The Swedish municipality of Växjö has set the ambitious climate goal of becoming a fossil fuel-free city by 2030. Växjö has long strived to become an eco-smart, green and healthy, growing and inclusive city, and create a community that stops causing any negative climate impacts by 2030. The study uses the qualitative research method of case study. The policy document and municipal published reports from Växjö municipality provide the empirical data. Four online interviews were conducted to provide the first-hand data. This thesis aims to critically analyze the challenges and constraints that Växjö faces in its process of fossil fuel-free ambition achievement. And answering three research questions: the current strategies, challenges (in technology, policies, and social aspects), and solutions implemented by Växjö Municipality. The conclusion shows that Växjö has fall behind in achieving carbon neutrality by other Swedish peer cities, and there are gaps between symbolic actions (e.g. green branding) and real sustainable practices. The transition to a just and inclusive framework is needed to reconcile the rhetoric with reality for Växjö. This research fills the gap of a deeper understanding of complex dynamics in a small municipality like Växjö to achieve carbon neutrality and fossil fuel-free ambition, contributes to understanding the complex dynamics of local sustainability efforts, and contributes to the growing literature on energy transition theory in a specific city. It also offers practical insights for other municipalities, especially the small cities that pursue the similar climate goals.