ENC Forum

Communities warming up the heat transition

MUSE DHC contributed to the event “The Leaf: Communities driving the shift to fossil-free heating and cooling

Heating and cooling account for more than half of Europe’s energy consumption. Yet despite its central role in the clean energy transition, the sector often remains trapped in technical discussions about boilers, efficiency rates and infrastructure upgrades.

On 29 April, at the Energy Cities Annual Forum in Guimarães, The Leaf: Communities driving the shift to fossil-free heating and cooling challenged this perspective. What if the future of heating and cooling depended as much on governance, participation and local ownership as on technology itself?

Bringing together municipalities, researchers and practitioners from across Europe, the discussion highlighted an emerging reality: the heat transition will not succeed without citizens and communities actively shaping it, as MUSE DHC proves.

Heating and cooling is also a social challenge

The day started with a concrete example: a visit to Gymnastic Training Center of Guimarães – GUIMAGYM, the city’s public sports facility. The building combines energy efficiency, renewable energy production and nature-based solutions into one integrated system. A 2,000 m² cork façade provides thermal and acoustic insulation, while 1,300 m² of solar panels and a geothermal network cover heating and cooling needs. Rainwater is also reused for sanitary purposes and HVAC cooling systems.

The inspiring visit was followed by the policy discussion during which Energy Cities presented the broader European context and its EU Tracker on local heating and cooling planning, according to which many Member States still lack clear frameworks, methodologies and support structures for municipalities. Cooling planning, in particular, remains largely neglected.

Heating and cooling is still treated as a technical efficiency issue — not as a governance, social and territorial challenge” – participants overwhelmingly agreed. During the fishbowl discussions, recurring barriers emerged, such as fragmented responsibilities, lack of public awareness, insufficient coordination between stakeholders, financing difficulties and weak policy support for citizen-led initiatives. At the same time, many saw community-led approaches as one of the most promising pathways for accelerating the transition while increasing resilience and social acceptance.

MUSE DHC presentation

Beyond solar panels: energy communities are also about heat

What’s your first thought when you hear “energy communities”? Most people think about electricity and rooftop solar panels. Heating and cooling, despite representing the largest share of energy demand, remain largely absent from policy discussions and public narratives. Lessons from the EU-funded projects MUSE DHC and Connect Heat inspired participants. Riccardo Battisti from Ambiente Italia, coordinator of MUSE DHC, explained that there is a gap in Europe’s energy debate and that is reflected in legislation itself. Existing European frameworks on energy communities rarely address heating and cooling explicitly, creating uncertainty for local actors trying to develop collective heat projects.

Yet examples already exist across Europe. The Connect Heat project identified several key policy priorities to unlock the sector: clearer legal recognition of heating and cooling communities, support for heat sharing models, incentives for “heat prosumers”, risk reduction mechanisms for district heating investments and stronger financial participation tools such as crowdfunding and collective ownership schemes.

Riccardo also stressed the importance of connecting community initiatives with formal planning processes. Local heating and cooling plans — now required under Article 25 of the Energy Efficiency Directive for many municipalities — could become powerful tools for integrating citizen-led projects into long-term territorial strategies. The new MUSE DHC project will work with several local authorities to test solutions.

The challenge, however, remains practical: “Energy communities are also about heat.”

Dijon shows how district heating can decarbonise at scale

Decarbonising is feasible! Nathanaël Leblanc, from Dijon Métropole, proved, through the example of the RESPONSE project, that large-scale transformation is possible. The results are significant: 75% lower CO₂ emissions and an 80% reduction in fossil gas consumption in the pilot neighbourhoods. The project combines waste heat recovery, biomethane, heat storage and smart energy management systems.

What made the Dijon example particularly relevant to the workshop discussions was its systemic dimension. The district heating network evolved through long-term territorial planning, linking public infrastructure, housing providers, waste management facilities and energy systems into one coordinated approach.

For many participants, it illustrated that scaling up clean heating solutions requires both infrastructure and governance capacity.

Cities are central actors of the heat transition

What role do municipalities play? Through the ESCALATE project, Antonia Kranz (IREES) showed how cities are increasingly expected to coordinate local heating and cooling planning under the revised Energy Efficiency Directive.

Yet many local authorities still lack the staff, tools and financial capacity needed to implement these new responsibilities. At the same time, energy communities can help fill part of this gap by mobilising local investment, increasing participation and supporting implementation on the ground.

“Community-led heating and cooling will never deliver at scale unless municipalities integrate it into formal planning, public policies and regulated energy systems” – If Europe wants to accelerate the heat transition, citizen-led approaches must become part of mainstream local energy planning.

The future of the transition lies in citizen-led approaches

The discussions in Guimarães made one thing clear: decarbonising heating and cooling is not simply a technological challenge. It is also a democratic one.

Whether through geothermal public buildings, district heating systems or citizen-led heat networks, the transition requires cooperation between municipalities, utilities, citizens and local organisations – community-led heating and cooling initiatives are the future of the clean transition.

EUSEW's article

Warm homes, lower bills, stronger EU: the power of citizen-led energy networks

How can  we all enjoy comfortable homes while paying fair bills? 

The EU has many solutions to reach climate neutrality and become energy independent, but none will succeed without active citizen participation to ensure a just and effective transition.  

Efficient district heating and cooling (DHC) networks powered by clean sources replace individual heating systems, reducing maintenance and lowering bills.  

As change starts in cities, citizen engagement is essential. EU-funded projects such as MUSE DHC are a great example of how community energy initiatives can foster social acceptance, co-ownership, and long-term commitment, making cities, thus Europe, more sustainable, resilient and energy independent.

Click on the button to explore the full article, published by the European Sustainable Energy Week (EUSEW), which highlights the strategic importance of DHC networks through the MUSE DHC case studies of  Sant Cugat Sesgarrigues and  Zwolle.


The European Sustainable Energy Week (EUSEW) is the biggest annual event dedicated to renewables and efficient energy use in Europe. EUSEW 2026 marks the 20th edition. EUSEW organises a series of activities that bring together the community of people who care about building a secure and clean energy future for the next generations.

MUSE_6

Independence Day: how DHC can support the EU’s autonomy

Let’s explore the EU regulations on thermal energy and the key role played by citizens in their implementation

When fossil fuels are burned, they release large amounts of carbon dioxide (a greenhouse
gas), trapping heat in our atmosphere. We have observed the devastating consequences of climate change in the degradation of our environment, the large-scale loss of our biodiversity, as well as increasing health and financial costs on our society.

Aware of this grim reality, the European Union has set out to modernise our energy
system towards renewable sources in a community-oriented way
While 49.3% of the net electricity generated in the EU in 2025 came from renewables, 75% of the thermal energy in our buildings is still supplied by fossil fuels.
 As fossil fuels are not commonplace
in Europe, they must be imported, increasing both our energy bills and our dependency on third countries. The financial numbers behind our dependency alone are staggering, with the total cost of fuel imports between 2021 and 2024 costing our citizens and businesses 1.8€ trillion (or slightly below Spain’s nominal GDP in 2025). Furthermore, an energy transition based simply on market-based solutions risks exacerbating inequalities, as low-income households can remain locked in inefficient homes running on polluting and
expensive fossil fuels.

Such dependencies, and their climate, social, economic and geopolitical consequences
are a threat to the long-term sustainability of any nation or our Union,
and must be tackled.

So, what is the EU doing to become energy independent?

A lot, in fact.

The EU is wisely tackling this energy transition in a double-pronged approach. The EU
institutions – Commission, Parliament and Council – have created legislation to transition our national energy systems to renewables; what is more, they have done so in a way that empowers citizens, putting renewable heating and cooling in their hands, and thus ensuring that the benefits of the energy transition are shared among our local communities.

On the one hand, the social redistributive aspect of the transition is covered by the Renewable Energy Directive and the Internal Electricity Market Directive. These legal acts introduced energy communities, citizen-led legal entities that can take ownership of their
local renewable energy infrastructure. T
his model is particularly relevant for district heating and cooling (DHC), which relies on collective infrastructure and long-term local governance rather than individual solutions. As these networks are particularly complex projects, citizens often join forces with their municipality and local SMEs, strengthening their social fabric and increasing the acceptance of new projects.

On the other hand, and to cut our dependence on external fossil fuels for heating and
cooling, the EU has agreed to several obligations. Firstly, Member States must identify the potential of district heating and cooling by carrying out economic and geographic analyses (
Directive (EU) 2023/2413, Art.15a). Secondly, they must increase the share of renewables in heating and cooling by at least 0.8% annually until 2026, and 1.1% annually until 2030. In addition, Member States are encouraged to increase the share of renewable energy and waste heat in district heating and cooling by 2.2 percentage points annually (2021-2030), while laying down the necessary measures to achieve this in their National Energy and Climate Plans. Thirdly, the energy efficiency of our homes and renewable technologies is increased through the Energy Efficiency Directive (EED) and the European
Performance of Buildings Directive (EPBD)
. The EED mandates Member States to carry out comprehensive assessments of efficient heating and cooling every 5 years (Directive EU/2023/1791, Arts. 23 & 24), while asking municipalities with more than 45.000 inhabitants to deliver local heating and cooling plans (Directive EU/2023/1791, Art.25.6). In a testament to the link between Europe’s renewables and community empowerment, the same article mandates that these municipal plans should “assess the role of energy communities and other citizen-led initiatives” in achieving the objectives of the heating and cooling plan.

This link to a socially fair transition is once again clear in the building renovations directive, where Member States must ensure that the primary energy of Zero Emission Buildings comes from nearby energy from renewable sources, an efficient district heating network, or energy from a renewable energy community (Directive EU/2024/1275,Art.11).

MUSE DHC: empowering citizens to turn legislation into practice

To deliver on these common European objectives, the European Commission funds
environmental and climate-action projects across the Union through its LIFE Programme.

One such project linking renewables with citizen empowerment is MUSE-DHC.

Our project contributes to the implementation of the above-mentioned objectives of citizen-led renewables in several ways. Firstly, it brings together citizens, municipalities, and technical partners to develop efficient and democratic district heating across 5 Member States: The Netherlands, Italy, Spain, Ireland and France. The project will offer these communities knowledge on governance models to ensure a democratic ownership of the district heating networks. It will also offer business models to strengthen their financial viability. Finally, it will deliver investment plan templates to offer every citizen, municipality, and community the chance to develop their own community-led district heating network, thus actively contributing to Europe’s energy independence goal.

Energy communities powering the Netherlands _SsuCxPa3ABE-unsplash

Energy communities powering the Netherlands

How cooperative heat and cooling systems are driving a fair and inclusive energy transition in the Dutch country

The MUSE DHC partner Energie Samen is committed to ensuring that everyone in the Netherlands can play an active role in the production of clean and affordable energy. Representing around 700 Dutch citizen energy initiatives, the cooperative supports local sustainable energy projects through advocacy, knowledge sharing, project development support, and financing.

Tom Evers, Project Manager at Energie Samen, shares how the Netherlands is fostering the development of district heating and cooling (DHC) networks and how MUSE DHC can contribute to strengthening this process.

Are DHC networks popular in the Netherlands?

In the Netherlands, district heating networks, and increasingly district heating and cooling (DHC), are still evolving as part of the energy system. Most households currently have a gas connection. However, large-scale heat networks have existed for decades, mainly in urban areas and often supplied by residual heat from industry, waste incineration, or gas-fired plants.

In recent years, the focus has shifted towards sustainable heat sources such as geothermal energy, aquathermal heat, wastewater heat, and large-scale heat pumps. At the same time, there is growing attention for smaller, local, and cooperative heat networks initiated and governed by residents. These initiatives represent a new state of the art, combining technical innovation with social and organisational innovation.

How can DHC networks help your country achieve climate neutrality?

The Netherlands aims to be climate neutral by 2050 and largely gas-free in the built environment by 2040. Individual solutions alone will not be sufficient to reach these targets, especially in existing neighbourhoods with diverse building types.

DHC networks allow heat and cold to be produced centrally and efficiently, using renewable and residual sources that are not feasible at the level of individual homes. They reduce pressure on the electricity grid, enable seasonal balancing, and make use of local energy sources such as water, sun, or wastewater. By decarbonising heating and cooling, one of the largest sources of CO₂ emissions, DHC networks are a key instrument for achieving climate neutrality in the Netherlands.

What challenges do you face in developing a DHC network?

Developing DHC networks involves technical, financial, organisational, and social challenges. Technically, networks must be designed to cope with peak demand on the coldest and hottest days, while remaining flexible for future developments. Financially, upfront investments are high, and business cases depend on the long-term participation of residents.

Organisationally, issues such as ownership, governance, regulation, and alignment with municipalities and housing corporations are complex. Socially, trust, transparency, and inclusion are essential: residents need to understand the choices, risks, and benefits, and feel that they retain control over their energy future.

Tell us about your DHC networks

The DHC networks we work with in the context of the project illustrate different local approaches:

  • Buurtwarmte Houten focuses on collective heating and cooling solutions in several neighbourhoods (Gaarden, Hagen, Hoeven, and Weiden). Residents, supported by the municipality, are exploring a local source network based on water and solar energy, aiming for a flexible, future-proof, and locally governed system.
  • Warm Westerkwartier (Culemborg) is a resident-led cooperative investigating a heat network using heat from treated wastewater that flows past the neighbourhood. Founded in 2024, the cooperative works with professionals, the municipality, and a housing corporation, and is currently in the development and design phase.
  • Warm Assendorp (Zwolle) emerged from a broader neighbourhood process on sustainability, involving themes such as water, green space, and mobility. Through participatory methods like deep democracy and sociocracy, residents developed a shared vision and energy plan, leading to the establishment of a cooperative heat network initiative that is now expanding step by step.

Why is engaging with citizens key to success?

Heating and cooling infrastructure directly affects people’s homes, comfort, and monthly costs. Without meaningful citizen engagement, DHC projects risk resistance, low participation, or loss of trust. Engaging citizens from an early stage improves the quality of decisions, ensures solutions fit local needs, and strengthens long-term commitment.

In cooperative models, residents are not just consumers but co-owners and decision-makers. This increases acceptance, social cohesion, and democratic legitimacy, and helps ensure that the energy transition is fair and inclusive.

Why did you choose to be part of MUSE DHC?

We joined this project because we believe that the energy transition in the built environment requires both technical solutions and strong social organisation. DHC networks are not just infrastructure projects; they are collective learning processes.

Through this project, we expect to exchange knowledge, learn from international experiences, and further professionalise resident-led heat initiatives. We can offer partners practical experience from real-life case studies, insights into cooperative governance and citizen engagement, and lessons learned from working at the intersection of residents, municipalities, and technical experts. Together, we aim to contribute to scalable, socially embedded DHC solutions across Europe.

Fostering community-led DHC systems for a fair transition_Brian Kelly_Unsplash

Fostering community-led DHC systems for a fair transition

With citizen engagement, policy support and technology partnerships, district heating could become a mainstream solution in Ireland by the 2030s 

The MUSE DHC’s partner Claremorris and Western District Energy Co operative (CWDEC) is a community-owned renewable energy initiative in County Mayo, Ireland, dedicated to reducing carbon emissions and empowering local people through sustainable projects.

John Prendergast, Chairman of CWDEC, tells us about how Ireland is striving to implement district heating and cooling networks to advance its green transition and how MUSE DHC can provide the country with the funds and expertise it needs.

Are DHC networks popular in Ireland?

District heating networks are not yet popular in Ireland, but they are moving from concept to reality. The Heat Bill 2024 and Climate Action Plan targets mark a turning point, creating a regulatory framework and national ambition. Sustainable Energy Authority of Ireland (SEAI)’s mapping shows strong potential, especially in urban centres, and pilot projects are expected to pave the way for broader adoption. 

Ireland is at an early stage of development, but with policy support and technology partnerships, district heating could become a mainstream solution by the 2030s

How can DHC networks help your country achieve climate neutrality?

Ireland has committed to climate neutrality by 2050. To achieve this, heating must be transformed. District heating networks are one of the few solutions that can deliver fast, large‑scale decarbonisation of the built environment, while also cutting costs and improving energy security. By combining technology innovation, policy support, and community engagement, DHC networks can move Ireland from being a late adopter to a leader in sustainable heating.   

What challenges do you face in developing a DHC network?

Building underground pipe networks and centralised heat plants requires large capital investment. Ireland has limited existing infrastructure, meaning most projects must start from scratch. Financing models are still under development, and small municipalities often lack resources. Unlike countries such as Denmark or Sweden, Ireland has very few operational DHC schemes.  Until recently, Ireland had no dedicated legislation for heat networks. The Heat (Networks and Miscellaneous Provisions) Bill 2024 is the first framework, but regulatory structures are still evolving.  Navigating planning permissions, consumer protection, and energy market rules adds complexity.

Residents worry about affordability and transparency. Without strong community engagement and fair ownership models, uptake may be slow. Ireland’s Climate Action Plan sets ambitious targets of 2.7 TWh/year of district heating by 2030, which is challenging given the current low baseline. 

Tell us about Claremorris, your MUSE DHC case study

In 2018–2019, the Claremorris and Western District Energy Co‑operative (founded by local residents) began developing plans for a 1km/1MWth district heating network in the town of Claremorris. The project was designed to be community‑owned, ensuring that local people benefit directly from lower heating costs and cleaner energy.  The Co‑op worked with Tipperary Energy Agency and Mayo County Council to carry out feasibility studies, community consultations, and commercial evaluations. 

The proposed system would use renewable energy sources to generate heat and cooling, distributed through insulated pipes to homes and businesses.  Early studies explored options such as a solar from the community 5MW solar farm with potentially a biomethane building on the Co‑op’s experience with renewable energy demonstrations. The design emphasises modularity, allowing the network to expand as demand grows. 

Why is engaging with citizens key to success?

Citizen engagement is not just a “nice to have” in Ireland’s district heating rollout—it is essential. It ensures trust, affordability, and community empowerment, prevents fossil fuel lock‑in, and accelerates infrastructure delivery. By involving citizens from the start, Ireland can build district heating systems that are fair, sustainable, and central to achieving climate neutrality.  District heating can be community‑owned or co‑managed, giving residents a stake in the system. This strengthens local support and ensures benefits (like lower bills and jobs) stay in the community.

Why did you choose to be part of MUSE DHC?

Joining this project will hopefully help to leapfrog its current early stage of development, gain access to funding and expertise, and ensure its networks are aligned with EU climate neutrality goals. This collaboration helps Ireland overcome barriers of cost, inexperience, and public acceptance, while positioning the country as a leader in community‑based sustainable heating.  Key benefits would include accelerating rollout by learning from mature systems, reducing costs through shared funding and proven designs, strengthening policy credibility by aligning with EU frameworks, empowers communities with tested engagement strategies and building resilience by integrating various renewable technologies.

Turning underused resources into sustainable economic assets_Maarten Brakkee_Unsplash

Turning underused resources into sustainable economic assets

DHC networks can help strengthen energy autonomy also in small and rural areas

The MUSE DHC’s partner Engreen strives to turn sustainability goals into real projects in Europe and beyond. It supports public and private actors from strategy to implementation-designing, building, and scaling solutions that make the green transition tangible and lasting.

Francesco Roncallo, Head of Business Development, tells us about the diffusion of DHC in Italy and about the setup of a new network in the northern Italian village of Coggiola.

Are DHC networks popular in Italy?

District heating and cooling networks are well established in Italy, especially in northern regions such as Piedmont, Lombardy and Trentino-Alto Adige. They currently cover about 2.3% of the national heating demand, with Piedmont ranking among the top regions for energy supplied to DHC networks. Most networks are powered by cogeneration plants and increasingly integrate biomass, waste heat, and renewable sources. However, DHC diffusion remains limited outside urban centers and industrial areas, leaving significant room for expansion in small and rural municipalities like our case study Coggiola (Province of Biella, Piedmont Region), which largely rely on wood/gas stoves.

How can DHC networks help your country achieve climate neutrality?

Efficient DHC networks are crucial for decarbonising the heating sector, which in Italy is largely based on natural gas. By coupling renewable and local heat sources (biomass, waste heat, geothermal, solar) with energy-efficient distribution, they enable collective solutions that reduce fossil fuel dependence, cut emissions, and improve air quality, while making the energy system more efficient and less expensive, supporting national and EU climate-neutrality targets.

In contexts such as Coggiola, these networks could also help establish local value chains based on sustainable biomass management, which could reduce hydrogeological risks affecting remote forestry areas in alpine valleys.

What challenges do you face in developing a DHC network?

Key barriers include high initial investment costs, complex permitting procedures, and limited incentives for medium-scale projects in small municipalities.

Technical challenges concern the integration of fragmented biomass supply chains, the aging of existing heating systems, and the need for skilled operators. Socially, promoting awareness and trust in cooperative or public ownership models is essential to ensure broad participation and long-term sustainability.

Tell us about Coggiola, your MUSE DHC case study

The Coggiola case study focuses on the creation of a biomass-fueled DHC network to serve public buildings, local businesses, and residential users. The initial phase foresees connections for the municipality, schools, health center, and around 150 households, with a potential expansion to 600 users through a 1-km main pipeline. The project aims to replace fossil-fuel boilers, reduce energy costs and emissions, and revitalise the local forest economy by using sustainable biomass from nearby woodlands. The initiative has already gained interest from neighboring municipalities and the local Mountain Union of Municipalities for replication.

Why is engaging with citizens key to success?

Citizen engagement ensures social acceptance, co-ownership, and long-term commitment to the network. In Coggiola, local residents, cooperatives, and SMEs will be directly involved through interviews, focus groups, and information campaigns. The upcoming Living Lab will formalise this collaboration, enabling participatory decision-making. This inclusive approach aligns with MUSE-DHC’s mission to build community-led, resilient energy systems.

Why did you choose to be part of MUSE DHC?

Engreen joined MUSE-DHC to build on its experience in establishing Renewable Energy Communities (RECs) in the nearby Valsesia valley and transfer that know-how to the thermal energy domain. Through the Coggiola case study, the team aims to integrate heating supply into the business model of RECs, demonstrating how collective and renewable heat can complement shared electricity generation.
A key objective is to create a local biomass value chain that turns what is now an underused resource—abundant forest residues—into a sustainable economic asset. By doing so, the project will also address critical challenges in alpine valleys, such as land abandonment, poor forestry management, and hydrogeological risk, fostering a circular local economy.

In a territory marked by deindustrialisation but rich in material and natural resources, Engreen seeks to design a viable and replicable business model that revitalises local production chains, strengthens energy autonomy, and supports community participation.

The long-term expectation is to demonstrate how small mountain municipalities can combine environmental stewardship, citizen engagement, and innovative models to achieve just and resilient energy transitions.

OECoop Team

Advancing Catalonia’s transition with district heating and cooling networks

How DHC systems can drive decarbonisation, improve urban resilience, and empower local communities

The MUSE DHC’s partner OECoop is an association of 51 associated local Renewable Energy Cooperatives (RECs) based in Catalonia. It supports them with specialised assistance in the development and management of energy projects to help them achieve the energy transition.

Roser Salvat Jofresa, project Manager at OECoop, tells us about the diffusion of DHC networks in Spain and especially in Catalonia.

Are DHC networks popular in Spain?

DHC networks remain relatively uncommon in Spain compared with countries such as Denmark, Germany, or Sweden. Nonetheless, interest is rising thanks to new incentive programmes and the growing need to decarbonise heating and cooling in urban areas.

Spain’s mild climate and tradition of individual heating and cooling systems have slowed DHC adoption. Existing networks are mostly small and concentrated in university campuses, new developments, or specific urban districts. Additionally, regulatory complexity, limited municipal experience, and the absence of a strong DHC planning culture hinder expansion. Despite that, EU funding, national climate commitments, and technological advances are creating favourable conditions for growth.

Catalonia currently hosts the largest concentration of DHC networks in Spain. Barcelona’s Districlima system in the Fòrum and 22@ districts is the most advanced example, supplying more than 100 buildings and planning to double its service area by 2032. The region is also emerging as a pioneer of geothermal-hybrid 5th-generation DHC networks, supported by the Catalan Energy Institute (ICAEN) and aligned with regional climate and energy strategies.

OECoop Team
The OECoop Team

How can DHC Networks support the local climate neutrality strategy?

With heating and cooling representing roughly a third of Catalonia’s total energy use, transforming these sectors is crucial to meeting the region’s target of reducing greenhouse gas emissions by 67% by 2035.

DHC networks contribute to climate neutrality by:

  • Improving efficiency: They are around 30% more efficient than individual systems.
  • Using local renewable sources: Biomass, geothermal energy, solar thermal, and waste heat significantly reduce reliance on fossil fuels.
  • Enhancing public health and resilience: By eliminating rooftop cooling towers, they reduce legionella risks and energy losses, while district cooling helps cities stay liveable during heatwaves.
  • Delivering measurable emissions reductions: Since 2020, Barcelona’s Districlima network has avoided more than 21,000 tonnes of CO₂, with savings expected to exceed 417,000 tonnes by 2032.

DHC networks also benefit from strong EU and regional funding streams, positioning them as a cornerstone of Catalonia’s broader decarbonisation strategies.

We face several challenges in developing DHC networks. Among them:

  • Economic and financial hurdlesHigh upfront infrastructure costs, long payback periods and perceived investment risks can slow deployment, especially where heating demand is relatively low.
  • Regulatory and planning limitationsFragmented governance, unclear permitting processes, and land-use constraints complicate project development and replication.
  • Technical challengesThe increasing dominance of cooling demand in coastal areas requires updated design approaches. Low-temperature 4th- and 5th-generation networks also require advanced control systems and specialised expertise.
  • Limited public awarenessMany citizens remain unfamiliar with the benefits of DHC, yet community involvement is essential for successful network uptake.
  • Climate-adaptation constraintsWater scarcity, drought conditions, and competing land-use needs must be carefully integrated into system planning.

Tell us about the case studies you work on within the MUSE project

We work on two case studies: Torello and Les Masies de Voltregà.

Torelló, a town of 15,000 residents in northern Osona (Barcelona), is developing a 4 km DHC network powered entirely by geothermal energy and heat pumps. The municipality and the local energy community Pescaenergia SCCL lead the project, which will serve around 700 users with a 3 MW capacity and 8,400 MWh of annual output. Aligned with the regional Nova Energia Osona (NEO) strategy, the project will function as a replicable pilot, fostering community participation and addressing socio-economic and technical barriers through an adapted business model.

Les Masies de Voltregà is a rural municipality of 3,400 residents and dispersed population centres. Individual heating systems and domestic biomass remain common, but the municipality is actively engaging in regional energy-transition programmes. The region is exploring opportunities to recover waste heat from industrial processes, which remain underused despite significant potential. District Heating coverage in Osona is still limited but growing through targeted biomass networks, hybrid renewable systems, and community energy initiatives. This case study aims to demonstrate how industrial waste heat can meaningfully contribute to local decarbonisation when supported by strong municipal and community leadership.

Why is engaging citizens key?

Citizen engagement is fundamental to the success of DHC networks. These systems require the participation of residents, businesses, and local stakeholders throughout their development and operation.

Engaging the public ensures networks meet real community needs, builds trust, encourages co-design and collaborative governance, increases transparency and long-term local ownership, in addition to supporting policy alignment with community priorities.

Strong public involvement also enables innovative governance and financing models, helping secure the long-term viability of district energy systems.

Why have you chosen to be part of MUSE DHC?

MUSE DHC enables us to contribute directly to Catalonia’s low-carbon transition by supporting the deployment of efficient, renewable-based district energy solutions. The project strengthens collaboration among municipalities, research centres, industry partners, and citizens, while fostering knowledge exchange and showcasing replicable best practices.

Participation in MUSE DHC also opens opportunities for long-term cooperation, follow-up initiatives, and access to expert resources and potential co-investment mechanisms.

Involving Communities to Foster DHC Development_Sigmund_Unsplash

Involving communities to foster DHC development

MUSE DHC partner Bois Énergie Renouvelable highlights the importance of dialogue in supporting the expansion of DHC networks in France, thereby contributing to the green transition.

Bois Énergie Renouvelable (SPL BER) is a French local public company established in 2018 to serve the areas of Ville de Lorient, Lorient Agglomération and Quimperlé Communauté. Its mission is to decarbonise local energy consumption by structuring the wood-energy sector, developing district heating (DHC) networks, boosting renewable heat production, and supporting municipalities in their renewable energy projects.

As one of the partners of MUSE DHC, we spoke with Lucie Fauvin, Heating and European Project Manager at SPL BER, to learn more about the culture of DHC in France and their role in the project.

Are DHC networks popular in France?

In general, DHC networks in France are expanding rapidly and have become pivotal, particularly in larger cities. Many of these cities have extensive networks serving a high number of end-users, operating at very high temperatures (up to 80°C), and in some cases even delivering cooling only.

Medium-sized cities with fewer than 100,000 inhabitants tend to develop DHC systems alongside new buildings or district retrofits. Residents of smaller towns and rural areas may also be interested, but it can be difficult to find the right financial balance when creating a DHC network, especially given the social and infrastructural constraints.

Why are DHC networks necessary, and how can they help your country achieve climate neutrality?

DHC networks are essential in France as they help achieve environmental goals more efficiently than individual systems. Historically, France relied on numerous individual heating systems, but in terms of transition, resilience, and resource sharing, district heating networks are a more suitable solution. Their impact is significantly greater than that of individual systems.

What challenges do you face in developing a DHC network?

One of the main challenges is maintaining or achieving a heat price that remains lower than current gas prices for future end-users.

Another challenge relates to social acceptance. For example, while developing the woodchip-fuelled DHC network in Ploemeur (Morbihan area), we encountered public concern about air pollution and emissions. Some residents also feared that we might damage the forestry sector to produce heat. Since dialogue is key, we held several discussions with stakeholders to reassure them, sharing data on wood origins and circularity. Once people felt reassured, we were able to move forward with the project. The system is currently under construction.

What project are you developing under MUSE DHC?

We are working on two case studies. One will be selected soon, while the other focuses on the crematorium in Lorient. Currently powered by gas, it is one of the few crematoriums in the Lorient Agglomération area (210,000 inhabitants over 740 km²) and operates six days a week throughout the year.

Our plan is to carry out a detailed feasibility study to confirm the potential for waste-heat recovery. We will also work on the design phases and then prepare a realistic investment plan and business model for our shareholder, the City of Lorient.

Why is engaging with citizens key to success?

Social acceptance is crucial to the success of any project, particularly when addressing sensitive issues such as cremation facilities. It is therefore important to involve citizens in the discussion process.

If stakeholders do not understand a project – its challenges or its technology – they may oppose it, and misinformation can spread easily. Raising awareness is therefore key. Once people understand the potential of DHC, they are generally happy to support and benefit from it.

Why did you join the project, and what are your expectations?

By joining the project, we aim to strengthen our understanding of how to integrate risk management into DHC projects involving waste-heat recovery. Industrial activities often face uncertainties—will they still exist in 2, 5 or 10 years? Given that a DHC system operates for at least 30 years, it is essential to analyse these risks into the investment plan from the outset, in order to offer end-users a realistic, long-term heat price.

As operators of more than eight DHC networks, we can offer support on operational, financial and administrative aspects. With a team covering the full DHC project cycle – from feasibility studies to financing and heat distribution – we provide expertise in technical design, contracting, business modelling, and municipal engagement.

We are delighted to share our experience with the consortium, to learn from our partners, and to strengthen our role as a trusted partner for end-users, funders, municipalities, and technical experts alike.

Why cities need citizen-driven district heating and cooling networks

Why cities need citizen-driven district heating and cooling networks

What is district heating and cooling? How is it related to the achievement of climate neutrality? And how can ordinary people play a role in all this?


The EU-funded project MUSE DHC strives to meet a need linked to people’s well-being, as well as to the energy transition.


We interview Riccardo Battisti, Senior Project Manager at Ambiente Italia and coordinator of MUSE DHC.

Why did you propose MUSE DHC to the Commission?

A fair and just energy transition should put consumers at the heart of the process. This is true not only for electricity but also for heating and cooling, where community-led district heating and cooling (DHC) networks can drive the decarbonisation of the sector.


Projects such as MUSE DHC can empower citizens, helping them make informed choices while, at the same time, bringing the transition one step closer to reality.

Why do cities need DHC networks? What’s your experience?

District heating and cooling is a very efficient way to produce and distribute heat and cold. Citizens connected to such networks can use energy without the need for radiators or boilers in their homes. Moreover, no maintenance is required.


From the perspective of decarbonisation targets, DHC networks allow the integration of large shares of renewable energy sources, thus making climate neutrality more achievable.
Finally, DHC powered by renewables helps reduce energy bills.


Riccardo Battisti, Senior Project Manager of Ambiente Italia and coordinator of MUSE DHC

How can the project help citizens become key actors of the green transition?

Citizens will be involved from the very beginning in MUSE DHC activities, especially through 9 local working groups (Living Labs). These will support the development and future implementation of investment plans for new, efficient DHC networks in five EU countries: France, Ireland, Italy, the Netherlands, and Spain.


MUSE DHC will listen to citizens’ needs and provide them with governance models that ensure their active participation in local DHC projects.

What will MUSE DHC do?

Many things! At its core, the project focuses on developing 9 investment plans for new, efficient, community-led DHC networks in five EU countries, also including governance models that guarantee active bottom-up participation.


We will also set up a Working Table to transfer know-how and upskill other cooperatives and energy communities across Europe in the construction, governance, cooperation, and maintenance of new efficient DHC systems. Additionally, we will prepare a Blueprint for Action, a practical handbook for all actors interested in such projects.
Local and regional authorities will also be involved, through a Community of Practice that transfers know-how, builds capacities, and promotes discussion.


At the policy level, the Strategic Guidelines will provide recommendations for the uptake of effective local strategies fostering efficient community-led DHC, while a Position Paper will offer tailored input for the revision and upgrade of national strategies.


Finally, beyond our project case studies, 9 additional “follower” DHC cases will receive practical support in setting up efficient community-led projects based on the MUSE DHC approach.

What’s the added value of MUSE DHC?

Without a doubt: the citizen-led approach. In our project, final users are the key actors in the development of new community DHC initiatives. They can become owners of the infrastructure through a cooperative company, act as investors through innovative financial models such as crowdfunding, and have a say in project development and operation.

What are your expectations?

Citizen-led projects, characterised by a clear bottom-up approach, are too often met with a fair degree of scepticism.
What I would like to see at the end of the project is a collection of practical experiences that demonstrate that citizen-led efficient DHC is not only possible but also economically feasible, while bringing a variety of benefits to the territories involved.

Curious to learn more or interested in being involved? Contact us!