Brussels, 18 September 2024 – As the new European Commission and Parliament begin their mandates, over 40 civil society organisations from across Europe have issued a statement calling on EU leaders to ensure the continuation of the Just Transition Fund in the next EU budget.
Currently, 92 regions across Europe are using the Just Transition Fund to mitigate the impacts of the closure of high-carbon industries in regions throughout the EU. Some countries will complete the process within a few years, but others face a much longer and more painful journey towards full decarbonisation.
The timing of this statement is particularly significant given the upcoming mid-term review of the EU’s cohesion policy, the review of the Just Transition Fund, and the European Commission’s proposal for the new Multiannual Financial Framework, which will be followed by negotiations with other EU institutions.
While the political guidelines for the next European Commission President include a commitment to ‘significantly increase our funding for a just transition across the next long-term budget’, there are also signals from various corners of the EU that the fund should either be discontinued entirely or be significantly modified. This could lead to much dissatisfaction in regions that have already embarked on the just transition pathway.
With this statement, Europe’s leading civil society organisations underline the importance of keeping the Just Transition Fund as a dedicated financial instrument under the cohesion policy, while preserving its territorial focus to ensure targeted support. In addition, they call on EU leaders to ensure that the next version of the fund applies stronger social conditionalities to protect the most vulnerable communities, including dedicating a minimum proportion of spending to social projects. They also call for more robust environmental conditionalities to ensure that funded projects make a greater contribution to the EU’s climate and biodiversity targets.
Miłosława Stępień, Just Transition Coordinator for Central and Eastern Europe at CEE Bankwatch Network: ‘In regions transitioning away from high-emission industries, especially in central and eastern Europe, the Just Transition Fund is seen as the only dedicated and easily accessible fund they can use. It provides enormous support in revitalising areas that have been in decline for decades. These regions will continue to struggle if they’re not further assisted in their efforts to shift to a green economy.’
Olivier Vardakoulias, Finance and Subsidies Policy Coordinator at Climate Action Network (CAN) Europe: ‘The European Green Deal is in its implementation phase and, while it promises to reduce emissions, it also requires ongoing dialogue with citizens to maintain their trust. It’s crucial that Member States and EU institutions show that they can meet their basic needs and provide a safety net. Extending the Just Transition Fund beyond the current long-term EU budget would demonstrate that the EU is serious about the public’s demands for a socially just energy transition, particularly in regions shifting away from fossil fuels.’
Mags Bird, Senior Policy Officer on Climate and Energy and the Just Transition at the WWF European Policy Office: ‘Addressing environmental, economic and social challenges in a coordinated way is a key challenge for the green transition. The Just Transition Fund is unique in aiming to do exactly that via plans tailored to local needs and contexts. It’s an important instrument for a more integrated and place-based shift towards sustainable societies.’
For more information and media requests:
Katarzyna Piasecka, Communications Coordinator, katarzyna.piasecka@caneurope.org
Olivier Vardakoulias, Finance and Subsidies Policy Coordinator, olivier.vardakoulias@caneurope.org, +30 697 816 2538
