EU Emissions Trading System, Social Climate Fund and Just Transition

The document examines the social implications of the European Commission's 'Fit for 55' package, specifically the introduction of carbon pricing for road transport and buildings (ETS2). It highlights the proposed EUR 72 billion Social Climate Fund (2025-2032) designed to provide income support to vulnerable households and fund emission-reduction measures to ensure public acceptance and a fair transition away from fossil fuels.

• The European Commission's Fit for 55 policy package aims to achieve net-zero greenhouse gas emissions by 2050 and a 55% reduction in emissions by 2030 relative to 1990 levels, introducing carbon pricing for fuels used in buildings and road transport for the first time.
• To mitigate the social impact of the new Emissions Trading System for road transport and buildings (ETS2), the EU has proposed a Social Climate Fund totaling EUR 72 billion for the period 2025-2032 to support vulnerable households and implement emission-reduction measures.
• The document argues that ensuring a fair and inclusive transition is critical for the political and practical success of climate policy, as public acceptance depends primarily on perceived fairness.

APA

Stockholm Environment Institute (2022). EU Emissions Trading System, Social Climate Fund and Just Transition. https://www.sei.org/publications/eu-emissions-trading-system-social-climate-fund-just-transition/

Chicago

Stockholm Environment Institute. EU Emissions Trading System, Social Climate Fund and Just Transition. 2022. https://www.sei.org/publications/eu-emissions-trading-system-social-climate-fund-just-transition/.

Wikipedia

{{cite report |author=Stockholm Environment Institute |title=EU Emissions Trading System, Social Climate Fund and Just Transition |date=21 June 2022 |url=https://www.sei.org/publications/eu-emissions-trading-system-social-climate-fund-just-transition/ |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{stockholmenvironmentinstitute2022emissions, author = {{Stockholm Environment Institute}}, title = {{EU Emissions Trading System, Social Climate Fund and Just Transition}}, institution = {Stockholm Environment Institute}, year = {2022}, month = jun, url = {https://www.sei.org/publications/eu-emissions-trading-system-social-climate-fund-just-transition/}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }