Sustainability by Design: Assessment Tool for Just Energy Transition Plans
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11. April 2024 11
EU Just Transition Mechanism
- Mechanism for support to regions most
negatively impacted by the transition
process
- July 2021 - entry into force of Just Transition
Fund regulation
- Territorial Just Transition Plans (TJTPs)
prepared with relevant partners, mostly by
end of 2022
- Now in implementation phase
12. April 2024 12
WWF understanding of Just Transition
• Fair
• Sustainable,enabling and supporting climate ambition
(1.5 aligned)
• Part of wide strategy for energy transition, shift to clean
economy, while ensuring nature protection
• Planned and implemented early
• Inclusive : meaningful stakeholder participation, social
dialogue.
13. April 2024 13
WWF Principles for EU TJTPs (transition plans)
• Climate ambition
• Fossil fuel phase out
• Sustainable economic diversification
• Addressing inequalities
• Supporting environmental objectives
• Polluter pays principle
• Adequate public and private funding
• Participatory processes
• Place-based, local approach
• Review and indicators
16. April 2024 16
Scorecard approach
- Provided framework for discussion based on key principles
- Enabled comparison, to encourage ambition
- Gave recognition of positive points, while highlighting weak areas
- Identified commonareas of difficulty
17. April 2024 17
One year later ...
Implementation of transition plans underway -
➢ Use of assessmentresults to monitor implementation, especially for areas identified
as weak
EU National Energy and Climate Plans (NECPs)update underway -
➢ use of transition plans assessment experience (process, trade-offs, principles etc.)
➢ check on coherence
19. Sustainability by design
The case for an assessment tool for just energy
transition plans Martin Keim,Advisor
GIZ
April 2024
20. Sustainability Matrix
Assess and enhance your Just Energy Transition Plan
• Developed based on the WWF evaluation tool for European territorial just
transition plans (TJTP)
• Climate and environmentalsafeguards to assure long-term sustainabilityof
just energy transition (JET) plans
• Guidance for devising a (new) JET plan or strategy or enhancingan existingone
21. Sustainability Matrix
Rationale
• Enable pertinent planning by considering lessons learnt internationally
• Address the specific needs and contexts of low- and middle-income
countries
• Establish and refine a set of internationally recognised environmental,
social and economic sustainability criteria via a peer-review
22. Sustainability Matrix
What is the tool
• Defines 11 core principles to give policy makers and other JET stakeholders
orientation on how sustainabilityin different JET-related policy areas can be
addressed
Example:
Principle 8. Identifies public and private funding
sourcesfor just energy transition and how to leverage
and manage them
8.1. Identification ofdomestic just energy transition
funding sources (incl. mandatorypost-mining
rehabilitation fundsset aside by the private and public
sector) and set up of respective finance plan
8.2 ...
23. Sustainability Matrix
Core principle, indicator and traffic light system
No public(local/regional/national/international)or privatefunding sources dedicatedfor
developmentand implementationof just energy transitionplan are identified,OR no
solutionsfor identifiedfunding gapsare provided
Public (local/regional/national/international)or private(including funding that is generated
from the polluter-paysprinciple)funding sources dedicatedfor development and
implementation ofjust energy transitionplan are identified,but no coherent just energy
transitionfinance planhow to access, coordinateor utilize them is provided;funding gaps
might be identified,but no solutionshow to overcome these gapsare provided
Public (local/regional/national/international)AND private (includingfunding that is
generated from the polluter-paysprinciple) funding sources dedicatedfor development
and implementationof just energy transitionplan are identified,and a coherent just energy
transitionfinance planhow to access, coordinateor utilize them is provided;this approach
also addresses funding gaps and how to close these gaps.
8.1. Identification of
domestic just energy
transitionfunding sources
(incl. mandatorypost-mining
rehabilitation fundsset aside
by the private and public
sector) and set up of
respective finance plan
24. Sustainability Matrix
Who can use the tool?
• Policy makers: to assess existing JET plans or devise and adapt new,
holistic and sustainable JET plans
• Stakeholders: mining companies, affected communities, CSOs: to assess
the ambition of respective JET plans
For questions reach out to: Martin Keim – martin.keim@giz.de
28. Principle 1
Makes a strong and decisive commitment tothe Paris Agreement and national/
regional climate objectives (NDCs, National Climate Strategy, Long-Term Strategies
(LTS), Regional Standards), i.e. to cut GHG (CO2, CH4) emissions quickly
Indicator 1.I
Alignment with the
commitmentto cut GHG
(CO2, CH4, etc.)
emissions quickly
Indicator 1.II
Transition from fossil
fuel- to renewables-
based energy system in
the region
Indicator 1.III
Proposals to increase
energy efficiency and
reduce energy demand
in the region
29. Indicator 1.I
Alignment with the
commitmentto cut GHG
(CO2, CH4, etc.)
emissions quickly
Indicates some commitment to reduce GHG emissions, but without
defined timeline and percentage reduction target OR does not indicate a
need for reduction at all; below ambition of country-specific NDCs and LTS.
Makes some commitmentto the Paris Agreement and national/regional
climate objectives, i.e. to cut GHG emissions quickly; mostlyin line with
country-specific NDC and/or LTS ambition including some indication (e.g.
stepwise plan) how to achieve the NDCs and/or LTS and how to monitor
progress towards this achievement.
Indicates a strong and decisive commitmentthat is at least in line or above
the current country-specific NDC and/or LTS ambition with concrete
stepwise action plan (milestone definition) how to achieve NDCs and or
LTS by a certain date and how to monitor progress towards this
achievement.
30. Principle 1
Makes a strong and decisive commitment tothe Paris Agreement and national/
regional climate objectives (NDCs, National Climate Strategy, Long-Term Strategies
(LTS), Regional Standards), i.e. to cut GHG (CO2, CH4) emissions quickly
Indicator 1.I
Alignment with the
commitmentto cut GHG
(CO2, CH4, etc.)
emissions quickly
Indicator 1.II
Transition from fossil
fuel to renewables-
based energy system in
the region
Indicator 1.III
Proposals to increase
energy efficiency and
reduce energy demand
in the region
31. Indicator 1.II
Transition from fossil
fuel to renewables-
based energy system in
the region
Does not recognise the opportunities to increase renewable energy use
nationally and/or in the region, including the improvement of the
respective infrastructure.
Recognises the opportunities to increase renewable energy incl. the
respective infrastructure nationally and/or in the region, but no
development of respective energy/transition plans and/or contributions to
specific (national) renewable energy targets (actions, projects etc.) are
proposed.
Contributes to ambitious national/regional renewable energy targets
and/or supports the development for a full plan for a transition to energy
generation from renewable sources including the improvementof the
respective technical, financial and administrative infrastructure, and
specific actions and projects are proposed for the near-, mid- and long-
term (clearly distinguished), including progress monitoring towards the
achievement of these targets/plans.
32. Principle 1
Makes a strong and decisive commitment tothe Paris Agreement and national/
regional climate objectives (NDCs, National Climate Strategy, Long-Term Strategies
(LTS), Regional Standards), i.e. to cut GHG (CO2, CH4) emissions quickly
Indicator 1.I
Alignment with the
commitmentto cut GHG
(CO2, CH4, etc.)
emissions quickly
Indicator 1.II
Transition from fossil
fuel to renewables-
based energy system in
the region
Indicator 1.III
Proposals to increase
energy efficiency and
reduce energy demand
in the region
33. Indicator 1.III
Proposals to increase
energy efficiency and
reduce energy demand
in the region
Does not recognise the opportunities to increase energy efficiency and/or
reduce energy use nationally and/or in the region.
Recognises the opportunities to increase energy efficiency and/or reduce
energy use nationally and/or in the region, but no contributions to specific
(national) Energy Efficiency and/or Energy Saving targets (actions, projects
etc.) are proposed.
Contributes to ambitious national/regional Energy Efficiency and Energy
Saving targets and plans, and specific actions and projects for better
energy efficiency and reduced energy demand are proposed for the near-,
mid- and long-term (clearly distinguished).
34. Principle 2
Prevents prolonged fossil fuel use and delay of transition to climate neutrality
Indicator 2.I
Fossil fuel subsidy
cessation (if within
mandate of authority
responsible for JET plan
development and
implementation)
Indicator 2.II
Phase-out of coal
mining/coal combustion
(if within mandate of
authority responsible
for JET plan
development and
implementation)
Indicator 2.III
Phase-out of fossil gas,
oil shale, non-renewable
biomass, peat and other
non-renewables (if
within mandate of
authority responsible
for JET plan
development and
implementation)
Indicator 2.IV
Exclusion of new fossil
fuel infrastructure
investment
35. Principle 3
Aims for sustainable economic diversification (at national, regional, local level)
Indicator 3.I
Encouragement of
sustainable economic
diversification (away from
fossil fuel dependent
industries) on the basis of
objective analyses of the
strengths, potentials and
opportunities of each
region concerned
Indicator 3.II
Support for investment
in SMEs and start-ups
Indicator 3.III
Investmentplanning
with consistency with
national energy, climate
and transition plans
36. Principle 4
Adapts education and training to transition plans
Indicator 4.I
Identification of
upskilling, reskilling and
education gaps at level
of transition region/plan
Indicator 4.II
Measures to address
upskilling, reskilling and
education gaps at level
of transition region/plan
37. Principle 5
Addresses social inequalities and potentially affected human rights
Indicator 5.I
Equality of
opportunity and
employment
support
Indicator 5.II
Inclusion of
measures and
indicators to
ensure the quality
of new jobs
Indicator 5.III
Measures to
address existing
and potential
inequalities
Indicator 5.IV
Analysis of effects
on human rights
Indicator 5.V
Securement of
quality of life
(criteria: good
health, education,
environmental
quality, personal
security, civic
engagementand
work-life balance)
38. Principle 6
Supports gender equality and addresses women’s and girls' rights in transition
region/plan
Indicator 6.I
Gender equality and
women’s rights
Indicator 6.II
Employment diversification
plans and/or job creation
schemes including creation
of new job opportunities
for women and screening
for detection and
prevention of systemic
discrimination of women
and girls
39. Principle 7
Addresses environmental, climate, human health and cultural safeguards across
all objectives
Indicator 7.I
Exclusion of
investmentin
measures which
could harm human
health, climate
and biodiversity
objectives
Indicator 7.II
Improvementof
environmental
quality and
biodiversity of
region
Indicator 7.III
Abatement of
environmental
legacies of coal
mining and coal-
based power
generation, as well
as other fossil fuel-
induced
exploitation
impacts
Indicator 7.IV
Promotion of
circular economy
(and waste
reduction)
Indicator 7.V
Exclusion of
investmentin
measures which
would harm
cultural and/or
heritage assets
40. Principle 8
Identifies public and private funding sources for just energy transition and how to
leverage and manage them
Indicator 8.I
Identification of domestic
just energy transition
funding sources (incl.
mandatory post-mining
rehabilitation funds set
aside by the private and
public sector) and set up of
respective finance plan
Indicator 8.II
Screening of relevant
international financing
options and, if suitable,
identification of access to
funding sources and their
integration into respective
JET finance plans
41. Principle 9
Establishes governance of development and implementation of just energy
transition plan coherent with respective policies
Indicator 9.I
Transparent governance
mechanism of
development of just
energy transition plan
and/or its
implementation
Indicator 9.II
Policy coherence of just
energy transition plan
Indicator 9.III
Adequacy of policy
measures with JET
implementation targets
and alignment of
legislation, standards
and/or processes with
timescale of transition
implementation
Indicator 9.IV
Justification for target
regions receiving
support
42. Principle 10
Follows participative approach (stakeholder engagement, social dialogue,
inclusive communicationstrategy etc.) to just energy transition plan development,
its implementation and linked communication.
Indicator 10.I
Identification of
stakeholders and
definition of their
roles
Indicator 10.II
Provisions to
enable and ensure
effective public
participation in the
design, monitoring
and
implementation of
plans
Indicator 10.III
Sufficiency of time
and resources
provided at each
stageto ensure
meaningful
participation is
carried out and
reflected by
qualitative
feedback indicators
Indicator 10.IV
Support of the
transition of the
regional labour
market through the
explicit inclusion of
frameworks for
social dialogue in
the development
and implementation
of the plan
Indicator 10.V
Communication
strategy about just
energy transition
plan
43. Principle 11
Uses high-quality, independent and objective analysis of challenges and
opportunities of implementation of just energy transition process
Indicator 11.I
Quality, objectivity and
appropriateness of
indicators to monitor and
evaluate plans
Indicator 11.II
Opportunity to revise
just energy transition
plan during the
implementation phase
based on a review
process
Indicator 11.III
Datamanagement
strategy for
development of just
energy transition plans
and analysis of their
implementation process
44. Many thanks for your attention!
Please feel free to contact in case of
feedback or questions
Martin Keim (martin.keim@giz.de)
or
Patrick Büker (patrick.bueker@giz.de)
48. Contact
Martin Keim
Policy Advisor
Martin.keim@giz.de
Project Team
iki-jet@giz.de
Newsletter
Subscribe to our Newsletter - IISD (jetknowledge.org)
Mags Bird
WWF European Policy Office
mbird@wwf.eu
Patrick Bueker
Planning Officer
patrick.bueker@giz.de
49. Contact
Martin Keim
Policy Advisor
Martin.keim@giz.de
Project Team
iki-jet@giz.de
Newsletter
Subscribe to our Newsletter - IISD (jetknowledge.org)
Götz von Stumpfeldt
Policy Advisor
goetz.stumpfeldt@giz.de
Katharina Hartmann
Policy Advisor
katharina.hartmann@giz.de
