The Climate Pact was set up by the Grand Duchy of Luxembourg's Ministry of Sustainable Development and Infrastructure and "myenergy" in order to enable municipalities wishing to actively tackle climate change to request State support by signing a Climate Pact engagement charter. Initially it included 79 measures divided into 6 categories:

1. spatial planning and construction
2. public buildings and plants
3. energy supply and decontamination
4. mobility
5. internal structures/procedures and finance
6. communication and cooperation.

In 2018, specific measures for a transition towards circular economy have been added, which include, among others:

1. planning of demountable or modular buildings
2. promotion of the "product-as-a-service" model
3. procurement of Cradle-to-Cradle certified material
4. sharing economy initiatives
5. use of renewable sources within local circuits
6. citizens' co-creation initiatives.

Municipalities are encouraged to take these measures and also supported in their efforts by a climate advisor.