Tallinn's draft city budget for next year proposes a total of €41 million for operating expenditure and investment in the area of urban assets, with a focus on developing municipal and social housing, supporting housing associations and improving the energy efficiency of city-owned buildings.

Deputy Mayor Tanel Kiik said that Tallinn has set a target to reach climate neutrality by 2050 and to reduce greenhouse gas emissions by 40% by 2030. "One of the measures in Tallinn's climate plan to achieve this is to increase the energy efficiency of municipal buildings. We are therefore planning to spend €2.8 million next year on upgrading the electricity and heating systems of city-owned buildings and installing solar panels. Given the surge in energy prices, the economic gains this will bring to the city in the long term are also very important," said Kiik.

For years, Tallinn has offered various grants to housing associations to help improve both the living environment and urban space. These activities will continue next year. In addition, they will be advised on how to improve the energy efficiency of their buildings, through training courses and the production of support material on the risks of climate change and how to deal with them.

To create new housing for persons registered as applicants for housing, the design of a municipal apartment building at 135 Tammsaare Street in Mustamäe and two social houses on Vasara Street in Põhja-Tallinn will continue. A total of €207 000 has been earmarked for this purpose.
 
The modular renovation pilot project, which started in 2023, will also continue with the renovation of the facade and technical systems of the housing complex Energia 13. Around €700 000 has been earmarked for these works in next year's budget.
 
A further €1.7 million is earmarked for urban assets to cover smaller-scale works in a number of city-owned buildings.

Tallinn's 2023 budget must be approved by the City Council. The draft city budget for next year, which has been sent to the council, totals €1.14 billion, which is €66.5 million, or 6.2%, more than the 2022 revised budget. The 2023 budget for the city of Tallinn proposes €902.1 million in operating expenditure, 8.8% more than the 2022 revised budget. For investments, the draft budget foresees €217.6 million in 2023, which is 4.7% less than the 2022 revised budget.