New energy law to impact property prices in Estonia over 100 years, developers say (Estonia, EU energy efficiency directive, property owners, businesses, Hannes Roosaar, residential property, commercial property, Postimees)

Estonia is set to implement a new law transposing the European Union's energy efficiency directive, introducing new obligations for property owners and businesses. The Ministry of Climate recently finalized the draft law, which aims to enhance energy performance across the nation's building stock.

Hannes Roosaar, a board member of the Estonian Real Estate Firms Association, explained the law's differentiated impact on residential and commercial properties. For residential buildings, the state plans to offer significant grants and support schemes to facilitate energy efficiency improvements.

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For residential property, the state has allocated and plans to allocate significant support and support schemes.

However, the situation differs for commercial real estate. Roosaar noted that owners of these properties will be responsible for covering all costs associated with energy efficiency measures. Consequently, implementing such measures will only be considered practical if they prove to be commercially viable. The law's effectiveness in driving upgrades will hinge on the economic feasibility for business owners.

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In the case of commercial property, the entire cost must be borne by the property owner, which is why the implementation of energy efficiency measures is only practical if they are commercially viable.