Eindhoven Secures EIB Advisory Support to Advance Climate-Neutral Heating Network

The partnership will guide the city in designing and financing a large-scale district heating network, a central component of Eindhoven’s strategy to become fully circular by 2050 and reliant solely on sustainably generated energy by 2045.

 

The municipality of Eindhoven has taken a significant step toward its long-term climate ambitions by signing a new advisory agreement with the European Investment Bank (EIB), funded through the European Commission. The partnership will guide the city in designing and financing a large-scale district heating network, a central component of Eindhoven’s strategy to become fully circular by 2050 and reliant solely on sustainably generated energy by 2045.

The initiative represents a major milestone in Eindhoven’s broader roadmap toward climate neutrality—one that prioritizes clean energy, sustainable infrastructure, and a just transition for all residents.

Heat Transition Critical to Eindhoven’s Climate Goals

Eindhoven’s “route towards climate neutrality” outlines an ambitious shift from fossil-fuel dependency, particularly natural gas, to renewable and low-carbon heat sources. This transition is essential for achieving the municipality’s climate targets as heating currently accounts for a large share of household carbon emissions.

To this end, Eindhoven aims to develop a centralized district heating system that can distribute sustainable heat to homes, businesses, and public facilities. Such systems use a range of greener heat sources—including geothermal energy, residual heat from industry, heat pumps, and waste-heat recovery—to efficiently heat large urban areas.

The shift requires complex planning, large-scale investment, and a long-term financing strategy—tasks that will be supported by the EIB through the newly signed advisory assignment.

EIB to Guide Investment Planning and Financing Strategy

The advisory project, funded under the European Commission’s Climate Neutral and Smart Cities Mission, will help Eindhoven:

• Develop a comprehensive investment plan for district heating

• Identify long-term financing strategies

• Examine gaps in existing financial models

• Engage with financial markets to structure scalable investments

• Evaluate technical feasibility and heat demand scenarios

• Review tariff structures to ensure affordability

• Establish a risk-management framework

• Create a time-bound implementation roadmap

The assignment will also provide organizational guidance for Eindhoven Energie, the entity intended to oversee and implement the city’s future heating infrastructure.

A Major Step for an Innovative Region

EIB Vice President Robert de Groot emphasized the importance of large-scale energy infrastructure in Europe’s green transition:

“In the framework of the energy transition, we need to ensure that people’s basic needs can be fulfilled sustainably. Large-scale energy infrastructure is indispensable to making headway, and we are pleased to support Eindhoven—one of Europe’s most innovative areas—on this path. The transition must be a just one for everyone.”

His remarks highlight the dual purpose of Eindhoven’s heat transition: reducing emissions while safeguarding affordability and social equity.

The Mission Label and National Significance

Eindhoven recently became the first city in the Netherlands to receive the European Commission’s coveted Mission Label, signaling recognition of its strong climate strategy and positioning it to receive enhanced EU-level support.

With this agreement, Eindhoven also becomes the first Dutch city to obtain EIB Advisory assistance under the Climate Neutral and Smart Cities Mission. This programme, part of the Commission’s InvestEU initiative, gives selected cities technical and financial expertise to accelerate their climate transitions.

A City Committed to Acting on Climate Ambitions

Eindhoven’s Alderman Rik Thijs welcomed the partnership, stressing that the pathway from climate ambition to real-world implementation requires strong collaboration:

“Our commitment is to create a more sustainable Eindhoven for every resident. The advisory support helps us turn ambition into action. Partnering with the EIB and the European Commission strengthens our ability to deliver on Eindhoven's climate-neutral roadmap by implementing sustainable heating solutions and improving financing strategies.”

What Comes Next?

Over the coming months, the advisory team will:

• Analyse Eindhoven’s heat demand and the technical potential of renewable heat sources

• Evaluate possible business models for district heating

• Identify financing instruments, including public–private partnerships and green funding

• Support Eindhoven in setting up governance structures for long-term operation

• Ensure that environmental, social, and economic risks are assessed and mitigated

The results of this work will feed directly into the city’s future investments in renewable heating infrastructure, expected to unfold over multiple phases through 2045.

A Model for Other European Cities

Eindhoven’s partnership with the EIB has broader implications for urban climate action across Europe. As cities account for over 70% of global CO₂ emissions, scalable and well-financed heating systems will be crucial to achieving EU climate goals—including the European Green Deal and the 2050 climate-neutrality target.

If successful, Eindhoven’s approach may serve as a blueprint for other municipalities seeking to phase out natural gas, boost energy efficiency, and strengthen climate resilience.