Energy communities flourish when specific conditions related to institutional design, territorial characteristics, and policy context are suitable. Investigating and comparing the background of this movement in selected countries provides a better understanding of the similarities and differences between markets and policy-driven initiatives. Selected case studies from France and Italy, ranging from the historical energy cooperatives in the Alpine region to country-wide innovative models, provide evidence of their welfare-enhancing roles. Comparative examination of the institutional design, policy context, operational structure, and benefits offers insights both for decision-makers and entrepreneurs willing to contribute to the further development of energy communities.