The Smart Cities Marketplace is supporting the City of Leuven and the Flemish public transport operator De Lijn in advancing an innovative project on automated public transport through its tailored technical assistance offer. Selected under the March 2026 call, the initiative is receiving dedicated 1‑on‑1 consultancy to help structure and prepare the project for implementation and investment.
The project, titled Automated driving transition for public transport in Leuven, reflects a forward-looking approach to sustainable mobility in Flanders. Led by De Lijn with the support of the City of Leuven, the initiative aligns with key strategic frameworks, including Leuven’s Sustainable Urban Mobility Plan and the EU Climate Neutral and Smart Cities Mission, in which Leuven is recognised as a Mission City.
De Lijn, which operates bus and tram services across the region, is preparing a long-term transition towards automated transport. This shift is driven by both operational and environmental considerations. Automation presents a significant opportunity to reduce operating costs, particularly driver-related costs, which account for a substantial share of total expenditure, while enabling the reinvestment of savings into more attractive and expanded public transport services.
At the same time, the project recognises the broader systemic implications of automated mobility. Without a strong public and shared-mobility approach, increased automation could lead to higher congestion and additional vehicle kilometres. The Leuven initiative, therefore, places public transport at the centre of this transition, prioritising shared, high-occupancy and on-demand services as a sustainable alternative to private car use.
The technical assistance provided by the Smart Cities Marketplace is designed to support the project at a critical stage of development, focusing on its financial structuring, delivery model and market readiness. Following an initial handshaking meeting in April 2026, Smart Cities Marketplace experts and local stakeholders agreed on a structured support plan addressing key barriers to implementation.
The consultancy begins with a detailed assessment of the project’s status and available documentation, ensuring a solid understanding of its technical and organisational foundations. Building on this, the Smart Cities Marketplace is supporting the design of a comprehensive financing strategy, exploring a mix of funding sources including debt, grants and alternative financial instruments.
A central component of the support is the evaluation of delivery and financing structures, including the potential establishment of a Special Purpose Vehicle. This work examines governance models, risk-sharing arrangements and revenue streams, aiming to enhance the project’s bankability and attractiveness to investors while comparing traditional public financing approaches with more structured project finance models.
In parallel, the consultancy facilitates engagement with potential public and private investors, helping to validate financing assumptions against market expectations. This includes testing investor appetite, refining the proposed financial structure based on feedback and aligning the project with funding requirements to accelerate financial close and implementation.
The technical assistance will run through mid-2026 and culminate in a final report summarising key findings and recommendations. Throughout the process, close collaboration between the Smart Cities Marketplace experts and local stakeholders ensures that the support remains responsive to the project’s evolving needs.
The Leuven and De Lijn example illustrates how the Smart Cities Marketplace provides targeted, hands-on support to complex urban mobility projects. By addressing financial, organisational and market barriers, the initiative enables cities and operators to translate innovative concepts into viable, investment-ready solutions, contributing to more sustainable, efficient and inclusive urban transport systems across Europe.