The energy crisis and political pressure to decarbonize the heating and cooling sector are driving momentous change. Under the FIT-for-55 package from the European Commission, local authorities with 50,000 inhabitants or more are strongly advised to create an energy transition plan, and, in some countries, these plans are now mandatory for municipalities.

The modernization of district heating and cooling infrastructure presents a significant opportunity to decarbonize heating for millions of connected citizens. This growth is driven by network expansion and new network developments based on national objectives and ambitions from the sector to reach the national energy and climate goals of individual countries. However, technical and political barriers, as well as a lack of skilled workers, hinder progress in implementing energy transition plans, introducing new grids and achieving carbon-neutral goals.