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Housing accounts for approximately 20% of greenhouse gas emissions in the European Union, making it a key area for municipal climate policies. This paper examines the intersection of housing and environmental policies in three Finnish cities (Oulu, Tampere, Turku) and three German cities (Kiel, Mainz, Wiesbaden). Utilising data from policy documents and 49 interviews with local councillors, the study explores the perspectives on sustainability in municipal housing policy-making. The findings reveal that municipal housing policy often fails to holistically integrate the multiple dimensions of sustainability – ecological, social, economic, cultural, institutional and material-technological. Instead, political priorities, economic pressures and fragmented governance structures frequently lead to trade-offs and tensions between sustainability goals. A more long-term, visionary and politically conscious approach that integrates infrastructure, environment and services is needed to alleviate the tensions and achieve sustainable housing at the municipal level. The study provides insights into achieving such an approach to sustainable housing at the municipal level.
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