Dalkia, Eiffage, and RATP Sign 25-Year Contract for Parisian Heating Network
The City of Paris, the Banque des Territoires, and the Dalkia-Eiffage-RATP Solutions Ville consortium have signed the founding and contractual documents of the Mixed Economy Single Operation Company (SEMOP), the holder of the new concession contract for the Parisian urban heating network. This new concession will oversee the operation, modernization, and decarbonization of the public urban heating service starting January 1, 2027, for a duration of 25 years.
Structure and Composition of the SEMOP
The concession contract was signed on April 10, 2026, between the City of Paris and a SEMOP comprising the City of Paris (34%), the Banque des Territoires (15%), and the consortium formed by Dalkia, Eiffage, and RATP Solutions Ville (51%). The agreement came into effect on April 23, 2026, following its notification by the City of Paris. The Paris Council approved the consortium's selection on December 17, 2025, after a selection procedure initiated in 2023. This new SEMOP succeeds the Parisian Urban Heating Company (CPCU), which has operated the network since 1927. The current public service will expire on December 31, 2026.
Scope and Scale of the Network
Today, the Parisian heating network serves nearly one million people in Paris and 16 neighboring municipalities: Asnières-sur-Seine, Aubervilliers, Boulogne-Billancourt, 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. Over the 25-year concession period, the number of subscribers is expected to increase from 6330 to 9100 (+43%), with 40% of new subscribers connected in previously unserved areas. The network's length (steam and hot water) will increase from 534 km to 750 km (+40%).
Decarbonization and Investment Goals
The SEMOP plans an investment of nearly 3.4 billion euros over 25 years. By 2034, the share of renewable and recovery energies (EnR²) will increase from 50% to 76% of the energy mix, enabling a 50% reduction in CO2 emissions. The goal by 2050 is to reach 100% renewable and recovery energies. Nine low-carbon energy sources will be utilized: geothermal energy, heat recovery from the Seine water, valorization of metro waste heat, energy recovery units, pellets, wood B, solid recovery fuels, biofuels, and electricity through heat pumps and two electric boilers. The share of gas will be reduced by 50% by 2034. Over the entire duration of the concession, 12 million tons of CO2 will be avoided compared to the use of fossil fuels. The concession also includes a tariff reduction starting in 2027 for 70% of the network's users. The number of employees with IEG status (Electric and Gas Industries) will increase from 550 to 617 over the 25 years.
