Local authorities in Romania tackle energy poverty through renovation of residential blocks

In Alba Iulia, ALEA and the municipality are piloting innovative financing for large-scale renovations to combat energy poverty and improve life in Romania’s aging housing blocks.

Local authorities in Romania tackle energy poverty through renovation of residential blocks

Romania is grappling with a significant challenge: a vast stock of multi-apartment buildings constructed during the communist era that now suffer from poor energy efficiency. These aging structures lead to high energy costs and substandard living conditions, placing many low-income families at heightened risk of energy poverty.

In Alba Iulia, the challenge is evident. Out of roughly 25,000 apartments, only 8–10% have been renovated or are currently under renovation—primarily supported by European or national funds. With a shrinking pool of available grants, the municipality is exploring new and sustainable ways to boost energy efficiency.

To address this pressing need, ALEA – Alba Local Energy Agency – has partnered with Alba Iulia Municipality under the LIFE – CET CEESEN-BENDER project. The initiative is developing co-designed, innovative financing solutions for large-scale renovations, starting with a pilot cluster of multi-apartment buildings and aiming to create a model that can be replicated across the municipality and beyond.

To date, the project has fostered a robust collaboration among essential stakeholders—homeowners, building administrators, associations, municipal officials, and data providers—to assess the technical condition of targeted buildings. In partnership with the University Association “1 Decembrie 1918” Alba Iulia, a comprehensive social survey has pinpointed the technical, energy, social, quality of life, and health challenges faced by residents. Early implementation has also included installing air quality monitoring systems in select apartments and launching awareness campaigns to encourage efficient energy use.

Building on these concrete achievements, the CEESEN-BENDER project will continue refining its financing models, develop strategic roadmaps for wider municipal renovations, and enhance support mechanisms for residents affected by energy poverty. This initiative not only addresses immediate community needs but also offers a replicable blueprint for sustainable, large-scale energy renovations across Europe.

This best practice is extracted from our publication ‘Sustainable Regions in Action‘. Discover more best practices here!