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Serbia advances energy efficiency laws to meet EU standards, faces challenges in district heating and housing

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Serbia has updated its energy efficiency legislation over the past three years to align with European Union regulations, marking significant progress on its path toward EU integration. Implementation of these laws has begun, but key challenges remain, particularly in district heating systems and residential housing.

A primary focus for district heating plants is to eliminate the use of polluting energy sources such as fuel oil and coal, which currently account for 20% of thermal energy production. The deadline for this transition is the end of 2026. Dr. Branislava Lepotić Kovačević, president of the Serbian Energy Law Association, explains that district heating must be decarbonized by incorporating 50% renewable energy, achieving 50% energy efficiency through cogeneration, and utilizing 75% waste heat. The ultimate goal, in line with EU targets for 2050, is for district heating to rely entirely on renewable energy sources or waste heat.

Another key requirement is the implementation of billing based on actual consumption. Of the 60 district heating plants in Serbia, only 17 currently charge customers based on their usage, while the others must expedite the transition to this model. Dr. Dejan Ivezić, professor at the Faculty of Mining and Geology in Belgrade, highlights that consumption-based billing incentivizes residents to insulate their homes better, reduce heating needs, and ultimately lower their energy bills.

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In the housing sector, energy performance certificates for buildings must be audited. These certificates detail energy consumption for heating, cooling, lighting, hot water, air conditioning, and ventilation, providing transparency for both users and regulators. Dr. Maja Todorović, professor at the Faculty of Mechanical Engineering in Belgrade, emphasizes that this step aligns Serbia with European directives and benefits consumers by clarifying energy efficiency standards.

The EU continuously expands its directives on energy efficiency, monitoring member states closely. Countries that fail to meet energy renovation targets for buildings face penalties, underscoring the importance of compliance.

Serbia’s efforts reflect its commitment to meeting EU energy efficiency standards, although significant work remains to fully modernize district heating and residential energy consumption systems.

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