Recent Advancements in Latent Thermal Energy Storage and Their Applications for HVAC Systems in Commercial and Residential Buildings in Europe—Analysis of Different EU Countries’ Scenarios

Heating, ventilation, and air-conditioning (HVAC) systems account for the largest share of energy consumption in European Union (EU) buildings, representing approximately 40% of the final energy use and contributing significantly to carbon emissions. Latent thermal energy storage (LTES) using phase change materials (PCMs) has emerged as a promising strategy to enhance HVAC efficiency. This review systematically examines the role of latent thermal energy storage using phase change materials (PCMs) in optimizing HVAC performance to align with EU climate targets, including the Energy Performance of Buildings Directive (EPBD) and the Energy Efficiency Directive (EED). By analyzing advancements in PCM-enhanced HVAC systems across residential and commercial sectors, this study identifies critical pathways for reducing energy demand, enhancing grid flexibility, and accelerating the transition to nearly zero-energy buildings (NZEBs). The review categorizes PCM technologies into organic, inorganic, and eutectic systems, evaluating their integration into thermal storage tanks, airside free cooling units, heat pumps, and building envelopes. Empirical data from case studies demonstrate consistent energy savings of 10–30% and peak load reductions of 20–50%, with Mediterranean climates achieving superior cooling load management through paraffin-based PCMs (melting range: 18–28 °C) compared to continental regions. Policy-driven initiatives, such as Germany’s renewable integration mandates for public buildings, are shown to amplify PCM adoption rates by 40% compared to regions lacking regulatory incentives. Despite these benefits, barriers persist, including fragmented EU standards, life cycle cost uncertainties, and insufficient training. This work bridges critical gaps between PCM research and EU policy implementation, offering a roadmap for scalable deployment. By contextualizing technical improvement within regulatory and economic landscapes, the review provides strategic recommendations to achieve the EU’s 2030 emissions reduction targets and 2050 climate neutrality goals.