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Carbon Market Watch calls for the Social Climate Fund to explicitly prohibit any investment in fossil fuel-based technologies, including 'low(er) carbon' alternatives like efficient gas boilers, to avoid locking low-income groups into long-term fossil fuel use and to prevent environmental degradation.

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  • Carbon Market Watch advocates for the complete exclusion of fossil fuel investments from the Social Climate Fund to support a just and inclusive energy transition.
  • The Social Climate Fund is viewed as essential for protecting lower-income groups from increased energy and transport poverty resulting from the extension of carbon pricing to buildings and road transport under 'ETS2' starting in 2027.
  • The document argues that the Social Climate Fund should prioritize zero-carbon infrastructure, such as renewable heating, cooling, and transportation, rather than temporary income support or fossil fuel subsidies.
  • The author warns that investing in 'low carbon' technologies instead of 'zero carbon' alternatives—such as more efficient gas boilers—locks low-income households into fossil fuel use for up to 15 years.
  • Previous applications of 'DNSH' screening under the Cohesion Policy and the Recovery and Resilience Facility (RRF) failed to prevent the approval of fossil fuel investments.

Cite the original document

APA
Scott, E. (2024). CMW SCF DNSH Public Consultation. Carbon Market Watch. https://carbonmarketwatch.org/wp-content/uploads/2024/06/CMW-SCF-DNSH-Public-Consultation.pdf
Chicago
Scott, Eleanor. CMW SCF DNSH Public Consultation. Carbon Market Watch, 2024. https://carbonmarketwatch.org/wp-content/uploads/2024/06/CMW-SCF-DNSH-Public-Consultation.pdf.
Wikipedia
{{cite press release |last1=Scott |first1=Eleanor |title=CMW SCF DNSH Public Consultation |publisher=Carbon Market Watch |date=27 May 2024 |url=https://carbonmarketwatch.org/wp-content/uploads/2024/06/CMW-SCF-DNSH-Public-Consultation.pdf |access-date=23 October 2026 |via=Climate Insights Directory}}
BibTeX
@misc{scott2024cmw, author = {Scott, Eleanor}, title = {{CMW SCF DNSH Public Consultation}}, publisher = {Carbon Market Watch}, year = {2024}, month = may, url = {https://carbonmarketwatch.org/wp-content/uploads/2024/06/CMW-SCF-DNSH-Public-Consultation.pdf}, urldate = {2026-10-23}, note = {Indexed by Climate Insights Directory} }

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