In today’s Europe, climate action and industrial competitiveness must go hand-in-hand. Cities are where this transformation takes shape, driving climate action, enabling innovation, and creating green jobs, but they cannot act alone.
To meet Europe’s climate and economic goals, cities and businesses must work together more strategically. When aligned, their strengths can deliver faster, fairer transitions on the ground.
These themes were at the heart of the Mayors Business Dialogue, held in Copenhagen last week. Organised by the City of Copenhagen, Eurocities and CLG Europe, the event brought together mayors, business, and sustainability leaders from across Europe to explore how new partnerships can help Europe stay competitive while accelerating the green transition.
Discussions spanned skills and education, industrial decarbonisation, procurement and EU regulation. City and business leaders shared practical initiatives already underway, from green skills in Copenhagen to circular construction in Almelo, industrial symbiosis in Linköping, LED upgrades in Bratislava, and fossil-free steel in Lulea.
What emerged was a shared sense of urgency and a call for more enabling EU frameworks, investment, and collaboration at scale.
Cities enabling green innovation
How can cities use their local tools, including skills development, infrastructure, and education, to drive innovation and deliver a just transition? Participants reflected on the unique role of cities in building green ecosystems and connecting economic competitiveness with social inclusion.
“This is not just about the green transition. It’s also about competitiveness. It’s about making sure that we keep our jobs and we keep the prosperity in Europe. That’s why we’re here today,” said Jens-Kristian Lütken, Mayor of Employment and Integration in Copenhagen.
This is not just about the green transition. It's also about competitiveness. It's about making sure that we keep our jobs and we keep the prosperity in Europe.
In Copenhagen, that commitment is reflected through hands-on collaboration with local institutions and businesses. “We’re working very closely with local vocational schools to increase the number of apprentices in green sectors. That means electricians, plumbers, and building renovators. These are the green jobs of the future,” he explained.
One example is the city’s partnership with Technical Education Copenhagen (TEC), where students are trained to retrofit buildings using cutting-edge low-emission technologies. In parallel, the city is working with construction firms to pilot zero-carbon building sites, incorporating electric machinery and circular materials.
“If we want this transition to be fast, we need young people to see it as exciting,” Lütken added. “That’s why we’re putting a strong focus on career guidance in schools, so young people can see that being a craftsman or a technician is not second-class work. It’s vital.”
Smaller municipalities are also showing that inclusive transitions are not just for capital cities. “The future can’t just be for the happy few. We need an inclusive transition where everyone can participate, not only the people with higher education or those who can afford it,” said Richard Korteland, Mayor of Almelo.
The mayor outlined how Almelo is working with local manufacturers and technical schools to support circular business models in construction and textiles.
“We have an innovation hub focused on reusing and recycling building materials, including a second-hand building material shop. We also support a regional textile recycling initiative, turning waste textiles into new raw materials,” said Korteland. “We don’t want to regulate from above. We want to make it easier for companies to innovate and cooperate locally.”
Vienna is also leading by example. “We are focused on building ecosystems where start-ups and corporates can work with city authorities on real-life problems,” said Johannes Lutter, Head of Department of the Innovation Agency for the City of Vienna.
He described how the Urban Innovation Vienna programme supports living labs for green mobility, housing, and energy. “It’s about creating long-term capacity within the city to experiment, scale what works, and transfer knowledge,” Lutter explained.
Driving decarbonisation through city-business collaboration
Business leaders presented strong cases for scaling up existing technologies through strategic city partnerships.
“We’re reducing emissions, we’re saving money, and we’re improving safety. These are things we can do now with existing technologies. The only thing that’s holding us back is the pace of decision-making,” said Alice K. Steenland, Chief Strategy, Sustainability and Marketing Officer at Signify.
She cited the example of Bratislava, where switching to LED lighting has reduced electricity use by 40% and saved the city €1.3 million per year. “It would be great if cities could widely facilitate the uptake of more sustainable lightning. Citizens often wait until the lighting fails.”
We have an opportunity to reshape Europe’s industrial strategy in a way that’s not only green, but inclusive and resilient.
Wim De Kinderen, EU Affairs Programme Director for Brainport Eindhoven, explained how Eindhoven’s innovation ecosystem is based on deep early-stage cooperation. “We co-develop projects from the start, bringing together our industries, universities and city administration. It’s not just about funding, it’s about shared priorities,” he said, pointing to progress on e-mobility and energy system integration.
Ursula Woodburn, Director of CLG Europe, underlined the need for ambition and alignment: “We have an opportunity to reshape Europe’s industrial strategy in a way that’s not only green, but inclusive and resilient. City-business collaboration is central to that transformation, and it needs to be scaled up.”
Accelerating industrial transformation and scaling circular solutions
Delivering the green transition at scale means rethinking how Europe produces, consumes, and reuses resources, and cities are helping lead that change. From industrial decarbonisation to circular economy innovation, city-business partnerships are proving essential to bridge the implementation gap. These partnerships have the potential to lead the way on the ground in moving from take-make-waste economy to a circular model.
“We aim to decarbonise all our production by 2030. That will reduce Sweden’s CO₂ emissions by 10% and Finland’s by 7%,” said Agnes Borg, Head of EU Affairs at SSAB. “This isn’t just about us reducing our emissions. It’s about transforming the entire system, together.”
Borg described how SSAB’s close collaboration with the city of Lulea is enabling fossil-free steelmaking, by aligning energy infrastructure, coordinating planning processes, and supporting local workforce transitions.
In Linköping, long-term cooperation between local government and industry is already delivering results. “Since 2018, we’ve reduced our emissions by 11% while increasing our population by 20,000,” said Mikael Sanfridson, Mayor of Linköping.
He explained how industrial symbiosis allows the city to turn food industry waste into biogas to fuel buses and trucks. “The key has been collaboration and trust. That takes time, but it works,” he said.
Smaller cities are also stepping up. “We don’t just talk about sustainability, we act on it, by making space for circular companies and working closely with our regional partners,” said Richard Korteland, Mayor of Almelo. The Dutch city has created an innovation hub for reusing building materials, operates a second-hand construction shop, and supports vocational training to equip workers with circular economy skills.
We don’t just talk about sustainability, we act on it, by making space for circular companies and working closely with our regional partners,
Yet even as local action expands, scaling up remains a challenge without the right market conditions. “Our Rockcycle take-back programme is not profitable today. Transport is expensive, waste codes are not harmonised, and there’s little incentive for reuse,” said Caterina Rocca, Group Regulatory Affairs Director at ROCKWOOL.
“We need clear EU targets, like mandatory requirements for recycled content or circular materials in construction,” she added. “Without harmonised standards and strong policy signals, circularity will stay stuck at pilot scale.”
Businesses and municipalities around the table found common ground on the importance of introducing mandatory non-price criteria in public procurement. There is a growing consensus that public buyers should be supported in their efforts to prioritise long-term value, considering social impact, environmental sustainability, and innovation alongside economic considerations.
This shift reflects ongoing discussions at the EU level, particularly in the context of the upcoming revision of the Public Procurement Directives and the upcoming Circular Economy Act.
From local action to European ambition
Lars Weiss, Lord Mayor of Copenhagen, underscored the value of uniting political and business leadership from across Europe. “The shared ambition to lead the green transition is clear, but ambition alone is not enough. We need sustained dialogue and real partnership,” he said.
Cities must be empowered not just to design but to deliver. That’s how we turn policy into progress.
He pointed to Copenhagen’s EnergyLab Nordhavn as a successful city-led living lab for smart energy systems, developed in partnership with universities, utilities and industry.
“Cities must be empowered not just to design but to deliver,” he emphasised. “That’s how we turn policy into progress.”
Gonzalo Sáenz de Miera, Global Director of Climate Change and Alliances at Iberdrola and Chair of CLG Europe, echoed this call for accelerated collaboration. “The solution lies in replacing fossil fuels with renewables and electrification. Cities are key here, not only because most emissions originate in urban areas, but because cities can act faster and deliver solutions now.”
As the dialogue in Copenhagen showed, city-industry partnerships offer a clear path to accelerate climate action while building a competitive, resilient Europe. The challenge now is to turn these local successes into systemic change, through stronger EU frameworks, shared investment, and long-term cooperation.
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You can view photos from the Mayors-Business Dialogue in Copenhagen here. If you want to use a photo, please ensure you mention the copyright is owned by Eurocities.
