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21 January 2026
New policy brief on energy poverty published
Policy brief explains energy poverty in EU law for national stakeholders
A new policy brief, produced by the Energy Poverty Nexus project, explains how EU legislation on energy poverty is evolving and what this means in practice for Member States. As energy poverty is becoming a structural component of the EU’s energy transition agenda, national authorities face growing responsibilities to ensure that the clean energy transition is socially fair and inclusive.
Recent EU legislation introduces stronger and more explicit obligations to identify, protect and support households affected by energy poverty. Rising energy prices, inefficient buildings and the extension of carbon pricing to buildings have reinforced the need for coordinated action across energy, housing and social policy. The challenge today is no longer a lack of rules, but how these rules are implemented on the ground.
The policy brief unpacks how four key EU legislative instruments, the Energy Efficiency Directive, the Energy Performance of Buildings Directive, the Social Climate Fund and the Electricity Market Design reform, interact to form a coherent framework. It organises this framework around four interlinked dimensions that can help national authorities understand how to approach and tackle energy poverty.
First, definition and policy priority: Member States are required to identify households affected by energy poverty and prioritise them across National Energy and Climate Plans, Building Renovation Plans and Social Climate Plans. Energy poverty is no longer treated as a marginal social issue, but as a structural element of EU energy policy.
Second, protection: the framework strengthens safeguards for households at risk, including protection against electricity disconnections, safeguards against rent increases and evictions following renovation, and measures to cushion short-term price impacts. These protections aim to ensure that the transition does not create new social vulnerabilities.
Third, participation: EU legislation now requires the structured involvement of civil society, social actors, national and local authorities and experts in policy design, delivery and monitoring. Participation is essential to ensure that measures reflect lived realities and effectively reach those most in need.
Finally, funding and support: targeted investment rules under the Energy Efficiency and Buildings Directives are combined with the Social Climate Fund, the EU’s first funding instrument dedicated to addressing energy and transport poverty. Delivery tools such as one-stop shops and local intermediaries play a crucial role in turning funding into real impact.
The policy brief concludes with practical recommendations for national authorities, focusing on coordinated permanent governance structures, better data sharing, simplified access to support and strong, enforceable protection measures. By implementing EU requirements in a coherent and strategic way, and with the support of stable governance structures and evidence-based decision making, Member States can ensure that the clean energy transition is not only quick but also fair.
Have questions? Get in touch!
Dimitra Drakaki
T. +32 2 400 1059
E. d.drakaki@climatealliance.org
