The Social Climate Fund will have a total budget of €4.7 billion, with the majority of resources allocated to the energy renovation of residential buildings, alongside targeted investments in housing. The implementation of the Fund’s actions is scheduled to take place from 2026 to 2032.
The National Social Climate Plan (NSCP) stands as one of the country’s most ambitious and socially focused initiatives to combat energy poverty.
A core component of the NSCP is the large-scale energy renovation of private residences, with an allocated budget of approximately €2 billion. The objective is to provide meaningful support to more than 300,000 energy-vulnerable households. Key measures include:
- Subsidies for upgrades to building envelopes and heating systems, such as thermal insulation, heat pumps, and photovoltaic installations;
- Free issuance of Energy Performance Certificates for individuals unable to bear the associated costs;
- Reform of the “Energy Efficiency” program, with streamlined procedures and a specific focus on vulnerable populations;
- Targeted subsidies for the replacement of energy systems, offered as a distinct option for those not opting for full-scale renovations;
- Renovation of vacant properties, with the condition of long-term leasing to vulnerable groups and students.
In addition, more than €250 million from the Fund will be allocated to address the mounting housing pressures experienced by vulnerable households. This intervention aims to offset the inadequacies of the current social housing framework by financing:
The construction and renovation of social housing units by the State and local authorities, offered at rents significantly below prevailing market rates;
Comprehensive energy upgrades of 12 public student housing facilities, benefitting over 4,000 students;
The establishment of registries for available housing units and eligible beneficiaries, ensuring transparency and precise targeting of support measures.
Finally, the plan provides for the support of approximately 10,000 micro-enterprises, through subsidies totaling €300 million for building and equipment upgrades. These investments aim to enhance energy efficiency and reduce dependence on fossil fuels. Priority will be given to disadvantaged and colder regions to ensure equitable regional distribution of resources.
