Just transition in EU regions: support to people, economy and environment

Tzitzikostas

Apostolos Tzitzikostas, when he was elected President of the European Committee of the Regions (138th plenary session)

This article is brought to you in association with the European Parliament.


The EU must transition towards a climate-neutral economy without letting disparities between regions grow any further, say regional development MEPs.

On Monday 6 July, the Regional Development Committee approved the establishment of the Just Transition Fund (JTF) with 27 votes in favour, 7 against and 8 abstentions.

Allocation of financial resources

MEPs request a significant increase in the budget allocated from the 2021-2027 financial framework (from EUR 11 270 459 000 in current prices to EUR 25 358 532 750 in 2018 prices, also referred to as the “principle amount”). This amount would be supplemented with an additional EUR 32 803 000 000 in current prices, as proposed under the EU Recovery Instrument.

The agreed text includes the creation of a “Green Rewarding Mechanism”, allowing 18% of the total JTF resources to be allocated depending on the speed with which member states reduce their greenhouse gas emissions, divided by their latest average GNI. Additionally, 1% of the total amounts would be specifically allocated for islands, and 1% for the outermost regions.

With the JTF designed to support the most vulnerable communities in each region, MEPs call for a co-financing rate of up to 85% of costs for eligible projects.

Relation to existing EU cohesion policy instruments

The establishment of the JTF should not lead to cuts to, or compulsory transfers from, the other cohesion funds, underlines the agreed text. JTF resources may be complemented by resources transferred on a voluntary basis from the European Regional Development Fund (ERDF) and the European Social Fund (ESF+), while maintaining their original objectives.

Broadening the scope of support

MEPs agree that the scope of the JTF should be broader, focusing specifically on social cohesion and leading to job creation. The activities supported by the fund would also include: microenterprises, sustainable tourism, social infrastructure, universities and public research institutions, energy storage technologies, low-emission district heating, smart and sustainable mobility, digital innovation, including digital and precision farming, projects fighting energy poverty, as well as culture, education and community building.

For regions heavily reliant on the extraction and combustion of coal, lignite, oil shale or peat, MEPs propose a derogation for investments in activities related to natural gas. In this sense, the Commission may approve Territorial Just Transition Plans that include such activities, if they qualify as “environmentally sustainable” in accordance with the Taxonomy Regulation and comply with six additional cumulative conditions.

Quote

Rapporteur Manolis Kefalogiannis (EPP, GR) said: “The Just Transition Fund is the first important step in the European Commission’s emblematic initiative for a Green Europe. Today, the Regional Development Committee confirmed that the EP will continue to lead the way in the implementation of the Paris Agreement, pursuing a socially fair and green transition in our regions. With an increased budget, we will be able to effectively support the regions that need it the most, but, above all, strongly support our citizens. We are moving into a new green era without leaving anyone behind.”

Next steps

The European Parliament plenary is expected to vote on the draft report and give the mandate for inter-institutional negotiations during its September sitting.

Background

The Parliament had already called for a comprehensive fund to be established to support a just transition in the energy sector as early as March 2018, with the resolution setting out the Parliament’s position on the post-2020 MFF. On 14 January 2020, the Commission published a legislative proposal on the Just Transition Fund (JTF), aimed at helping the most affected regions alleviate the socio-economic impact of the transition, a first legislative proposal implementing the priorities set out in the European Green Deal. At the end of May 2020, the Commission proposed a substantial increase of the Fund’s resources in an amended proposal (a total of EUR 44 billion in current prices).

the sting Milestone

Featured Stings

Can we feed everyone without unleashing disaster? Read on

These campaigners want to give a quarter of the UK back to nature

How to build a more resilient and inclusive global system

Stopping antimicrobial resistance would cost just USD 2 per person a year

SCADA Security Conference 2017 in Prague, Czech Republic

INTERVIEW: Poverty, education and inclusion top new General Assembly President’s priority list

New UN data tool shows ‘mismatch’ between government aid and places modern slavery exists

Migration crisis update: mutual actions and solidarity needed as anti-migrant policies thrive

COP21 Breaking News_03 December: Unprecedented Global Alliance for Buildings and Construction to Combat Climate Change

Mergers: Commission opens in-depth investigation into PKN Orlen’s proposed acquisition of Lotos

We can save our ocean in three steps – if we act now

Questions directors need to ask in the age of stakeholder capitalism

Your recycling actually gets recycled, right? Not always, says this report

Why the 33,000 staff European Commission did not have a real contingency plan for the refugee crisis?

Extra mild ECB tapering of QE and zero interest rates keep euro low

Digital learning can help us close the global education gap. This is how

Fail fast, fail better: 3 ways companies can master innovation

World Migratory Bird Day highlights deadly risks of plastic pollution

EU Migrant Crisis: Italian Coast Guard Headquarters and Italian Navy to give host national opening addresses at Border Security 2016 in Rome

Here’s how India can soar in the Fourth Industrial Revolution

Youth policy in Europe not delivering for young people

5 ways the world is rallying around Australia as bushfires rage

How studying genetics and lifestyle can shape a healthier MENA region

UN chief welcomes DR Congo President’s promise to stand down

Back to school: Schoolchildren to receive milk, fruits and vegetables at school thanks to EU programme

Commission and EIB provide CureVac with a €75 million financing for vaccine development and expansion of manufacturing

UN agencies launch emergency plan for millions of Venezuelan refugees and migrants

How the EU sees its own and Russia’s role in Ukraine

Google succumbs unconditionally to EU’s “right to be forgotten” ruling

An Eastern Wind

Grave concern over escalating humanitarian crisis, casualties, displacement across northwest Syria: UN

Commission welcomes Bulgaria and Croatia’s entry into the Exchange Rate Mechanism II

Climate Change Revolution: by-laws for the world

Venezuelan crisis: MEPs reaffirm their support for Juan Guaidó

Deadly earthquake kills dozens in Turkey, UN stands in solidarity and offers support

EU shapes its ambitious strategy on India

Why the world needs systems leadership, not selfish leadership

ILO welcomes new UNDP report that places decent work at the heart of sustainable development

Biggest ever UN aid delivery in Syria provides relief to desperate civilians

China is sending science students to live with rural farmers – and crop yields are skyrocketing

EU and World Health Organisation team up to boost access to health services in developing countries

UN chief announces progress on committee to shape Syria’s political future

This entrepreneur built an island resort out of plastic waste

To beat hunger and combat climate change, world must ‘scale-up’ soil health – UN

Brussels waits for the Germans to arrive

The migration crisis is slowly melting the entire EU edifice

How Europe beat the financial crisis – and the risks it still faces

Could robot leaders do better than our current politicians?

UN agency chiefs condemn Saudi-coalition led air strike that killed dozens in western Yemen

COP21 Breaking News_03 December: UNFCCC Secretariat Launches Forest Information Hub

Security Council renews Central African Republic arms embargo

These are the world’s most fragile states in 2019

From mental health to suicide: the interruption of this chain reaction by prevention

‘Many challenges to overcome’ at UN, in fight against abuse: victims’ advocate

Commission welcomes the political agreement on the transitional rules for the Common Agricultural Policy (CAP)

Nigel Farage and Boris Johnson: who forced the two ‘brave’ Brexiteers to quit?

The developing countries keep the world going

Inclusion, empowerment and equality, must be ‘at the heart of our efforts’ to ensure sustainable development, says UN chief

The Venezuelan exodus to Roraima and its repercussions

The vicious cycle of poverty and exclusion spreads fast engulfing more children

What are the real debates surrounding immigration in an increasingly globalized world?

Parenting in the time of COVID-19? Consider these 6 tips from the WHO

Global Citizen – Volunteer Internships

Britain aligns with EU rivaling US on trade and Iran, abandons bilateral ‘Midsummer Night’s Dream’

More Stings?

Advertising

Speak your Mind Here

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google photo

You are commenting using your Google account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )

Connecting to %s