RED III Transposition Tightens Incentives for Biomass Heating Systems

RED III Transposition Tightens Incentives

Italy: With the transposition of the RED III Directive published in the Official Gazette, incentives for replacing gas systems with stoves and fireplaces have been halted, while boilers remain eligible only under much stricter conditions aimed at minimizing particulate emissions. The Directive sets a new renewable energy target for buildings at 40.1% by 2030 and introduces obligations even when heating systems are replaced, alongside a significant squeeze on biomass use. The policy favors durable biomass products over combustion, which is now considered residual and limited to materials without alternative uses, and introduces mandatory environmental certification, without which incentives will not be granted. The changes respond to concerns over air pollution, as domestic heating accounts for 43% of PM10 emissions in Lombardy, 44% in Turin, and 39% of particulate matter and 45% of carbon monoxide in Emilia-Romagna, where wood burning exceeds vehicular traffic impacts. While modern five-star stoves can cut emissions by 70% compared to two-star models, around 70% of existing systems are still obsolete, prompting tighter rules to balance replacement goals with air quality protection.

Under the new framework, incentives remain available for replacing old biomass systems with new-generation boiler stoves or fireplace boilers of the same category, provided they achieve at least 87% hearth efficiency and use certified wood or pellets, but bonuses are no longer allowed for replacing gas boilers with biomass stoves, as policy priority shifts toward heat pumps. Biomass boilers can still access incentives only if they meet five-star certification, emit less than 1 mg/Nm³ of primary particulate matter, include hot water storage of at least 20 liters per kW of power, and use pellets certified under UNI EN ISO 17225-2, with certification details required on invoices. Mandatory maintenance every two years is required throughout the incentive period. A limited exemption applies to agricultural and forestry companies in areas without gas networks, allowing replacement of LPG boilers with biomass if particulate emissions are reduced by at least 50% compared to five-star levels. The new rules apply to all interventions starting from 3 August.

Source: La Repubblica