How Municipal Authorities can Enable the Energy Transition of the Agrifood Sector?

Energy Communities may be the Answer! 

Municipal authorities can play a decisive role in accelerating the energy transition of the agrifood sector. Farmers and cooperatives often face high energy costs and limited capacity to invest alone in renewable installations, even when they have strong potential such as large rooftops or available land. Renewable Energy Communities (RECs) provide a practical mechanism to unlock this potential through collective action.

Recognized under the framework of the European Commission, RECs allow municipalities, farmers, SMEs and citizens to jointly produce, consume and share renewable energy. For local authorities, the question is not whether to support the agrifood transition, but how. Energy Communities offer a concrete answer.

Municipalities can act immediately by:

• Initiating local dialogue between farmers, cooperatives, SMEs and citizens to assess interest and energy needs.

• Providing public assets, such as rooftops or land, to host renewable installations that benefit agrifood actors.

• Facilitating administrative procedures and reducing local regulatory barriers.

• Integrating RECs into municipal energy and climate plans, ensuring long-term political support and coherence.

• Mobilising funding opportunities at national and EU level to reduce upfront investment risks.

Through this structured support, farmers who may not consume enough electricity individually to justify a solar installation can participate in a shared project. Energy can be distributed within the community under transparent rules, improving price stability and reducing exposure to volatile markets.

Beyond energy savings, this approach strengthens local value chains. Installation, maintenance and management activities create opportunities for local SMEs. Farmers gain additional income streams and greater predictability in operating costs. Municipalities retain energy spending within the territory while advancing their climate objectives. Additionally, supporting local agricultural production creates added value, enhancing the unique identity of the area and diversifying the income streams.

Energy Communities give municipal authorities a practical lever to accelerate the energy transition of the agrifood sector—reducing emissions, empowering farmers, strengthening local economies, and shaping a more resilient energy future.

With AGRICOM, the establishment of RECs is facilitated in 6 EU regions: Wallonia and Flanders (Belgium), Province of Trento (Italy), Croatia, Catalonia (Spain) and Greek islands. The involvement of Municipal authorities in RECs along with SMEs and farmers is more than encouraged.

This content was created as part of the activities of the EU project AgriCom, co-funded by the EU Single Market Programme (SMP COSME) under grant number 101241510.

The views expressed in this text are the sole responsibility of DAFNI and do not necessarily reflect the views of the European Union.