, p. 1.
(2) OJ L 328, 21.12.2018, p. 210.
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(9) Directive 2004/8/EC on the promotion of cogeneration based on a useful heat demand in the internal energy market
does not apply to geothermal cogeneration as regards Iceland in accordance with Decision of the EEA Joint
Committee No 151/2006. Articles 14 and 15 of Directive 2012/27/EU regarding cogeneration, as amended by
Directive (EU) 2018/2002, correlate to the Articles regarding cogeneration in Directive 2004/8/EC. Iceland already
covers 90% of total heat demand with geothermal energy and continues to promote the development of geothermal
cogeneration within its national legal framework wherever technically feasible. Therefore, Articles 14 and 15 shall
not apply to geothermal cogeneration as regards Iceland.
(10) Additional flexibility in the application of Articles 5 and 20 of Directive 2012/27/EU has been agreed. In
Article 20(5), the reference to Article 5(1) should be replaced by a reference to Article 5 to allow the obligations of
the whole Article 5 to be fulfilled by contributions to a fund.
(11) Directive 2012/27/EU repeals Directive 2004/8/EC(3), which is incorporated into the EEA Agreement and is
consequently to be repealed under the EEA Agreement.
(12) Annexes II and IV to the EEA Agreement should therefore be amended accordingly,
HAS ADOPTED THIS DECISION:
Article 1
The following is added in point 6 (Directive 2009/125/EC of the European Parliament and of the Council) of Chapter IV of
Annex II to the EEA Agreement:
‘, as amended by:
— 32012 L 0027: Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 (OJ L 315,
14.11.2012, p. 1).’
Article 2
Annex IV to the EEA Agreement is amended as follows:
1. The text of point 24 (Directive 2004/8/EC of the European Parliament and of the Council) is replaced by the
following:
‘32012 L 0027: Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012 on energy
efficiency, amending Directives 2009/125/EC and 2010/30/EU and repealing Directives 2004/8/EC and 2006/32/EC
(OJ L 315, 14.11.2012, p. 1), as amended by:
— 32018 L 2002: Directive (EU) 2018/2002 of the European Parliament and of the Council of 11 December
2018 (OJ L 328, 21.12.2018, p. 210).
The provisions of the Directive shall, for the purposes of this Agreement, be read with the following adaptations:
(a) Articles 1(1) and 3(1)(a) and third subparagraph of Article 7(1) shall not apply to the EFTA States.
(b) In Article 3(5), the following subparagraph shall be added:
“Each EFTA State shall set a national indicative energy efficiency target for 2030, based on either primary or
final energy consumption, or energy intensity, as part of its respective integrated national energy and climate
plan in accordance with Articles 3 and 7 to 12 of Regulation (EU) 2018/1999.”
(c) In Article 5(1), the words “, or, as regards Iceland, obligations in accordance with national legislation in Iceland”
shall be inserted after the words “Article 4 of Directive 2010/31/EU”.
(3) OJ L 52, 21.2.2004, p. 50.
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(d) In point (b) of Article 7(1), the following sentence shall be added:
“By way of derogation from the requirement in the first sentence of this point, Iceland shall achieve new savings
each year from 1 January 2021 to 31 December 2030 equivalent to 0,24% of annual final energy consumption,
averaged over the most recent three-year period prior to 1 January 2019.”
(e) Article 9 shall not apply to Iceland as regards metering for gas.
(f) In Article 9a(1), the words “, or the equivalent energy consumption as regards Iceland” shall be inserted after
the words “actual energy consumption”.
(g) Articles 9a and 9c shall not apply to district heating systems in Iceland with fewer than 1 500 end-users.
(h) Article 9b shall not apply to Iceland.
(i) Article 10 shall not apply to Iceland as regards billing information for gas.
(j) In Article 20(5), the reference to Article 5(1) shall be replaced by a reference to Article 5.
(k) Articles 14 and 15 shall not apply to Iceland as regards geothermal cogeneration.”
2. The following is added in point 26 (Directive 2009/125/EC of the European Parliament and of the Council):
‘, as amended by:
— 32012 L 0027: Directive 2012/27/EU of the European Parliament and of the Council of 25 October 2012
(OJ L 315, 14.11.2012, p. 1).’
Article 3
The texts of Directives 2012/27/EU and (EU) 2018/2002 in the Icelandic and Norwegian languages, to be published in the
EEA Supplement to the Official Journal of the European Union, shall be authentic.
Article 4
This Decision shall enter into force on 12 July 2025, provided that all the notifications under Article 103(1) of the EEA
Agreement have been made(*).
Article 5
This Decision shall be published in the EEA Section of, and in the EEA Supplement to, the Official Journal of the European
Union.
Done at Brussels, 11 July 2025.
For the EEA Joint Committee
The President
Kristján Andri STEFÁNSSON
(*) Constitutional requirements indicated.
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Declaration by the EFTA States
to Decision No 174/2025 incorporating Directive 2012/27/EU of the European Parliament and of the
Council into the EEA Agreement
The incorporation of Directive 2012/27/EU of the European Parliament and of the Council into the EEA Agreement
extends the common regulatory framework of measures to promote energy efficiency to the EFTA States. The EFTA States
are not included in the EU energy efficiency headline target. However, the EFTA States have set the following respective
indicative national energy efficiency targets:
— The Icelandic Government has set a national target of 25% more efficient energy use by 2030 than in 2015. The
target is expressed as a cross-sectoral objective of reducing energy intensity i.e. the ratio of energy consumption
(final) to real GDP in PPS adjusted terms. The indicator is part of the energy forecast that is published annually by the
Environment and Energy Agency of Iceland.
— On 6 November 2020 the Liechtenstein Parliament (Landtag) adopted its Energy Strategy for 2030 setting a national
energy efficiency target of 20% compared to 2008. Central elements of the efficiency increase in the period up to
2030 are building renovations, highly efficient new buildings and efficiency improvements in lighting, motor drives
and domestic appliances. Both electric heat pumps for heat supply and the electrification of transport will lead to a
significant substitution of fossil fuels in the future. Reporting on the achievement of objectives takes place annually
(as part of a monitoring report for the attention of Parliament).
— The Norwegian Parliament (Storting) has set a national target of 30% more efficient energy use by 2030 than in 2015
(Government Bill St. 25 (2015-2016)). The target is expressed as a cross-sectoral objective of reducing energy
intensity i.e. the ratio of energy input (primary) to real GDP. The Ministry of Energy provides annual reporting on
the target in the Report to the Storting (white paper) on the National Budget.
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