What the Belgian and Flemish coalition agreements could mean for projects to 2029

The Belgian federal and Flemish coalition agreements 2024-2029 contain specific measures that will affect projects across construction and real estate, energy and environment permitting.

Construction and real estate

• Sale of unused government assets.
• 6% value-added tax rate for demolition and reconstruction.
• Update of the Act Breyne (for new and renovated homes).
• Simple majority for energy renovations in co-ownership buildings.
• Implementation of the EU Emissions Trading Scheme 2 (carbon tax) for buildings and transport.
• Access to the energy performance certificate databases for banks.
• Pioneering role for the Regie der Gebouwen-Régie des Bâtiments in greening its buildings via DBFMO (design, build, finance, maintain and operate) agreements.
• Full energy efficient renovation obligation for non-residential buildings in Flanders.
• Ombudsman service for the construction sector.

Energy

• Investment in new hydrogen infrastructure.
• Extension of the construction time for offshore wind farms in the Princess Elizabeth zone to five years.
• Revaluation of the offshore energy island in its current form.
• Implementation of the Renewable Energy Directive III, including use of hydrogen to reach RFNBO (renewable fuels of non-biological origin) target.
• Reassessment of the Energy Charter Treaty and its link with decarbonization.
• Reducing the excise duty on electricity for businesses to the European minimum.
• Lowering electricity transmission tariffs for energy intensive industries.

Environment permitting

• Update of the Offshore Marine Spatial Plan (cumulative impact assessments or CIA zones);
• Restoring 20% of marine areas by 2030 and balance economic activities with biodiversity protection in the North Sea.
• Update of the Flemish Instruments Decree.
• Update of the Flemish Blue deal (climate adaptation).
• Roll-out of Flemish Agricultural Biodiversity Management Agreements.
• Phase-out of PFOS (perfluorooctanesulfonic acid) and PFOA (perfluorooctanoic acid) .
• Accelerated removal of asbestos.
• Reduction of harmful pesticides and biocides.
• Update of the waste management policies by improving the traceability of waste and supporting the circular economy.
• Qualifying misleading sustainability claims or greenwashing as a violation of the Belgian Economic Code.

Osborne Clarke comment

Aside from reflecting the different political points of view of the parties of the different Belgian governments, these measures overall aim to strengthen the Belgian economy and industry, while also continuing the path of health, sustainability and decarbonisation. They are in line with the EU Green Deal as well as the EU Clean Industrial Deal.

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