Energy efficiency: FEDIL voluntary agreement

In Luxembourg, industry accounts for around 30% of total energy consumption. In 2024, 42 of the country's largest consumers of electricity and gas took part in the initiative of FEDIL - The Voice of Luxembourg's Industry and voluntarily signed up to the agreement that has been in place since 1996.

This is a voluntary agreement between the Luxembourg Government, Klima-Agence GIE and FEDIL on improving energy efficiency and decarbonisation in Luxembourg industry.

The companies adhering to this agreement and represented by FEDIL undertake to contribute to the national objectives of reducing greenhouse gas emissions and improving energy efficiency, within the framework of their activities in the Grand Duchy of Luxembourg, through the implementation of measures aimed at reducing their greenhouse gas emissions and their energy consumption.

This agreement will be implemented in two phases:

The first phase continues the logic of the previous agreements in accordance with the provisions of this agreement. In other words, a 1.5% improvement in overall energy efficiency for all participants per year until the end of 2026 (a total improvement of 4.5% based on the 2021 - 2022 baseline).
The second phase, up to 2030, will include a target for decarbonising companies, with detailed monitoring of greenhouse gas emissions by member companies, in line with the National Integrated Energy and Climate Plan (PNEC).

To this end, they are implementing a number of actions during the period of validity of the agreement:

each member company will ensure effective energy management within its organisations;
each member company will communicate information annually to the organisation in charge of monitoring energy efficiency;
before the voluntary agreement expires, each member company will submit a report on the measures taken to decarbonise and improve its energy efficiency, as well as the corresponding savings;
each member company undertakes to carry out an energy audit;
before the voluntary agreement expires, each member company undertakes to take part in the exchange of best practice in energy saving organised by FEDIL and Klima-Agence;
each member company must undertake to subscribe to training courses in the field of energy efficiency and/or decarbonisation with a competent training centre;
each member company is obliged to consult one or more electricity or natural gas suppliers acting as obliged parties at least once a year.

In return for the effort made and the fulfilment of all the above requirements, companies can benefit from a number of advantages, including those authorised under European Directive 2003/96/EC on the taxation of energy products and electricity during the first phase, as well as the support of Klima-Agence through a working agreement concluded with FEDIL. A new legal basis will set the framework for future compensatory measures for the second phase of the agreement.