The City of Paris has awarded a landmark €19 billion concession contract for the production and distribution of public district heating services to a consortium comprising Dalkia, Eiffage, and RATP Solutions City. The agreement represents one of the largest urban energy infrastructure contracts in France and is a cornerstone of Paris's strategy to achieve carbon neutrality and transition to 100% renewable energy by 2050.

The concession was formally awarded on 21 May 2026 following a competitive procurement process led by the City of Paris.

Major Energy Infrastructure Contract for Paris

Under the concession, the Dalkia-Eiffage-RATP Solutions City consortium will become the majority private shareholder in a Single-Operation Mixed Economy Company (SEMOP) responsible for managing Paris's public heat production and distribution network.

The contract, valued at an estimated €19 billion, covers the design, operation, maintenance, modernization, renewal, expansion, and decarbonization of the city's district heating system over a period of 25 years.

The SEMOP ownership structure will consist of the City of Paris holding 34%, the selected economic operator 51%, and the Caisse des Dépôts et Consignations 15%.

Supporting Paris's Climate and Energy Goals

The concession aligns with the Territorial Climate Air Energy Plan adopted by the City of Paris in November 2024. The strategy sets ambitious targets to reduce energy consumption, expand renewable energy use, and transform Paris into a carbon-neutral city by 2050.

A key objective of the project is to increase the share of renewable and recovered energy used within the urban heating network while improving efficiency and expanding access to sustainable heating solutions across the French capital.

District heating systems are increasingly recognized as a critical component of Europe's energy transition, helping cities reduce greenhouse gas emissions while providing reliable and affordable heating to residential, commercial, and public buildings.

Consortium Brings Extensive Infrastructure Expertise

The winning consortium combines the expertise of Dalkia, a leading energy services provider, Eiffage, one of France's largest construction and infrastructure groups, and RATP Solutions City, a specialist in urban mobility and smart city solutions.

Together, the partners will oversee one of Europe's largest district heating networks, supporting long-term investments in energy infrastructure modernization, digitalization, and renewable energy integration.

Economic and Environmental Impact

The concession is expected to generate substantial investment in Paris's energy infrastructure while supporting the city's climate objectives. The project will contribute to reducing carbon emissions, strengthening energy security, and creating opportunities across engineering, construction, maintenance, and renewable energy sectors.

The modernization of the network is also expected to enhance operational efficiency and improve service quality for thousands of customers throughout Paris.

Looking Ahead

With the concession now awarded, the Dalkia-Eiffage-RATP Solutions City consortium will begin preparations for the long-term management and transformation of Paris's district heating network. The project is expected to play a pivotal role in the French capital's journey toward a sustainable, low-carbon energy future.

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