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2021-06-09 12:40:00

EUROPEAN TRANSITION FUND €17.5BLN

EUROPEAN TRANSITION FUND  €17.5BLN

ENERDATA 9 Jun 2021 - The Council of the European Union has approved a regulation creating the €17.5bn Just Transition Fund (JTF). The fund combines €7.5bn from the EU’s budget for the period 2021-2027 and €10bn from the Covid-19 recovery program (Next Generation EU, 2021-2023) to support countries and regions affected by the closure of energy-intensive industries and the phaseout of coal, peat and oil shale production. Funds will be dedicated to green investments, and not to the decommissioning of coal-fired or oil-fired power plants nor to the construction of nuclear power plants.

Around one fifth on the financings will go to Poland, followed by Germany (13%) and Romania (11%). To access JTF support, the EU countries will have to submit territorial just transition plans. Those that have not yet committed to achieving a climate neutrality by 2050 (such as Poland) will only be awarded 50% of their planned allocation.

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Tags: EUROPE, CLIMATE, ENERGY