Cities are at the forefront of the global fight against climate change. With urbanisation remaining a dominant trend – seven out of ten people are projected to live in urban settlements by 2050 (UN, 2018) – cities are central to both the challenge and the solution. Urban areas currently account for 70% of global greenhouse gas emissions and are rapidly expanding, with urban land consumption often outpacing population growth (UN, n.d.). This expansion poses significant risks to climate goals but also presents a unique opportunity for innovation and sustainable development. Indeed, urban areas generate over 80% of global GDP (World Bank, 2023), making them ideal hubs for implementing scalable policies and measures to achieve climate neutrality goals. By redesigning and managing urban spaces with a focus on sustainability, cities can transition to climate neutrality while maintaining economic vitality and enhancing quality of life.
Nordic cities, in particular, have emerged as leaders in this transition. With a strong tradition of environmental governance, access to abundant renewable energy and progressive policies, these cities are well-positioned to lead by example. Their focus on compact urban development, green infrastructure and carbon-neutral transport networks showcases how emission reduction can be aligned with inclusive and sustainable urban growth. Furthermore, Nordic cities have been at the forefront of energy-efficient construction techniques, circular economy models and intelligent mobility systems, offering valuable insights into urban sustainability on a global scale. By integrating climate goals with broader sustainable development strategies, they demonstrate effective pathways towards climate neutrality.
This report examines how Nordic cities are pursuing climate neutrality, highlighting both the challenges they face and the available opportunities. It is the final output of the Nordic Climate Neutral Cities (NCNC) project, commissioned by the Nordic Council of Ministers and conducted by Nordregio as part of the Nordic Thematic Group on Green and Inclusive Urban Development (2021–2024). The NCNC project adopts a multilevel governance perspective, exploring how local, regional and national actors collaborate to advance urban climate goals. This approach underscores the interplay between different governance levels in shaping policies and practices that drive sustainable urban transformation.
The core focus of this report is the role of spatial planning in enabling climate-neutral urban development in Nordic municipalities. The study examines three key sectors where spatial planning plays a pivotal role:
Land use: Strategies that encourage compact urban growth, limit sprawl and integrate nature-based solutions to reinforce climate resilience.
Buildings and construction: Efforts to improve energy efficiency, implement climate-smart building regulations and adopt circular economy principles in construction materials and methods.
Transport and mobility: Policies and infrastructure investments that support active mobility, the electrification of transport and the expansion of low-carbon public transport networks.
To support this analysis, the report presents nine in-depth case studies from Denmark, Finland, Iceland, Norway and Sweden. The selected cities – Aarhus and Vejle (Denmark), Tampere and Oulu (Finland), Reykjavík (Iceland), Trondheim and Kristiansand (Norway) and Lund and Växjö (Sweden) – offer diverse perspectives on how Nordic cities are navigating the complexities of spatial planning and governance to progress towards climate neutrality. These cities were chosen for their varied approaches, illustrating different challenges and strategies in implementing climate goals through spatial planning.
To guide this exploration, the report is structured into three main parts: