The concession contract was signed on Friday 10 April 2026 between the City of Paris and a SEMOP combining the City of Paris (34%), the Banque des Territoires (15%) and the economic operator formed by the Consortium of Dalkia, Eiffage and RATP Solutions Ville (51%). It entered into force on 23 April upon notification by the City of Paris.
On 17 December 2025, following a tender procedure launched in 2023, the Council of Paris approved the selection of the winning Consortium comprising Dalkia, Eiffage and RATP Solutions Ville to renew its concession contract for the production and distribution of the Paris urban heating network. Operated since 1927 by the Compagnie Parisienne de Chauffage Urbain (CPCU), this essential public service expires on 31 December 2026.
The newly established SEMOP will ensure the continuity of the public service from 1 January 2027 for a period of 25 years.
Created specifically for the performance of the contract, this SEMOP will oversee the operation, modernisation and decarbonisation of the Paris district heating network—a major urban infrastructure at the metropolitan scale, currently supplying nearly one million people in Paris and 16 neighbouring municipalities.
This new concession meets three objectives set by the City of Paris:
- Accelerate the ecological transformation of the network and strengthen the energy sovereignty of the region at the metropolitan scale;
- Guarantee subscribers and users an affordable heating tariff that is controlled over time, with a reduction as of 2027 for nearly 70% of network users;
- Strengthen public governance of the network.
A dual ecological and social ambition: greening the energy mix to phase out fossil fuels, strengthening regional sovereignty to control heating costs
By 2034, the share of renewable and recovered energy (RES&R) will increase from 50% to 76% of the energy mix, thanks to the use of more than nine low-carbon energy sources: geothermal energy, heat recovery from the River Seine, recovery of waste heat from the underground network (metro), energy recovery units, pellets, Grade B wood, refuse-derived fuels, biofuels, and electricity through the installation of heat pumps and two electric boilers. The goal is to reach 100% renewable and recovered energy by 2050, in accordance with the Climate Action Plan of the City of Paris.
Furthermore, in an uncertain geopolitical climate that increases the volatility of fossil fuel prices, drastically limiting the use of gas by diversifying the energy mix will ensure long-term control of heating and hot water bills.
Overall, this expanded and modernised heating network will reduce CO2 emissions by 50% by 2034, avoiding 12 million tonnes of CO2 compared to the use of fossil fuels over the entire duration of the concession. The share of gas in the energy mix will be reduced by 50% by 2034.
A massive investment programme dedicated to energy transition and residents
This major project to green and expand the network will involve a substantial investment plan of nearly €3.4 billion over 25 years, funded by the SEMOP.
Public authority control supporting territorial cooperation
By rethinking governance balances within the SEMOP, the City of Paris sought to strengthen the role of public authority in strategic decisions over the next 25 years, while ensuring greater transparency in the delegated public urban heating service.
Placing the role of the served neighbouring municipalities and stakeholders concerned by the network’s challenges at the heart of its approach, the City also requested the creation of a territorial committee acting in a supervisory/advisory capacity (censeur) within the gover.
A pioneer in the fight against climate change, the City of...
A pioneer in the fight against climate change, the City of Paris is pursuing an ambitious public policy to achieve its carbon neutrality targets by 2050 under its Climate Action Plan. The signing of this contract with…
Emmanuel Grégoire,,
Mayor of Paris
Banque des Territoires is proud to contribute to the...
Banque des Territoires is proud to contribute to the transformation of the Paris urban heating network. This project brings to life our shared ambitions with the City of Paris: ecological and energy transformation,…
Marie-Laure Gadrat,
Regional Director for Île-de-France at Banque des Territoires
The trust placed in us by the City of Paris through the...
The trust placed in us by the City of Paris through the signing of this contract honours us as much as it commits us. As a co-shareholder of the SEMOP alongside our partners, we are very proud to contribute to the…
Sylvie Jéhanno,
Chairwoman and Chief Executive Officer of Dalkia
Transforming this century-old urban heating network into a...
Transforming this century-old urban heating network into a resilient and high-performing infrastructure represents a challenge we are ready to take on. Eiffage will deploy all its expertise to implement this works and…
Benoît de Ruffray,
Chairman and Chief Executive Officer of Eiffage
The RATP Group is proud to put its expertise in developing...
The RATP Group is proud to put its expertise in developing and managing complex urban infrastructure at the service of transforming and decarbonising the urban heating network of the City of Paris and the sixteen…
Xavier Piechaczyk,
Chairman and Chief Executive Officer of RATP
Key figures for the heating network trajectory up to 2051
- 1st district heating network in France
- 16 Île-de-France towns and cities supplied: Asnières, Aubervilliers, Boulogne-Billan-court, Charenton-le-Pont, Choisy-le-Roi, Clichy-la-Garenne, Gennevilliers, Gentilly, Île-Saint-Denis, Issy-les-Moulineaux, Ivry-sur-Seine, Le Kremlin-Bicêtre, Levallois-Perret, Saint-Denis, Saint-Ouen, and Vitry-sur-Seine
- From 6,330 to 9,100 subscribers (+43%) over 25 years
- 40% of new subscribers connected in off-grid/unserved areas (zones blanches)
- From 534 km to 750 km of steam and hot water network (+40%)
- As of 2034, from 50% to 76% renewable and recovered energy (RES&R) in the energy mix and a 50% reduction in CO2 emissions
- From 550 to 617 employees under the IEG (Industries Électriques et Gazières) status
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CP Paris District Heating Network.pdf627.27 KB
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