District heating is not a thing of the past, but a surprisingly important part of the future zero-emission buildings – interview with Gábor Szarvas

In the Hungarian real estate market, attraction to and distrust of district heating appear simultaneously, mostly due to widespread misconceptions. Although many still associate it with outdated systems, district heating is one of the most common and sustainable heating solutions in Europe’s most environmentally conscious countries. The EU has set the goal of achieving a zero-emission building stock by 2050, which means increasingly strict energy-efficiency and fossil-fuel phase-out requirements will take effect from 2026. In his interview with Irodakereső, our Managing Director Gábor Szarvas explained that district heating should not be dismissed but understood, as the system will become progressively cleaner as part of the green transition and can play an important role in the buildings of the future. Most real estate-related dilemmas stem from misunderstandings, while the real solution lies in continuous energy-efficiency improvements and data-driven, long-term decision-making.

You work as consultants for many domestic offices, shopping centres and commercial properties. What dilemmas do they bring to you?

The most common question we hear is: “If we want a zero-emission building, do we need to disconnect from district heating?” This concern typically arises from misconceptions. My answer is no—disconnecting is rarely justified. The first and most important step toward zero emissions is not changing the energy source but drastically improving energy efficiency. An outdated building will not become green regardless of the heating method. And district heating should not be written off just because it still uses gas today: providers will be required to shift toward renewables, and buildings that stay connected will benefit from this greening process. Moreover, when large consumers disconnect, it reduces the efficiency of the district heating system and undermines tariff competitiveness—contrary to sustainability goals.

What advice would you give today to Hungarian property owners, operators and developers who want to prepare a decarbonisation plan?

I would highlight three points: do not start with the heating system, start with energy efficiency—this is the key EU and sustainability requirement. Do not dismiss district heating; it is not fully green yet, but it is obligated to become greener and will play a major role in future zero-emission buildings. And finally: make decisions based on data. Without proper technical and financial calculations, it is easy to make poor choices. In the question of disconnecting from or connecting to district heating, having the full picture is especially crucial. The green transition is a huge opportunity for Hungary’s building stock—yet only those who prepare in time, consciously, and with expert support will truly benefit.

You can read the full interview in Hungarian on Irodakereső.hu.

We would like to express our gratitude again for the opportunity!