Luxembourg: A policy-led approach caught between green growth and affordable housing

Abstract

Luxembourg, known for its economic wealth linked to the finance industry, has shown significant efforts to transform its building sector. This chapter traces the emergence of sustainable building in Luxembourg since the late 1990s. Green building in Luxembourg is strongly driven by progressive government regulations and policies that illustrate different understandings of and approaches to greening. The chapter distinguishes between two policy approaches: (1) green growth and (2) social housing and urban sustainability. The first consists of a sustainability perspective that is based on the compatibility of environmental and economic objectives. During the 2000s, green building was primarily understood through energy efficiency to be achieved at the scale of individual buildings. This focus was broadened over time towards eco-technologies more generally that are promoted as strategy to further diversify and to position Luxembourg’s economy internationally. The second, less dominant approach moves beyond technological fixes and the scale of individual buildings towards more holistic approaches to urban sustainability through social housing. While government initiatives and (partly) the private sector’s efforts have gained considerable momentum, public participation and civic engagement in green building are rather ephemeral, compared to other city regions.