It’s important to help people to install heat pumps and insulate their homes.
This can be done by enabling upfront investment to kickstart the shift, especially for the less well-off.
To this end, the European Investment Bank (EIB) has €3 billion to lend to EU governments, so they can invest in heat pumps and other clean solutions today.
This is possible thanks to the upcoming price on carbon pollution from buildings and road transport – the EU’s second Emissions Trading System – which starts in 2028.
EU countries will be able to help their citizens to switch to heat pumps, and pay the bank back later with the revenues from the carbon price.
The decision by the EIB is a great opportunity for EU governments to get started, and make European buildings healthier, warmer and climate-friendly, while protecting the most vulnerable.