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The report finds that climate change will increase summer cooling demand and decrease winter heating demand in Europe, with the A1B scenario leading to significantly higher costs. While physical energy reductions in heating are larger than cooling increases, the higher cost of electricity for cooling makes the economic impacts more balanced. The study also identifies risks to energy supply, including reduced hydroelectricity generation and lower efficiency for thermal and nuclear power plants due to higher temperatures. Adaptation measures, such as low-energy buildings, are discussed but noted as having a low evidence base for cost-benefit analysis.