Page contents Page contents Introduction The Just Transition Mechanism (JTM) is a key tool to ensure that the transition towards a climate-neutral economy happens in a fair way, leaving no one behind. It provides targeted support to help mobilise around €55 billion over the period 2021-2027 in the most affected regions, to alleviate the socio-economic impact of the transition. Financing The Just Transition Mechanism addresses the social and economic effects of the transition, focusing on the regions, industries and workers who will face the greatest challenges, through three pillars: A Just Transition Fundof €19.7 billion in current prices, is expected to mobilise around €7.3 billion of national co-financing, amounting to a total of €27 billion.InvestEU "Just Transition" schemeprovides a budgetary guarantee under the InvestEU programme across the four policy windows and an InvestEU Advisory Hub that acts as a central entry point for advisory support requests. It is expected to mobilise €10-15 billion in mostly private sector investments.A Public Sector Loan Facilitycombines €1.3 billion of grants financed from the EU budget with €6-8 billion of loans from the European Investment Bank, to mobilise €13.3-15.3 billion of public investment. Just Transition Fund Territorial just transition plans define the territories in which the Just Transition Fund is used. The identification of these territories is carried out through a dialogue with the Commission. These plans set out the challenges in each territory, as well as the development needs and objectives to be met by 2030. They identify the types of operations envisaged and specify governance mechanisms. The approval of the territorial just transition plans opens the doors to dedicated financing under the other two pillars of the Just Transition Mechanism. Just Transition Platform The Just Transition Platform assists EU countries and regions with the just transition. It consists of a single access point and helpdesk. It provides comprehensive technical and advisory support. Authorities and beneficiaries can access it to find all they need to know about the funds, including opportunities, relevant regulatory updates or sector specific initiatives. The Platform also promotes actively the exchange of best practices among all stakeholders involved, including through regular physical and virtual gatherings. Just Transition PlatformAccess the platform Who benefits? Support is available to all Member States, focused on regions that are the most carbon-intensive or with the most people working in fossil fuels. Member States can get access by preparing territorial just transition plans that cover the period up to 2030, identifying the territories that should get the most support. The plans should also set out ways to best address social, economic and environmental challenges. People and citizens, most vulnerable to the transitionThe Just Transition Mechanism protects them byfacilitating employment opportunities in new sectors and those in transitionoffering re-skilling opportunitiesimproving energy-efficient housinginvesting to fight energy povertyfacilitating access to clean, affordable and secure energyCompanies and sectors, active in or comprising carbon-intensive industriesThe Just Transition Mechanism protects them bysupporting the transition to low-carbon technologies and economic diversification based on climate-resilient investments and jobscreating attractive conditions for public and private investorsproviding easier access to loans and financial supportinvesting in the creation of new firms, SMEs and start-upsinvesting in research and innovation activitiesMember States and regions, with high dependence on fossil fuel and carbon-intensive industriesThe Just Transition Mechanism protects them bysupporting the transition to low-carbon and climate-resilient activitiescreating new jobs in the green economyinvesting in public and sustainable transportproviding technical assistanceinvesting in renewable energy sourcesimproving digital connectivityproviding affordable loans to local public authoritiesimproving energy infrastructure, district heating and transportation networks.
