Can a transition to a greener economy be just if millions of people still lack access to safe, affordable housing?

As Europe embarks on its ambitious journey toward a climate-neutral future, it risks overlooking one of the most foundational elements of a truly Just Transition: housing. Far more than just shelter, housing underpins economic stability, social equity, and environmental sustainability. Ignoring this critical pillar means leaving behind the very communities most affected by the green transition—workers in transitioning industries, low-income families, and marginalized groups. Unless housing becomes central to the green agenda, the promise of justice in this transition will remain unfulfilled.

When we talk about the EU’s Just Transition policies, it’s easy to applaud the generous funding streams and financial mechanisms aimed at reskilling workers, diversifying economies, and encouraging green investments.

Yet housing—an essential pillar of economic stability, social equity, and environmental resilience—remains largely overlooked.

Without access to affordable homes, workers and families in transitioning regions face significant barriers to stability and inclusion. Energy-inefficient housing compounds these challenges, driving up utility costs and disproportionately affecting low-income households already struggling with the economic effects of the green transition and creating a widening gap between those who can adapt to a greener economy and those left behind. These pressures risk creating a two-tier society where sustainability becomes a privilege rather than a shared benefit.

By integrating housing into Just Transition policies, we can ensure that revitalized regions are not only economically diverse but also socially inclusive, environmentally sustainable, and livable for generations to come.

Affordable and energy-efficient housing is vital to achieving a fair and inclusive Just Transition, particularly in coal-dependent regions where energy poverty is disproportionately high.

Retrofitting homes offers a tangible solution, reducing utility costs for vulnerable families, lowering greenhouse gas emissions, and creating stable, local jobs for displaced coal workers.

In addition to retrofitting homes, rethinking how we use existing resources such as vacant real estate presents another powerful strategy for addressing both housing shortages and climate goals. Across Europe, millions of homes and buildings sit vacant, representing a significant opportunity to address both housing shortages and climate goals.

Affordable housing can be created by converting vacant real estate, a strategy that significantly reduces the embodied carbon emissions of Europe’s building stock—one of the largest contributors to CO2 emissions.

Europe’s housing crisis is not a matter of scarcity but of misaligned priorities.

Across the continent, 38 million homes sit vacant, alongside underutilized industrial spaces and office buildings left empty by the remote work revolution. Projects like ‘Empty Spaces to Homes’ (ESTHer), funded by the Laudes Foundation and led by Habitat for Humanity International, demonstrate what is possible. By retrofitting unused spaces and implementing governance models such as Social Rental Agencies, ESTHer has transformed vacant properties into affordable, energy-efficient homes for vulnerable populations. This approach not only addresses housing shortages but also aligns with climate goals by reducing the reliance on high-emission new construction.

Despite these innovative examples, the scale of these initiatives is by no means sufficient, and housing focus remains largely absent from the EU’s Just Transition framework to the local actions on the ground. The Just Transition Fund, for instance, prioritizes industrial transformation and worker reskilling while providing only limited support for housing initiatives. Yet, housing is a critical enabler of both climate action and social equity.

To truly embody the principles of justice, Europe must elevate housing as a central pillar of its green agenda. A dedicated Housing Commissioner could play a pivotal role in addressing this gap. The Commissioner’s role could be to champion initiatives that prioritize housing in Europe’s journey to meet climate and social equity goals. This includes advocating for sustainable construction practices, prioritizing retrofitting over new construction, and encouraging member states to integrate housing into their Just Transition plans. For coal-phase-out regions, retrofitting projects offer transformative potential—reducing energy poverty while providing employment opportunities for displaced workers. Achieving these goals requires more than funding—it demands governance models that promote long-term sustainability, financial systems that extend beyond temporary subsidies, and a construction industry committed to innovation and responsibility.

Housing must transition from being treated as an afterthought to becoming the missing piece in Europe’s Just Transition agenda puzzle.

This piece is also an effective way to bridge high-level policy frameworks with tangible impacts on affected communities, ensuring a Just Transition that leaves no one behind.

Author: Laura Palencikova, Project Officer, Habitat for Humanity Europe and the Middle East

For communities across the globe, having a safe and stable home is the foundation for a brighter future. This is especially true in marginalized areas where access to basic amenities and legal housing remains a challenge.

Habitat for Humanity’s Home Equals initiative strives to empower families and communities to build a better life.

Lighting the Path Forward in “Stari Lozja”

In the informal settlement of “Stari Lozja” in Kumanovo, a city in North Macedonia, residents like Shaip Ramadani live amidst significant challenges. Shaip, a 50-year-old Roma rights activist, has been striving to improve living conditions in his neighborhood. His family home, built in 2004, remains unlegalized—a common issue for his neighbors as well. This lack of legal recognition prevents residents from accessing favorable loans and support needed to improve their homes.

Through the Home Equals initiative and the development of a new Detailed Urban Plan, Shaip and his neighbors have renewed hope. The plan aims to provide a pathway for legalizing their homes, paving the way for critical infrastructure and community development. “My property title has still not been processed because they are working on cases from 2014,” Shaip explains. “As a result, we face many challenges. For instance, we can’t access favorable loans to expand the house, and we are at a standstill.”

Despite these hurdles, progress has been made. The installation of new streetlights, secured through active citizen participation in the Local Leadership Group, has brightened the settlement’s streets and spirits. “The street lighting is now much better than before. However, we still need a legal road, a water supply network, a sewage system, as well as a kindergarten, playgrounds, a health clinic, a post office, a park, and other amenities essential for modern living,” Shaip emphasizes.

Shaip’s optimism remains steadfast as he envisions a future where his children and grandchildren can thrive. “We must all hope for this so that the youth don’t leave for abroad,” he says. For the 9,000 residents of “Stari Lozja,” the promise of improved living conditions through the Home Equals initiative kindles hope for a better tomorrow.

A Mother’s Determination in Shuto Orizari

In Shuto Orizari, Macedonia’s only Roma-run municipality, located on the outskirts of the capital Skopje, the story of Almadet Shain highlights the resilience of those who face daily struggles yet remain hopeful. Almadet, a mother of two, lives in a home battered by the elements. Windows tremble under the winter wind, the roof is shattered, ceilings leak, and the pervasive smell of mold reminds her of the work still to be done.

“When it rains, water pours through our windows; I am always rolling up the carpets and mopping,” she shares. Yet, her resolve never wavers. Caring for her children and her ailing father, Almadet meets each day with courage and love.

Through the Home Equals initiative, Almadet and her family are on the brink of receiving new doors and windows. These improvements will seal their home from the cold and rain, ensuring warmth and comfort for her children. Her determination resonates with mothers everywhere who dream of a secure and nurturing environment for their families.

Building Brighter Futures Together

The Home Equals initiative exemplifies Habitat for Humanity’s mission to provide safe and decent housing for everyone. By addressing the unique needs of communities like “Stari Lozja” and Shuto Orizari, the project empowers residents to actively participate in shaping their future. It brings tangible improvements, such as streetlights and home repairs, while also advocating for systemic changes that address legal and infrastructural challenges.

Shaip’s and Almadet’s stories remind us that a home is more than just a roof over one’s head; it’s a foundation for dreams, dignity, and hope. Together, we can help turn their aspirations into reality.

Because HOME EQUALS hope, resilience, and a brighter future for all.

In previous articles, we explored how Excel Coatings is revolutionizing home cooling with its Excel CoolCoat product, and we shared the inspiring story of Sakuntala’s family, who experienced a transformative change in their daily lives.

Now, we bring you the story of Arulselvi’s family, another beneficiary of this innovative solution.

Learn how Excel CoolCoat has made their home more livable and brought lasting relief from the relentless summer heat, as we wrap up this series showcasing the profound impact of this affordable and sustainable cooling technology.

Arulselvi, a stay-at-home mother has been living in a house built by her own father back in 2013 with her father, mother, brother, sister, husband and children. They used to struggle with the intense heat during the summer. “Before we applied it, the heat in our home was unbearable, as if we were in a sauna, especially in the kitchen,” she recalls. They had resorted to using air conditioning, racking up bills that put a strain on their limited income.

After discovering Excel CoolCoat through social media, Arulselvi decided to give it a try.

“We applied the coating last month, and the difference is astonishing! Now, we only need the air conditioning at night for only a couple of hours. CoolCoat application cost us around 20,000 rupees for our 800 square feet roof, but it’s worth every penny. I feel so relieved and grateful that I can finally enjoy my space without worrying about the heat,” she exclaimed.
 

The Ripple Effect

Excel CoolCoat is not just a product; it represents hope and a better quality of life for families who struggle to cope with extreme temperatures. The company’s commitment to making thermal comfort accessible to low-income households is yielding results, with around 1,400 to 1,600 low-income customers assisted in just six months. The positive feedback is pouring in, with many expressing gratitude for the cooler, more comfortable living conditions. 

“I would definitely recommend it since it has made such a difference in our home,” echoed Mrs. Arulselvi.

Looking Ahead

With plans for expansion and a commitment to sustainability, Excel Coatings is set to make an even greater impact in the coming years. With the support of the Terwilliger Center for Innovation in Shelter, the company aims to share their success stories and pilot data with other manufacturers, fostering a broader market change in India’s heat-reflective coating landscape.
 

In a country where the heat can be relentless, Excel Coatings is a symbol of resilience, proving that with the right solutions, cooler and more comfortable homes are possible for everyone.

About the Terwilliger Center for Innovation in Shelter 

Despite burgeoning demand for affordable housing, low-income families around the world remain underserved by housing markets. Shut out by the mortgage sector’s income and unable to afford high- quality building materials or certified labor, they build their homes incrementally, often with poor advice and substandard materials. As a division of Habitat for Humanity International, the Terwilliger Center for Innovation in Shelter focuses on the most pivotal yet uncharted intervention points in housing markets, piloting new approaches and making a business case where none exists. Since 2016, Habitat’s Terwilliger Center has helped more than 45 million people build or improve the place they call home. With the support of the Hilti Foundation, which supports the center’s efforts in India, the cool roof project has gained momentum. 

As we conclude our three-part series on the transformative impact we’re making in communities across India, we hope you’ve gained valuable insights into our journey.

Together, these stories form a tapestry of resilience, innovation, and positive change—one that we’re proud to be weaving in partnership with people like you. Thank you for joining us on this journey of impact and possibility.

Read more about how this innovative product is transforming the lives of real families across India in these articles.

For those curious about the science and innovation behind Excel CoolCoat and how it is making life cooler, especially in India’s harsh climates, we encourage you to start with the first article How Excel CoolCoat is Making Life Cooler in India.

If you’d like to see the faces behind the stories—families and communities whose lives have been changed—and learn how TCIS played a pivotal role in boosting Excel CoolCoat’s mission, the article Transforming Lives with Cool Roofs. Real Stories from India is a must-read.

In the previous article, we explored how Excel Coatings and its innovative product, Excel CoolCoat, are providing sustainable and affordable cooling solutions to families in India.

Now, we turn our focus to the human impact of this innovation—sharing the real stories of families whose lives have been transformed by the product. From greater comfort to improved quality of life, these testimonials highlight the profound difference Excel CoolCoat is making in communities across the country.

Meet Sakuntala’s Family

Sakuntala, a stay-at-home mother of three, had struggled all her life since her husband died when her sons were small so she had to take care of them herself. She only managed to move into her own house in January 2024.
 

“Before the coating, the heat was so intense that we often had to sleep outside under a tree. We couldn’t even enjoy our indoor kitchen because the heat was unbearable. We had to cook on a mud stove outdoors,” shared Ms. Sakuntala. After hearing about Excel CoolCoat through their church community, they decided to try it.

“Now, everything has changed! We can cook in comfort, and our indoor space has become a sanctuary rather than a source of stress. I no longer sweat while cooking, and we can finally use fans inside without feeling like we’re in an oven,” she recalls.

The cost for the coating was affordable and paid by the savings of the family. “I think the price is more than reasonable given the immense improvement in our living conditions. If anyone asks, I would wholeheartedly recommend it, as it has transformed our home into a place of comfort and peace,” she added with a smile.

Terwilliger Center for Innovation in Shelter: A Catalyst for Change

Recognizing the challenges they faced in reaching potential customers who could benefit from their product, Excel Coatings formed a strategic partnership with Habitat for Humanity’s Terwilliger Center for Innovation in Shelter. The Terwilliger Center is a unit of Habitat for Humanity that focuses on enhancing affordable housing solutions worldwide by fostering inclusive housing markets through innovative finance and market systems approaches. With the support of the Hilti Foundation, which supports the center’s efforts in India, the cool roof project has gained momentum. 

With the Terwilliger Center’s guidance, the company identified a significant barrier: “Many low-income families thought these products were too expensive or not meant for them. But this heat-reflective coating is very affordable, costing less than other insulation and cooling options,” reflected the Director, Mr. Vidhyaprakash. To shift this perception, the center worked with Excel Coatings to implement a comprehensive strategy to improve direct consumer engagement, over traditional business-to-business (B2B) sales. To accomplish this, they leveraged innovative marketing strategies, including digital campaigns and influencer collaborations, which helped Excel Coatings expand its reach significantly. 
 

 “As a small company, it was tough to compete with industry giants. We knew our product had potential, but lacked the resources to reach a larger audience. The partnership with the Terwilliger Center gave us the financial and technical support we needed. In just three months, we saw 75% growth in direct sales, with product awareness skyrocketing. People began recognizing our product from videos—visibility we could never have achieved on our own,” recalls the Director.

Moreover, the Terwilliger Center encouraged Excel Coatings to execute pilot projects that showcased the effectiveness of their product in real-world settings. These demonstrations provided tangible evidence of the benefits, allowing potential customers to witness firsthand how the coating significantly improved indoor thermal comfort.

This data-driven marketing approach proved pivotal for Excel Coatings, enabling them to convert skeptics into loyal customers. The partnership not only enhanced Excel’s visibility in the market but also played a critical role in changing consumer attitudes toward heat-reflective solutions. 

As the Director reflected: “With support from the Terwilliger Cener, the reach of the product skyrocketed, and the awareness went beyond expectations thanks to social media and influencer marketing. Across multiple platforms, social media promotion and influencer marketing, the total views of the ads were over 11 million people with about 1.6 million engagements. People started recognizing our product, saying they’d seen our videos—this kind of visibility was something we never could have achieved on our own.” 

This strategic alliance has been instrumental in positioning Excel Coatings as a key player in the affordable housing industry in India, while making a meaningful difference in the lives of many families.

“Through the Terwilliger Center, we finally reached low-income households who didn’t even know such a product existed. It was eye-opening to learn how much they needed it, but [had always] thought it was too expensive. We then introduced a more affordable, eco-friendly version—half the price but with nearly the same performance. The impact was profound, especially for families who struggle to stay cool. For many, owning a home is a dream, and ensuring thermal comfort should be an attainable necessity rather than an impossible luxury,” summarizes Mr. Vidya Prakash.

Read more about how this innovative product is transforming the lives of real families across India in these articles.

For those curious about the science and innovation behind Excel CoolCoat and how it is making life cooler, especially in India’s harsh climates, we encourage you to start with the first article How Excel CoolCoat is Making Life Cooler in India.

If you’d like to see the faces behind the stories—families and communities whose lives have been changed—and learn how TCIS played a pivotal role in boosting Excel CoolCoat’s mission, the article Excel CoolCoat: A Game-Changer for Heat-Stricken Families is a must-read.