Environmental and Social Impacts of Renewable Energy-Driven Centralized Heating/Cooling Systems: A Comparison with Conventional Fossil Fuel-Based Systems

Heating and cooling (H&C) account for nearly half of the EU’s energy consumption, with significant potential for decarbonization through renewable energy sources (RES) integrated in district heating and cooling (DHC) systems. This study evaluates the environmental and social impacts of RES-powered DHC solutions implemented in three European small-scale demo sites (Bucharest, Luleå, Córdoba) under the Horizon 2020 WEDISTRICT project. Using the Life Cycle Assessment (LCA) and Social Life Cycle Assessment (S-LCA) methodologies, the research compares baseline fossil-based energy scenarios with post-implementation renewable scenarios. Results reveal substantial greenhouse gas emission reductions (up to 67%) and positive environmental trade-offs, though increased mineral and metal resource use and site-specific impacts on water and land use highlight important sustainability challenges. Social assessments demonstrate improvements in gender parity, local employment, and occupational safety, yet reveal persistent issues in wage equity, union representation, and inclusion of vulnerable populations. The findings emphasize that while renewable DHC systems offer significant climate benefits, social sustainability requires tailored local strategies and robust governance to avoid exacerbating inequalities. This integrated environmental-social perspective underscores the need for holistic policies that balance technical innovation with equitable social outcomes to ensure truly sustainable energy transitions.