- C40 Cities will support three cities in moving buildings to clean energy in a neighbourhood-by-neighbourhood approach
London, UK (11 June 2026) – Residents of Paris, Madrid, and Milan will benefit from cleaner, healthier, and more affordable heating and cooling systems thanks to a new partnership with C40 Cities to accelerate the transition away from the use of fossil fuels in buildings.
The programme supports cities in meeting EU requirements under the Energy Efficiency Directive for cities to develop local heating and cooling plans. By focusing on neighbourhood-level delivery, C40’s work with the cities will help turn the Directive’s requirements into practical action that improves the lives of residents.
Heating and cooling account for nearly half of the European Union’s total energy consumption, with about 70% of heating still generated by fossil fuels. Fossil gas used in buildings produces greenhouse gas emissions comparable to those of all cars across the EU, highlighting the urgent need to shift to safer, cleaner energy systems that protect both people and the climate.
Through this new initiative, C40 will work with the three cities to design and implement localised energy strategies that reduce fossil fuel use in line with 1.5°C climate targets. These plans will also ensure that residents, particularly those in low-income households, are not left exposed to rising energy costs and can benefit from more modern, affordable heating and cooling.
Experience from leading European cities shows that a neighbourhood approach works. In Amsterdam, dividing the city into hundreds of smaller planning areas will enable a more targeted and cost-effective transition away from gas, putting the city on track to phase it out completely by 2040, a decade ahead of its original timeline.
Building on these lessons, C40 will support Paris, Madrid, and Milan to pilot a neighbourhood approach to the clean heating and cooling transition. This includes coordinating infrastructure investment, aligning local policies, and engaging communities to ensure the transition delivers comfortable homes, cleaner air, and lower energy bills.
- Paris will focus on enhancing their approach to neighbourhood-by-neighbourhood clean heating transition, leveraging their plans for district heat network expansion and support for condominium-led retrofit. The project will also help the city unlock barriers to action in small- and medium-sized enterprises.
- Madrid will showcase key benefits of modernised heating and cooling systems, such as improved air quality, while supporting residents to transition to energy-efficient, affordable solutions. This builds on the Madrid 360 Sustainability Strategy and a strong policy base to drive energy efficiency retrofit and clean heat technology adoption, exemplified by Plan Rehabilita, Transforma tu Barrio, and Cambia 360 subsidy programmes.
- Milan will advance plans in pilot neighbourhoods to deliver decarbonised, reliable heating and cooling systems that improve air quality and well-being. These pilots will inform their city-wide integrated local energy strategy. This work will build on Milan’s localised Air and Climate Plan and the Milano Transition Fund, which facilitate whole-building deep energy retrofits and heat pump integration, and engagement mechanisms such as the Energy Helpdesk, making energy experts available to speak to residents affected by energy poverty.
Cities and urban areas are uniquely placed to lead this change. Home to 75% of the EU population, they can bring together building owners, utilities, community groups, and residents to deliver coordinated, place-based solutions that improve health outcomes and reduce the cost of living.
Emmanuel Grégoire, Mayor of Paris, said: “In Paris, a city that gave its name to the 2015 Agreement, we bear a particular responsibility: to demonstrate that the ecological transition is not a distant horizon, but a tangible transformation. Phasing out fossil fuels is no longer an option – it is an absolute necessity if we are to preserve our quality of life, our health, and our shared future. We must accelerate the decarbonisation of our mobility, our buildings, and our modes of production and consumption. These actions must also be socially equitable, as the transition can only succeed if it brings all Parisians on board. Paris must live up to its history and its role: to act as a driving force and a model for the ecological transformation at both national and European levels.”
Borja Carabante, Second Deputy Mayor Urban Planning, Environment and Mobility, Madrid, said: “The Madrid City Council began in 2025 the preparation of the Local Heating and Cooling Plan. This plan, aligned with the Madrid 360 Sustainability Strategy, aims to guide the renovation of heating and cooling systems to improve air quality in the city, while also enhancing comfort in buildings at affordable prices for citizens and businesses in Madrid.”
Giuseppe Sala, Mayor of Milan, said: “In Milan, we are taking decisive action to secure a sustainable and comfortable future for our citizens. Our goal is to foster a city where decarbonised, clean and reliable heating and cooling improves air quality and enhances the quality of life of residents. This will include a combination of district heating and cooling and the rollout of heat pumps.”
Júlia López Ventura, Regional Director for Europe at C40 Cities, said: “Climate action isn’t just about global targets; it’s about the buildings we live in and the air we breathe. By transitioning away from fossil fuels neighbourhood by neighbourhood, we aren’t just lowering emissions – we are strengthening communities by prioritising clean and resilient systems for heating and cooling.”