In Athens, Greece, most residents live in poorly insulated homes. Despite rising rents, the overwhelming majority of buildings are old and lack thermal insulation. The Northern European dilemma of “heat or eat” now resonates in the Greek capital, especially during winter, but many Greek municipalities are hoping to find a solution through the creation of energy communities.

Data from the Ministry of Environment and Energy shows that residential buildings are among the largest energy consumers in Greece, accounting for 79.1% of the building stock. Of buildings constructed before 1980, 83.82% are classified as having very low energy efficiency (class H). The most energy-intensive structures are single-family homes. Nationwide, 74.65% of residences fall into energy categories E–H (very low efficiency), 21.95% in C–D (low efficiency), and only 3.76% in A–B1 (good efficiency).

While Greek households rank sixth lowest in energy consumption in the EU, this figure drops to 17th place when adjusted for climate conditions, revealing greater vulnerability than the raw numbers suggest.

Seven in Ten Athens Homes Without Insulation

In central Athens, where most buildings are old, 75% have no insulation. Nearly half of households (48.53%) rely on oil for heating, while only 29.44% use natural gas.

This situation, which severely strains household budgets, has driven dozens of municipalities to act. One such initiative is Athens’ Citizen Energy Community “PHAETHON,” established in June 2024, just three months after the founding of the “Athens Energy Alliance” by 8 municipalities under Mayor Haris Doukas. Within a month, the number of participating municipalities rose to 16; today, 45 have joined. The alliance aims to pressure the government to allow municipalities access to energy resources to meet local needs and lower costs for residents, especially vulnerable households. In the past week alone, 15 more municipalities have expressed interest in joining.

Energy Is a Public Good

“Energy is a public good, not a commodity. We are joining forces with dozens of municipalities to ensure clean, affordable energy for all, giving priority to those who need it most,” said Mayor Doukas after meeting with representatives from 45 municipalities, who signed a resolution calling for legislation that guarantees access to the electricity grid for local government Energy Communities.

Representing 40% of the Population

“We will not back down. Every day, we will increase pressure on the central government. Municipalities and citizens must have equal access to the energy market. Today, we represent more than 40% of the country’s population and demand control over our own energy to stop profiteering,” added Doukas.

“Cheap or Free Energy? Not Really.”

The Vice President of the Central Union of Greek Municipalities (KEDE) and Mayor of Vari–Voula–Vouliagmeni, Grigoris Konstantellos, made a strong statement: “They promise ‘cheap’ or ‘free’ energy for the vulnerable, but in reality, it’s neither cheap nor fairly distributed.” He stressed that through the “Energy Alliance” and KEDE, municipalities will demand genuine involvement in energy projects, the right to offset energy use to combat energy poverty, and recognition of local government as a strategic partner in Greece’s energy future.

Vangelis Marinakis, President of DAEM SA (Athens IT Company), added that in the next phase, municipalities that develop Energy Communities will be able to create cooperative structures for joint exploitation of energy projects that benefit both local governments and residents.

Which Municipalities Signed the Resolution

So far, 45 municipalities have signed the resolution calling for the legal right of local authorities to establish Energy Communities. These include:

Agathonisi, Agia, Agrafa, Agrinio, Athens, Aigaleo, Argithea, Aspropyrgos, Vari–Voula–Vouliagmeni, Volos, Ioannina, Elassona, Zagora–Mouresi, Zografou, Thermo, Thessaloniki, Kavala, Kallithea, Karditsa, Karpenisi, Katerini, Kozani, Komotini, Kythira, Livadeia, Makrakomi, Marathonas, Megara, Meteora, Moschato–Tavros, Mouzaki, Nemea, Nea Ionia, Nea Smyrni, Nisyros, Xiromero, Palamas, Papagou–Cholargos, Pyli, Rethymno, Salamina, Sikyonia, Trikala, Filothei–Psychiko, Fyli, and the Regional Union of Municipalities of Central Greece. More municipalities are expected to join.

Evrytania–Fthiotida Collaboration

Alexis Kardambikis, Mayor of Agrafa, explained the challenges municipalities face in creating Energy Communities. Alongside the mayors of Karpenisi and Makrakomi, Agrafa secured approval to proceed with their joint Energy Community.

“Private energy providers have locked in rights to electricity capacity, preventing municipalities from selling the power they generate through an Energy Community to benefit their citizens. We barely made it in time,” said Kardambikis.

The three municipalities have submitted a funding request to the Consignment Deposits and Loans Fund to build a photovoltaic park, which will begin in Karpenisi. Agrafa will hold 20% of the Community, while Karpenisi and Makrakomi will each hold 40%. According to Kardambikis, “With our 20%, we’ll save €250,000 annually just on pumping stations.”

He also voiced a long-standing grievance:

“The country’s largest hydroelectric project—Lake Kremasta—was built here 60 years ago. We powered all of Greece, yet received no compensation. Today, I pay €250,000 a year so the people of Agrafa can have electricity, while they still live on dirt roads in one of the most inaccessible areas in central Greece.”