Key findings and recommendations

1. Nordic commitment to energy efficiency
Nordic countries are strongly committed to energy efficiency and have set ambitious national targets across various sectors, including buildings and industry. While specific targets vary by country, common objectives include reducing energy consumption, increasing renewable energy use, phasing out fossil fuels, and achieving carbon neutrality.  Additionally, the Nordic countries that are also European Union (EU) members—Denmark, Finland, and Sweden— have aligned their goals and strategies with EU initiatives and directives, such as the Energy Efficiency Directive (EED) and the Energy Performance of Buildings Directive (EPBD).

2. Targeted strategies and policies
Although the Nordic countries share common energy efficiency goals, they tailor their policies and strategies to suit their specific national contexts in the building and industry sectors. The synergistic use of informational tools, regulatory measures, financial instruments, and voluntary initiatives fosters a supportive environment that promotes widespread adoption of energy efficiency measures and ensures progress toward shared objectives. Key strategies include national building codes, mandatory energy audits in industry, financial incentives such as subsidies for heat pumps and energy renovation, tax credits, and support for technological advancements such as smart energy systems and industrial electrification.

3. Exemplary initiatives within energy efficiency
Examples of successful initiatives within energy efficiency in the Nordics include Denmark’s minimum requirement targets for energy-saving in new and existing buildings and the energy-saving scheme for energy companies, Sweden’s Halve More campaign and energy efficiency networks for small and medium-sized enterprises (SMEs), Finland’s Energy Efficiency Agreements for Industries and promotion of heat pumps, Norway’s programmes for climate and energy initiatives for industry and energy management introduction, and Iceland’s subsidy for heat pumps.

4. Barriers to energy efficiency implementation
A questionnaire conducted among key market actors, revealed persistent barriers to energy efficiency implementation. Despite a high level of policy awareness of both national and EU regulations, several challenges to energy efficiency implementation remain. Key barriers include financial constraints, short-term priorities, lack of expertise, inadequate incentives, bureaucratic complexity, low regional energy costs, and misalignment across government tiers.

5. Households’ energy behaviour in response to the energy crisis of 2021–2023
The global energy crisis of 2021–2023 exposed households to high energy prices, sparked heated public debate, and resulted in government intervention to protect households from the worst of the price shock. A survey conducted among Nordic households showed growing awareness of people’s own energy consumption in response to the crisis, with many respondents intending to continue their energy-saving efforts even if they perceive the impact as small or moderate. However, household energy behaviour varies between the Nordic countries, with socioeconomic factors and inherent preferences likely having a large impact.

1. Prioritising strategic measures towards common goals
Policy development should promote collaboration on strategic measures aligned with national and EU goals. Here, key initiatives might include energy-efficient renovation of existing buildings under the revised EPBD, replacing fossil-fuel-based heating systems with energy-efficient solutions such as heat pumps, conducting energy audits for SMEs in addition to large industrial energy consumers as mandated by the revised EED, establishing voluntary energy efficiency agreements in industry, and advancing industrial electrification. 

Clear regulations, adequate financial support, and strong sector collaboration are essential for scaling these efforts across countries.

2. Leveraging exemplary initiatives and supporting transferability
Several exemplary initiatives from Nordic countries have demonstrated success and offer transferable models for other regions. To enhance the scalability and impact of these initiatives, it is essential to address infrastructure limitations, encourage the adoption of advanced technologies, and streamline administrative processes. Additionally, fostering cross-country collaboration and knowledge exchange can support the adaptation of initiatives while ensuring they remain aligned with local policy contexts and industry needs. 

3. Addressing barriers to energy efficiency implementation
To overcome barriers to energy efficiency, increasing financial incentives, simplifying subsidies, and aligning policies across government levels is  key. Reducing bureaucratic complexity, along with using effective communication strategies and sharing case studies, could also help drive change. Additionally, performance-based incentives and early stakeholder engagement is crucial for successful adoption of energy efficiency solutions.

4. Supporting changes in households’ energy behaviour
To support the growing awareness of and efforts to save energy among Nordic households in response to the recent energy crisis, policies should focus on fostering long-term behavioural changes and measures. These could include further incentives for energy-efficient solutions along with accessible expert consultations. Since energy behaviour varies across socioeconomic groups and countries, tailored solutions may be necessary to address the specific needs of different households.

Government programs should focus on educating households, particularly vulnerable groups, and providing practical resources to make energy-saving actions easier and more cost-effective.