Europe Energy Briefs – Buildings ‘Smart readiness indicator’ gains momentum

The European Commission’s ‘Smart readiness indicator’ for buildings is receiving growing attention in the lead up to its mandatory implementation.

The Smart Readiness Indicator (SRI), introduced under the European Commission’s 2024 Energy Performance of Buildings Directive (EPBD), is gaining growing traction as more and more countries – now numbering 16 – introduce it on a test basis.

Its aim to measure a building’s ability to use smart technologies, it is intended to support the decarbonisation of buildings.

Collectively these use around 40% of the energy consumed in the EU and contribute over one-third of the energy related greenhouse gas emissions, with the majority of that energy used for heating, cooling and hot water.

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Moreover, approximately two-thirds of the buildings date from before 2000 and have poor energy performance.

The Energy Performance of Buildings Directive envisages an efficient, decarbonised building stock by 2050, with consumers and businesses able to make more informed choices on the their energy consumption and ultimately to save money.

Which is where the smart readiness indicator comes in, measuring the ability to perform three key functionalities – optimising energy efficiency and overall in-use performance, adapting operation to the needs of the occupant and responding to signals from the grid, for example for enabling flexibility.

More broadly, also it is intended to raise awareness of the benefits promised by smart building technologies, such as smart thermostats, occupancy detection sensors, energy management systems and the provision of energy consumption information to occupants.

Underlying is the need for comfort, convenience and health and well being.

The indicator is calculated based on assessment of the smart ready services that a building has or could use, with these aggregated into a single score.

As such, it is complementary to but not intended to replace the energy efficiency based energy performance certificates.

A standardised approach to SRI auditing

The European Commission – with the assistance of its support team, comprised of Belgian research centre VITO and consultancies Ireland headquartered Waide Strategic Efficiency Europe, France-based R2M Solution and Trinomics from the Netherlands – has produced a package of documentation on the implementation of the SRI.

A key aspect is a standardised approach to the audit procedure for reliable and consistent assessment and this has now emerged from CEN (European Committee for Standardisation).

In a new workshop agreement document (CWA 18193:2025), CEN puts forward guidelines and a step-by-step methodology for assessing a building's smart readiness, applicable for stakeholders including energy auditors, building owners and managers, regulatory authorities and technology providers.

Other aspects covered are documentation and reporting, quality and competence requirements for auditors and the use of SRI audits and their integration into existing building management practices.

Describing the release of the document as a “major milestone”, Paris Fokaiedes, Associate Professor in the Frederick University School of Engineering in Cyprus and chair of the workshop agreement, said: “I had the privilege of leading a fantastic team of experts in developing a structured framework that establishes clear audit procedures, data collection methods, and quality requirements for assessing the smart readiness of buildings.

“This is a huge step forward in supporting the implementation of SRI across Europe and enhancing the role of smart building technologies in the energy transition.”

The CWA 18193 document is very much based on the outcomes of the EU supported Smart2 (Smart Square) project.

Alongside the release of the document, Smart2 also has launched the ‘Smart Readiness Virtual Training Centre’ platform for training on the SRI.

Implementation of the SRI

The development of the SRI has been under way since 2017, with testing starting in 2022 and set to run through 2026 prior to formal mandatory implementation starting with the largest tertiary buildings in 2027.

Testing is under way in 16 EU countries – Austria, Belgium, Bulgaria, Croatia, Cyprus, Czech Republic, Denmark, Finland, France, Germany, Greece, Italy, Poland, Portugal, Slovenia and Spain.

Of these the most recent participant, starting in March 2025, is Italy with a 12-month pilot aimed to refine the SRI framework for the national context.

Led by the Ministry of Environment and Energy Security and supported by the national energy agency ENEA, the test phase is planned to focus on assessing the state-of-the-art smart technologies available on the market, adapting the SRI service catalogue, and exploring potential integration with the energy performance certificates and the correlation between SRI scores and EPC classes.

The plan is for at least 30 buildings across different use cases and climatic zones to participate.

Alongside these, a number of EU-funded projects in addition to Smart2 – including EasySRI, SRI2MARKET and SRI-ENACT – are providing supplementary support, including refining assessment tools, standardising methodologies and training evaluators.

The European Commission has reported that early findings indicate that the SRI can help building owners assess and prioritise smart technologies that enhance building performance, while also fostering synergies between digitalisation and energy efficiency goals.

Under the recast Energy Performance of Buildings Directive, the Commission is required to report to the European Parliament and Council on the testing and implementation of the SRI by June 2026.