Home Articles BUILDING A SUSTAINABLE FUTURE: WHY MUNICIPALITIES SHOULD ESTABLISH THEIR OWN HEATING COMPANIES

BUILDING A SUSTAINABLE FUTURE: WHY MUNICIPALITIES SHOULD ESTABLISH THEIR OWN HEATING COMPANIES

by Linda Bertelsen
Small town villages in West-Terschelling with habor, A municipality and an island in the northern, Friesland, Netherlands

Friesland has always been below sea level and, as such, has constantly faced the threat of rising waters. This ever-present danger made cooperation essential for Frisians, who worked together to build dikes and protect their land. This deep-rooted sense of community and solidarity is known as Mienskip—a collective spirit that has long safeguarded the community.

By Michiel de Wit, Process Manager district heating at the Municipality Súdwest-Fryslân and Sacha de Haan
Process Leader heat transition at the Municipality Súdwest-Fryslân

Published in Hot Cool, edition no. 2/2025 | ISSN 0904 9681 |

Today, Mienskip remains at the heart of Frisian society. We believe that a municipal district heating company—dedicated to providing sustainable and affordable energy to as many residents as possible—embodies this very principle. Just as Mienskip once helped us defend against the water, it can now help us harness its power to heat our homes.

By establishing a municipal district heating company, we can prioritize local heat sources over foreign gas, protecting our residents from price fluctuations. Moreover, with municipal ownership, control remains in our own hands rather than with foreign companies. This ensures the company operates according to our values, with all surplus and revenue reinvested into local society. Finally, we hope this initiative will create jobs and stimulate the local economy, further strengthening our community and helping us achieve our climate goals.

Why now?

The urgency of the energy transition is more evident than ever. Climate change, rising energy costs, and the need for energy security all demand decisive action. As municipalities, we can no longer wait passively—we must take control of our own transition. It is becoming more and more apparent that local governments must be at the forefront of combatting climate change. That is why Súdwest-Fryslân has established its own municipal district heating company. Our goal is to provide sustainable, affordable, and reliable heating to as many of our inhabitants as possible.

Setting up a municipal district heating company requires vision, careful planning, and determination. Without a central authority to coordinate efforts, there is a risk of fragmented projects that fail to connect to a larger, more integrated district heating network. This is evident in the Netherlands, where efforts from many different actors to decarbonize singular neighborhoods through district heating have proved expensive. We hope to change this understanding at home and across the country.

Core principles:

The well-being of our residents: Sustainable and affordable heat must be accessible to as many as possible. With our district heating company, we hope to reduce energy poverty so that all households can live comfortably without excessive energy costs. All revenue will be reinvested into connecting more inhabitants. This socialization is at the heart of our approach.

A financially sound heating company: A solid financial and organizational foundation is essential. Our plans are not merely ambitious but realistic strategies that ensure efficient and profitable operations.

A strong socio-economic impact: Investing in local energy infrastructure means investing in the local economy. By keeping energy revenue within the region, we stimulate employment, support local businesses, and strengthen our community.

The Challenge

We recognize that this is not an easy task. Establishing a municipal district heating company requires investment, political will, and strategic decision-making. Concerns about feasibility and risks are understandable and deserve serious attention. That is why we work closely with experts, stakeholders, and international partners to make this initiative a success.

However, the benefits outweigh the challenges. By taking this step, we reduce our dependence on external energy markets, create local jobs, and ensure affordable and sustainable heating for our residents.

Call to Action

We urge other municipalities to seize this opportunity – not only in the Netherlands. Do not wait for the market to solve the issues of energy security and affordability—be proactive. Establishing a municipal district heating company is a bold but necessary step.

The energy transition is happening, regardless. The question is: do we let others determine our future, or do we take control and build a sustainable, just, and economically stable society ourselves?

At Súdwest-Fryslân, we have made our choice. We invite others to do the same. Together, we can create a future where energy is a public good and where sustainability, affordability, and local prosperity go hand in hand.

“Building a Sustainable Future: Why Municipalities Should Establish Their Own Heating Companies” was published in Hot Cool, edition no. 2/2025. You can download the article here:

meet the authors

Michiel de Wit
Process Manager District Heating at the Municipality Súdwest-Fryslân
Sacha de Haan
Process Leader Heat Transition at the Municipality Súdwest-Fryslân

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