What the Presidential Decree Entails for the New Building Regulation

The Ministry of Environment and Energy submitted, two weeks after proposing an amendment to align legislation with the jurisprudence of the Council of State regarding the use of incentives under the New Building Code (NBC), a draft Presidential Decree (PD) to the Council of State. This PD aims to define what constitutes the commencement of construction work and establishes the approval process for the Special Environmental Equivalent Urban Upgrade Plan (EСПIAP). With this decree, all ambiguities surrounding the use of NBC incentives are eliminated, thereby fully liberating building activities. For the first time, it provides a clear definition of the start of construction works, specifying acceptable documentation for verification. It also outlines environmental equivalent measures applicable at the municipal level—excluding Attica and Thessaloniki, where they apply at the city level. These measures include acquiring properties for public spaces, enhancing green networks, demolishing unsafe buildings, integrated restorations in degraded areas, funding smart and climate-neutral city actions, restoring listed buildings, and cleaning riverbeds. The decree further specifies the process for drafting and approving EСПIAPs, determines the amount of the environmental equivalent, and outlines who is responsible for its payment. Funds will be deposited into a special account at the Public Deposits and Loans Fund, exclusively for the benefiting municipality to implement environmental measures. Ultimately, combined with Law 5197/2025, this PD creates a cohesive regulatory framework ensuring maximum transparency and predictability in issuing building permits.