Efficiency Act loses effect

German Business Initiative for Energy Efficiency warns against weakening key instruments in the amended Energy Efficiency Act

21.04.2026

Source: E & M powernews

The Energy Efficiency Act is being amended. Deneff sharply criticizes the latest draft. It would systematically undermine control mechanisms.

Having already warned of a weakening of the Energy Efficiency Act (EnEfG), the German Business Initiative for Energy Efficiency (Deneff) is now taking things a step further: The planned changes "threaten to systematically undermine central control mechanisms of energy policy and thus make Germany even more dependent on imported, expensive and insecure energy sources", Deneff has now announced.

In its criticism, Deneff refers to the draft bill to amend the Energy Efficiency Act (EnEfG), which has been undergoing consultation with associations and the federal states since mid-April (we reported). Criticism has focused in particular on the removal of binding savings contributions from the federal and state governments. According to Deneff, these have so far formed the basis for central funding programs in buildings and industry. At the same time, established efficiency standards are to be significantly weakened. "The amendment is not a simplification, but a structural dismantling that creates considerable uncertainty," said Christian Noll, Managing Director of Deneff.

Without efficiency improvements since 2000, energy consumption would be 13 percent higher today and import dependency would be more than 80 percent instead of around two thirds, the initiative calculates. With the planned removal of the savings obligations, the mechanism that systematically lowers energy consumption and reduces dependencies would be lost. Deneff is particularly critical of the following points in the draft:

  • Public sector: according to Deneff, the savings target for the public sector will be lowered, municipalities will be largely exempt and energy management systems will be weakened from an obligation to a target regulation. This means that the state, of all things, is losing its steering and role model function.
  • Companies: The threshold value for energy management systems is to rise from 7.5 to 23.6 million kWh. Around 7,800 companies would be exempt from the obligation. At the same time, large energy consumers will be exempted from the obligation to implement plans. This means that a significant proportion of industrial energy consumption will no longer be systematically addressed, according to criticism.
  • Waste heat and data centers: The obligations to avoid and use waste heat are to be replaced by cost-benefit analyses. Among other things, this would effectively devalue the waste heat register, according to Deneff. Deneff also considers it unwise to reduce efficiency requirements for data centers in particular.


Although the efficiency targets remain in place, key instruments for their implementation are being weakened or removed, the efficiency association concludes. At the same time, EU regulations require additional national measures. According to Deneff, this not only increases the target gap, but also the risk of rising costs, inefficient management and EU penalties.

The planned reduction and softening of savings obligations and exemptions for local authorities jeopardize efficiency potential and the exemplary role of the public sector. The association is therefore calling for adjustments. In Deneff's opinion, binding savings obligations, energy management system (EnMS) obligations and an annual refurbishment quota of 3 percent should be consistently implemented.

The Deneff statement on the draft bill of the Energy Efficiency Act (EnEfG) as PDF.

Author: Heidi Roider