Budapest

Budapest is strengthening its data-driven energy planning through SP1 – Digital Infrastructure & ICT Tools. The city is developing a comprehensive data governance framework and a GIS-based digital twin to enhance energy scenario modeling and decision-making within its Positive Clean Energy District.

Key Developments in Budapest’s SP1 Solutions

• Data Governance Framework: A structured approach to data collection and management within the PCED, integrating census data, geospatial information, and energy consumption data.
• GIS-Based Digital Twin & Energy Scenarios: The city is developing energy balance models to simulate and compare different energy scenarios, guiding future investments in renewable energy and efficiency measures.
• Utility Collaboration & Technology Selection: Efforts are ongoing to engage public utility providers, and integrate geodatabases into energy planning models.

Next Steps:

• Finalizing data collection and integration into GIS platforms.
• Modeling energy supply and demand scenarios for optimized planning.
• Developing methodologies to assess biomass energy potential in the PCED area.

Lessons Learned & Collaboration Opportunities

Budapest is exploring innovative methodologies, such as biomass production mapping, and seeks best practices for large-scale building data collection and Digital Twin applications.

Through these efforts, Budapest is laying the groundwork for smarter, data-driven energy management, ensuring a resilient and sustainable urban future.

Deployment of Energy Communities & Prosumers

Budapest is exploring the potential for Renewable Energy Communities (RECs) within its Positive Clean Energy District (PCED). The city is conducting a feasibility study to assess energy-sharing opportunities around municipal buildings and engage local stakeholders in the development of an inclusive, community-driven energy model.

Ongoing efforts include analyzing building energy portfolios, mapping viable REC configurations, and navigating evolving national regulations. Next steps focus on finalizing REC scenarios, strengthening stakeholder collaboration, and integrating insights from projects like ATELIER to create a scalable, community-driven energy model.

Key Developments in Budapest’s SP2 Solutions

• Defining the Energy Community Area – The PCED site has been refined, identifying core and buffer zones for potential REC participants.
• Stakeholder Mapping & Outreach – The city has begun engaging district institutions and requesting energy data from municipal buildings.
• Exploring REC Scenarios (In Progress) – Budapest is assessing different configurations for energy-sharing based on building energy profiles and connectivity.

Next Steps:

• Continue stakeholder engagement, identifying actors interested in forming an energy community.
• Analyze energy portfolios of potential members and explore viable REC models.
• Develop and evaluate scenarios for PCED implementation, proposing community structures and energy-sharing schemes.

Lessons Learned & Collaboration Opportunities

National policies on energy sharing are still evolving, which means Budapest must closely monitor and adapt to legislative developments. Motivating local actors remains challenging, especially in the absence of direct financial incentives. The city also faces capacity limitations for developing renewable energy communities and often requires external expertise. At the same time, it is gaining valuable experience in integrating solar PV in historically protected areas. These efforts are helping Budapest build a solid foundation for replicable energy communities, supported by its active role in projects like ATELIER.

Budapest is advancing innovative building refurbishment with a pilot project in District IV that combines high-performance retrofitting with a unique heat exchange system. A former school building will be transformed into a Net Zero Energy (NZE), housing facility including multifunctional collective rooms, integrating energy-saving technologies and a pioneering solution that uses the excess heat capacity of potable water.

Key Developments in Budapest’s Refurbishment Solutions

• NZE Building Retrofit – The building will be adapted into 40–50 apartments and ground-floor services, all designed for near-zero energy performance.
• Heat Exchange Technology – Budapest Waterworks has developed a heat exchanger connected to the city’s potable water pipeline, supplying heating and cooling via an integrated heat pump system.
• Mixed-Use, Adaptive Reuse Model – By combining residential, collective and public functions, the project promotes social innovation and sustainable urban regeneration.
• Governance Collaboration – The Municipality of Budapest, IV District Municipality, Budapest Waterworks, BFVK, and EnviroDuna are jointly coordinating the refurbishment and energy system design.

Next Steps

• Finalize the public procurement process and appoint a design firm.
• Define the operational model for the co-housing facility.
• Complete the business model and cost feasibility study for the heat exchange system.
• Launch concept design and technical plans for the retrofit and mechanical systems.

Lessons Learned

• Multi-Level Coordination – Strong collaboration between municipal departments and utility providers is essential for integrating innovative technologies into building retrofits.
• Technology Readiness – The heat exchange system has completed the patent process and is entering the serial production phase.
• Demand & Design Alignment – The success of the heat system depends on aligning user behavior with system performance and adapting the building’s infrastructure accordingly.

Budapest’s pilot demonstrates a bold approach to zero-emission urban refurbishment by combining adaptive reuse, clean energy generation, and community-oriented housing. Through continued stakeholder engagement and technical development, the city is laying the foundation for replicable, resilient building solutions across its districts.

Budapest is taking bold steps to decarbonise urban transport through a coordinated package of SP4 solutions, spanning shared mobility, urban logistics, school road safety, and public transport enhancements. These initiatives aim to shift behaviour toward greener modes while improving accessibility and efficiency across the PCED.

Key Developments in Budapest’s SP4 Solutions

Multimodal Mobility Points – Planning for Shared and E-Mobility Integration

Budapest is planning a network of mobility points that combine micromobility, shared car services, and e-scooters in strategically located hubs. The concept supports seamless intermodality between public transport and new mobility services.

• Micromobility points (MOBI-points) have been fully planned for the southern area adjacent to the PCED.
• Within the PCED, planning is ongoing, including the Megyeri Street – Fóti Street junction as part of the REALLOCATE project.
• Future upgrades may include expansion into e-mobility points.

Urban Logistics & Curbside Management – Data-Driven Freight Efficiency

To improve freight logistics, Budapest is developing a city logistics methodology and a curbside management framework. These tools aim to optimize last-mile delivery, reduce congestion, and better allocate public space.

• The city logistics methodology and the curbside management framework have been completed. Based on them, curbside related pilot interventions are under preparation in different part of the city.
• Logistics operators, local businesses, and residents are being consulted.

Safer School Streets – Traffic Calming and Public Awareness

Budapest is implementing traffic calming measures around schools to improve child safety and encourage walking and cycling.

• The planning and implementation are completed. K+R parking space has been designated near the school.
• “School zone” signs, painted pavements, and physical street elements (e.g. flower boxes) are planned to reduce vehicle speeds.
• Inspired by international good practices, including Barcelona’s school streets programme.

Public Transport Expansion – Enhanced Connectivity in District IV

As of August 2024, new and improved bus services are operating in the PCED area. Adjustments were made based on public consultation and in collaboration with District IV authorities.

• Planning and implementation are complete.
• The service is now operational and undergoing evaluation.

Next Steps

• Finalise the planning and stakeholder engagement for (micro)mobility points.
• Apply the curbside management framework within the PCED.
• Install traffic calming infrastructure around local schools.
• Monitor the performance of new public transport services.

Lessons Learned

• Data and Coordination: Effective logistics solutions require robust data and multi-actor coordination.
  School Streets: Tailored traffic interventions can improve child safety with low-cost, high-impact measures.
• Integrated Mobility Planning: Combining micromobility, logistics, and public transport improvements reinforces sustainable behaviour change.

Budapest’s integrated SP4 strategy demonstrates how cities can simultaneously enhance mobility, reduce emissions, and improve public space by leveraging frugal, flexible solutions tailored to local contexts.

Budapest is strengthening its climate transition through two complementary SP5 solutions focused on citizen participation and local advisory services. By anchoring engagement at the district level and collaborating with grassroots organisations, the city is laying the foundation for inclusive, community-led climate action within its PCED.

Key Developments in Budapest’s SP5 Solutions

Community-Centred Participation and Dissemination Programme – Engaging Local Networks for Urban Transitions

Budapest is launching a community-centred engagement strategy in District IV to build awareness and activate citizen participation in climate and energy initiatives. The programme aims to support behaviour change, knowledge sharing, and local ownership of the transition.

• Initial engagement and mapping of potential participants have been completed in cooperation with the District IV municipality.
• The ASCEND project has been introduced during PCED stakeholder meetings and through collaboration with other EU projects.
• Budapest has initiated contacts with the Solidarity Economy Center, an NGO already working with citizen groups interested in energy communities.
• The programme is in the planning phase, with local workshops and co-production events scheduled for 2025.

District-Level Climate Consultancy – Restarting One-Stop Access to Sustainability Services

Budapest plans to relaunch a sustainability consultancy service offering technical and legal advice on energy renovation, PV installation, air quality, and climate adaptation.

• Previously active at the district level, the service was paused when its venue was repurposed for refugee support.
• A simplified scope is now under development to avoid overlap with other municipal services.
• The city is currently searching for a new venue, with plans to integrate the service into the main PCED building post-renovation.
• Once operational, it will act as a connector between citizens and expert support on climate transition measures.

Next Steps

• Host a local community engagement workshop in District IV.
• Launch stakeholder meetings focused on citizen-centric solutions.
• Secure a new space for the consultancy service and evaluate possible reopening.
• Expand collaboration with citizen organisations such as the Solidarity Economy Center.

Lessons Learned

• Targeted local engagement is essential to identify community champions and tailor messaging.
• Flexibility in design and delivery helps respond to changing local priorities, such as the need for refugee services.
• Partnerships with existing NGOs and schools may serve as amplifiers for city-led initiatives.

Budapest’s SP5 approach shows how municipalities can activate grassroots momentum through district-level strategies, knowledge-sharing platforms, and adaptable local services, ensuring no citizen is left behind in the energy transition.

Planning is underway for a PCED task force in collaboration with the District IV Municipality, focusing on identifying local stakeholders, including business owners, citizens, and NGOs, as active participants. The goal is to establish a sustainable task force which utility companies will also support. The task force will help in organising, promoting, and deploying the PCED in District IV.

Challenges and Risks

• Establishing a task force whose work remains meaningful long after the project concludes
• Legislative barriers to integrating RECs as a core element of the PCED
• Identifying incentives for all participants
• Frequent changes in ownership or location of services and businesses could potentially impact SP2, specifically the establishment of RECs

Next Steps

• Compile a list of relevant local and national stakeholders to form the task force
• Contact and engage identified stakeholders
• Initiate the formation of the task force through workshops and joint commitments

Lessons Learned

• Community budgeting is important as is having experience in citizen engagement
• Ensuring the longevity of the taskforce requires attention to both its role and the development of viable business models

Budapest is building a collaborative and sustainable framework for SP6, leveraging local expertise and stakeholder engagement to ensure long-term impact. Early lessons highlight the importance of strong community involvement and adaptable taskforce structures.

Budapest is pioneering an integrated approach to affordable and sustainable living. Its pilot project is transforming an old school building into nearly zero-energy affordable municipal housing, offering 45 to 50 apartments with shared and accessible spaces. Supported by Budapest Waterworks’ innovative heat-exchange system, the project combines renewable energy, and e-mobility solutions under a non-profit model. By maintaining rents below market levels and providing healthy, efficient homes for low- and middle-income residents, Budapest demonstrates how sustainability and social equity can go hand in hand. The city is now exploring blended financing models, from EU loans to third-party investment, to scale up this transformative approach