Budapest Climate Agency

The Budapest Climate Agency started operating in June 2024 and was established by the Municipality of Budapest with the primary goal to develop a city level energy strategy and accelerate decarbonization, focusing on residential buildings in the beginning and widening the scope in the coming years. Buildings are in the focus as they are responsible for 60% of the GHG emission of the city and 38% is attributed to the residential energy consumption. This is also the most complicated and most difficult mitigation sector having a significant positive adaptation impact as well.

These efforts are being supported by the European Commission’s 100 Climate-Neutral and Smart Cities Mission. As part of the Net Zero City pilot project, the Agency has a major role of carrying out the “Budapest CARES” (Budapest Climate Agency for the Renovation of HomES) project. In addition to these tasks, the Municipality of Budapest expects the Climate Agency to play a coordinating role in other areas of urban climate measures (e.g. building energy efficiency, integration of renewable technologies, renovation strategy for municipal buildings, PED concepts as well as running comprehensive public awareness programmes) and participating in and initiating international projects that address these areas.

The Budapest Climate Agency operates as a 100% municipality owned not-for-profit public benefit limited company. Currently the Agency has a staff of six employees.

Despite a few months of operation, the Budapest Climate Agency has been participating in several EU/National projects already and planning to take part in further international initiatives. In the framework of the Budapest CARES project the agency is going to launch two pilot schemes targeting prefabricated multiapartment buildings and solid fuel replacement:

• Budapest Green Panel Programme: supporting the renovation of prefabricated buildings with approx. 30% nonrefundable grant and technical expertise. The grant is provided by the city and the participating district municipalities. The overall investment is expected to be HUF 16bn (EUR 40m)
• TOP+ Replacing Residential Solid Fuel Heating Systems: Awaiting governmental announcement of the call in the framework of Territorial Operational Program (total budget HUF 1bn, EUR 2.5m) This pilot project expected to set to launch over 2025 and plans to modelling the replacement of solid fuel heating systems in Budapest, addressing energy poverty as well as air quality issues. Our Agency plays a coordinating role in areas that will shape the long-term direction of Budapest’s energy transition.

MISSION

• The mission of the Budapest Climate Agency is to support municipalities and other property operators in the capital and its districts in promoting sustainable energy use.
• We develop and implement comprehensive concepts that build bridges between different sectors.
• By sharing our knowledge and expertise, we establish partnerships, inform the public and develop support programmes for them.
• We work on technical solutions that are also accessible to vulnerable groups.
• We provide examples of how to reduce emissions, primarily by improving the energy efficiency of buildings and using renewable energy sources.

KEY TASKS 

• Completion of the Budapest CARES project. (short term)
• Defining the institution’s role and functions within the broader municipal structure (short term)
• Generating pilot projects within and beyond the Budapest CARES framework (medium-term planning—business plan).
• Designing tailor-made financial schemes and technical support for different buildings and social groups
• Running public awareness and attitude-shaping campaigns during and after the project.
• Coordinating key stakeholders involved in deep renovation and building a common platform for them. Participation in national and international collaborations.