Municipalities and regions are essential to deliver the energy transition on the ground. Their role is central to the achievement of the EU Green Deal, as recognised in the EU ‘Fit for 55’ legislative package, and in particular in the Energy Efficiency and the Renewable Energy Directives (EED and RED). Moreover, many municipalities and regions have already set ambitious energy targets and strategies under important initiatives and frameworks, such as the EU Covenant of Mayors for Climate and Energy.

In view of this, proposed actions should support cities and regional authorities in developing and reinforcing the specific capacities and skills needed to deliver on the clean energy transition and to achieve the specific targets.

Proposed actions should consider complementarity and alignment with relevant initiatives, including, but not limited to the National Energy and Climate Plans, the National Building Renovation Plans and the Horizon Europe Climate-Neutral and Smart Cities Mission. In addition, other technical assistance and capacity building initiatives should also be considered.

The topic is also contributing to the objectives of the UN Sustainable Development Goal 11 – Sustainable Cities and Communities. For instance, Manage Energy, the EIB’s European Local Energy Assistance (ELENA) Facility, the LIFE CET Project Development Assistance (PDA), Smart Cities Marketplace and the EU City Facility.

Scope A: Implementation of integrated decarbonisation plans
Starting from existing plans and strategies, and to enhance the leading role of the public sector on energy efficiency as described for instance in the Article 5(6) of the EED, there is a clear need to accelerate and mainstream implementation of sustainable energy measures, in coordination with key stakeholders and with particular attention to vulnerable groups. Proposals should empower cities and regional authorities to develop specific skills, approaches and know-how to decide and deliver energy measures on the ground and optimise public expenditure. The proposed activities should be place-based and cross-sector, if relevant, and may include, for instance: setting-up of relevant structures; establishing peer to-peer approaches to share knowledge and best practices; delivering in-depth, comprehensive, and ambitious capacity building programmes that address public and private funding streams of energy measures, improving the regulatory framework, deploying clean energy transition technologies.

Scope B: Development of methodologies, templates, blueprints and strategies for the preparation of local heating and cooling plans
Decarbonising the heating and cooling sector is central to achieving the energy transition. Local and regional authorities have a key role to play alongside industries, businesses and citizens. For instance, Article 25(6) of the EED sets a specific objective to prepare local heating and cooling plans for municipalities with a population higher than 45000. In order to meet existing requirements and objectives and enable future action, cities and regional authorities need specific support. Proposals should include specific activities including, for instance, building skills, facilitating access to and integration of relevant data, developing comprehensive outlooks on energy demand and supply, fostering a gradual and timely phase-out of fossil gas, engaging market participants and distribution system operators (DSOs) responsible for network decommissioning plans16 accelerating administrative processes and bundling joint efforts of municipalities at regional or other appropriate governance and territorial levels.

For Scopes A and B: Proposals should clearly identify the targeted cities and regional authorities and explain/demonstrate their involvement and political commitment, which may take multiple forms including through specific and tailored letters of support.

Proposals should develop actions and methods that can be rapidly deployed and used by cities and regional authorities and help policy makers to prioritise actions.

Proposals should also outline the scale of the financial resources needed to implement decarbonisation plans and strategies in cities and regional authorities, and by the end of the action foresee the necessary financial resources within their public budget and assess possible financing solutions to implement the clean energy transition measures.

Furthermore, proposals should foresee structured dialogues between different levels of governance and an active involvement of public and private stakeholders, citizens, communities and local/regional industry, businesses and energy operators to ensure a social, just, and competitive transition.

The Commission considers that proposals requesting a contribution from the EU of up to €1.75 million would allow the specific objectives to be addressed appropriately. Nonetheless, this does not preclude submission and selection of proposals requesting other amounts.