Published by Global Banking & Finance Review®
Posted on March 27, 2025
2 min readLast updated: January 24, 2026
Add as preferred source on GoogleThe EU is reviewing energy laws to reduce regulatory burdens, aiming to enhance competitiveness. Changes may affect energy efficiency and renewable energy directives.
By Kate Abnett
BRUSSELS (Reuters) - The European Commission is considering changes to EU energy laws as part of its next package of proposals to cut the regulatory burden for struggling industries, sources familiar with the matter told Reuters.
Brussels has launched a drive to remove layers of bureaucracy that European businesses say set them at a disadvantage against China and the United States, where the Trump administration is aggressively rolling back regulation.
After publishing a first wave of so-called "simplification omnibus" proposals last month to pare back sustainability reporting rules, the Commission is now assessing ways to simplify EU energy policies, five sources with knowledge of the plans said.
The discussions are at an early stage, but could form part of an omnibus package to curb the regulatory burden for small and mid-cap companies due in April. However, two of the sources said this package is expected to be delayed until May.
Three of the sources said the EU's energy efficiency directive was among the policies being assessed.
The directive sets binding targets for the bloc to curb its energy consumption. It requires companies to audit their energy use, and larger firms must put in place plans to manage their consumption.
One of the sources said the Commission is also looking at potentially simplifying one of the bloc's main climate change policies, its renewable energy law, which sets binding targets for countries to expand their use of renewable energy.
A European Commission spokesperson declined to comment on whether the next omnibus package would target Europe's energy rules.
The drive to cut red tape has strong backing from industries, which complain that regulations are a drain on competitiveness and resources, diverting funds away from investments in innovation.
But the plans have been criticised by some investors, left-leaning lawmakers and campaigners, who said the first wave of omnibus proposals would gut corporate accountability and are creating an unstable investment environment by upending recently-agreed laws.
(Reporting by Kate Abnett; Additional reporting by Julia Payne; Editing by Kirsten Donovan)
The article discusses the EU's consideration of changes to energy laws to reduce regulatory burdens and enhance competitiveness.
The EU's energy efficiency directive and renewable energy law are among the policies being assessed.
The changes aim to reduce regulatory burdens and improve competitiveness against global markets like the US and China.
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