Owners and investors have entered a road without a guaranteed race, trying to “unblock” construction frozen due to the latest annulment decisions of the Council of State (CoE). The new Presidential Decree drafted by the Ministry of Environment and Energy is trying to resolve, but is accompanied by significant financial costs, high bureaucratic burden and a few uncertainties.
The central mechanism of the project is the so -called environmental equivalent, which is a special fee that will pay for those who want to continue the construction of buildings that have been legally canceled or afflicted. Revenue will be available from municipalities for “green” urban interventions. However, as market executives point out, the cost is deterrent and the process – which requires opinions from KESYPHA and KESSA – is extremely slow and complex.
According to market players, these are amounts that can exceed 40,000 or even 60,000 euros per case, explaining that the amount of the end depends on the fair value and use of the premises (eg lofts, roofs, etc.). As calculated, for a roof of 35 sq.m. and a loft of 100 sq.m. In a zone price of 2,000 euros, the total charge reaches up to 40,500 euros – an amount paid in advance, without a success guarantee.
Settings with expiration date
The Presidential Decree – which is in front of the CoE for approval – provides for three basic cases where they can documented work, and thus protect:
- Excavations or concrete
- Demolitions on the same plot, provided they were made by December 11th 2024
- Archaeological work.
This is a positive step, as the concept of “start” expands, allowing several building permits to be considered in force. However, as market people comment, the regulation covers a limited number of projects and leaves except for thousands of cases – especially those who had not started any work or are in off -plan areas.
Collapse of building activity
The uncertainty that has been created for months is also reflected in the data: According to ELSTAT, in February 2025, the building permits issued reduced by 22.1% compared to the same month of 2024, while in the first two months of the year the decline reaches 35% to 25.8%.
Appeals to the European Court of Justice
As the internal legal framework remains unstable, several owners and investors have already turned to appeals to the European Court of Justice, calling for a violation of the Law Security Authority. They argue that they have been unequal treatment, as they obtained building permits under the same institutional status as others, but without being protected.
“The only hope for a substantial solution is at European level,” they say. They estimate that the European Court of Human Rights (ECtHR) may request a review of the CoE case based on new criteria.