Carbon Market Watch’s Post

The EU has a €86.7 billion Social Climate Fund to make its Green Deal work for the people. Together with WWF European Policy Office and Carbon Market Watch, we explain the basics of how this fund works. To get the most out of it, we are also urging the European Commission and member states to support a just transition by: 1️⃣Extending loans to member states as of 2025, which can be later recouped from future ETS2 (carbon market) revenues. This should enable the rolling out of low cost EV ‘social leasing’ programmes across member states ASAP (as in France); 2️⃣Prohibiting investments in so-called ‘transition’ fossil fueled technologies, which only lock EU citizens longer into carbon pricing. Low carbon ≠ zero carbon;  3️⃣Disbursing part of the SCF money as direct income support or ‘climate dividends’. This can help to build broad support for climate measures and serve as the essential bridge low-income families need while investments in cleantech are kicking in; 4️⃣Increasing the funds available for the SCF through a new 1bn EU Climate and Social Investment Plan. #GreenDeal #SocialClimateFund #SCF #ETS2

💡 With the Social Climate Fund (SCF), the EU has for the first time combined climate policy (low­ering carbon emissions) with carbon pricing and social policy (supporting vulnerable people). According to the European Commission (EC), this was necessary in order for the policy to be accepted and more importantly, to make the energy transition a just transition. 💶 In 2023, the Social Climate Fund (SCF) was approved alongside the expansion of the Emission Trading System to the building and transport sector. The fund redistributes a part of the revenue made by this expansion with the aim of preventing the most vulnerable people from being exposed to transport and energy poverty as a result of the pricing policy. 🔸 In his policy paper, Joren Schepers analyses France's existing policy on energy poverty and the alignment with the targets of the SCF, giving an insight into the fund's capacity and whether it can live up to the expectations. #SocialClimateFund #JustTransition #EnergyTransition #CIFEPolicyPaper #PolicyAnalysis

The Social Climate Fund has been created to address potential social impacts arising from the ETS2 - the new Emissions Trading System (ETS) that applies a carbon price to fuel used in buildings and road transport. It is the first EU fund developed with the explicit purpose of alleviating potential energy and transport poverty resulting from the transition towards zero-emission mobility and decarbonised buildings. From 2026-2032 the fund will channel almost €87 billion in targeted support to all EU member states.

🚨The Board of the Fund for #LossAndDamage meets today. CSOs face severe restrictions in participation—limiting the voices of those most affected by the climate crisis. The Fund for #LossAndDamage Board must ensure: ✅robust #CSOparticipation ✅inclusivity ✅transparency and access Hold decision-makers accountable for their obligations! 👊🏽 Read more: https://lnkd.in/eugqZg99

From project approval to first disbursement in 20 days — a record for the Green Climate Fund, announced today! We are delivering faster #ClimateAction and setting new benchmarks. The $13.4 million project in the Cook Islands also marks the first time GCF is directly supporting climate and health in the Pacific, part of our commitment to climate adaptation in small island developing states. This represents real momentum as we work to deliver for developing countries with maximum efficiency and impact. https://lnkd.in/egcxQtUg

#SaveTheDate | "Is the Social Climate Fund enough to ensure a Just Transition?" 🌐 AdJUST Webinar 📅 19 December 2024 | h. 15:00 CET 🔎 Join us for an insightful webinar on EU climate measures to ensure a Just transition. Our keynote speaker, Xaquin Garcia from BC3, will analyze: - The socio-economic consequences of ETS2 and the Social Climate Fund (SCF) - The effectiveness of the SFC to ensure compensation for households’ welfare losses - The efficacy of the SCF in guaranteeing that energy-vulnerable households are not disproportionately impacted by EU climate measures, such as ETS2. The discussion will be moderated by Ireri Hernandez Carballo from CMCC, promising an engaging session with plenty of opportunities for audience interaction. ➡️ Register to attend: https://ow.ly/cU7b50Unlwz Organized by: #AdJUST project, CMCC

Local communities provide critical and effective climate solutions that respond to local needs. To truly deliver #ClimateJustice, the #LossAndDamage Fund must be bold, inclusive, and supportive of those on the frontlines. Simplified and adequately resourced #DirectAccess is essential. To truly deliver on its promise to reach the most affected, the #LossAndDamage Fund must establish a dedicated community access window that provides small grants to frontline communities, Indigenous Peoples, and people experiencing marginalization and is: 1️⃣ Substantially resourced 2️⃣ Easily accessible & transparent Helvetas, along with the Alliance2015 and 350+ signatories, demand climate justice that is bold, inclusive, and truly supports those on the frontlines of climate impacts. Simplified and adequately resourced #CommunityAccess is essential. Read our full letter and join us in demanding a #LossandDamage Fund that delivers on its promise: http://bit.ly/4cvyFPn #LossAndDamage #ClimateJustice #DirectAccess #HumanRights4LDF

✍️ Did you know that EU Member States are drafting national plans to manage 82 billion euros of climate investments over the next years? 🎯 The so-called “Social Climate Plans” will detail how countries can help tackle energy poverty while reducing emissions. 👀 In this just-published briefing, co-signed by 37 organisations, we propose solutions for a truly effective Social Climate Fund. 🔗 https://bit.ly/4ehWYku

✅ Trinomics is leading the project “Support to the preparation of Social Climate Plans” for DG REFORM, which will provide technical support to 9 beneficiary Member States to develop their 📌 Social Climate Plans 📌 that should be submitted to the European Commission by June 2025.   Together with our project partners, E3-Modelling Energy-Economy-Environment, Oeko-Institut e.V., Ecorys, Institute for European Environmental Policy (IEEP), we will: 🧮model the impact of #ETS2 and of other measures to be financed via the Social Climate Fund; 💰support Member States in the selection of measures and investments; and 🗣️provide guidance and support to Member States in their stakeholder consultation process. Each of the 9 MSs is also supported by a team of local experts from Copenhagen Economics, Ecorys, Gaia Consulting, EpV, EGÚ Brno, ENBEE and Estonian, Latvian & Lithuanian Environment (ELLE), University of Antwerp and several other individual experts. #EUReformSupport #SocialClimateFund #ClimateAction