The term "just transition" began in the 1980s when U.S. trade unions worked to protect workers' rights and jobs as economies changed to focus on sustainable practices, especially for workers impacted by environmental rules. Over time, this idea became widely accepted worldwide and was included in the Paris Agreement in 2015. A just transition connects the shift to cleaner energy with fair methods to reduce carbon emissions that support broader goals for development. As of 2022, 38% of 170 countries included just transition strategies in their short-term climate plans to meet ambitious climate targets.
Definition
A just transition means treating people fairly when moving toward a more environmentally friendly future and a society that uses less carbon. This idea includes changing to a greener economy in a way that is fair and does not put certain countries or communities at unfair risk. The Intergovernmental Panel on Climate Change (IPCC) explains a just transition as "a set of rules, steps, and methods that aim to ensure no people, workers, places, sectors, countries, or regions are left behind when moving from a high-carbon to a low-carbon economy." The IPCC highlights important parts of a just transition, such as investing in industries that produce less pollution, checking how changes affect people, and creating safe and fair jobs in a greener world. The IPCC also focuses on equal access to energy, changing economies to use less carbon, fairness for all genders, and working together between countries.
The United Nations Committee for Development Policy suggests that countries that have contributed more to climate change in the past should help developing countries move toward low-carbon economies to achieve a just transition. Key ideas from the 2023 report include helping developing countries take part in using clean technology, creating technology together with shared ownership, and finding ways to fund projects that protect the environment. A just transition needs more money for helping communities adapt to climate changes, protecting natural resources, and ensuring fair changes. It also requires international cooperation to prevent developing countries from shouldering the main burden of climate action.
History
In the 1980s, in the United States, Tony Mazzocchi of the Oil, Chemical and Atomic Workers Union suggested creating a "Superfund for Workers." This idea aimed to help pay for and train workers who left jobs that were dangerous for the environment. Many people believe Mazzocchi was the first to use the term "just transition." His proposal was similar to the U.S. Superfund Act of 1980, which was a law that made companies pay taxes to clean up harmful waste sites across the country.
In policy
At the 2015 United Nations Climate Change Conference in Paris, France, known as COP21, unions and groups supporting a just transition persuaded the countries involved to include the idea of a just transition and the creation of decent work in the Paris Agreement's introduction.
At the 2018 United Nations Climate Change Conference in Katowice, Poland, known as COP24, leaders from countries agreed to the Solidarity and Just Transition Silesia Declaration. This document highlights the importance of a just transition, as mentioned in the Paris Agreement, the International Labour Organization's (ILO) guidelines, and the United Nations 2030 Agenda for Sustainable Development. It encourages United Nations agencies to support its goals and to consider just transition when creating and carrying out countries' climate action plans, called Nationally Determined Contributions (NDCs).
At COP26, the European Investment Bank shared a set of common principles for a just transition, agreed upon with other international development banks. These principles align with the Paris Agreement and focus on funding the shift to low-carbon economies while considering social and economic impacts, including policies that promote inclusion and gender equality.
Several international development banks, including the African Development Bank, Asian Development Bank, Islamic Development Bank, Council of Europe Development Bank, Asian Infrastructure Investment Bank, European Bank for Reconstruction and Development, New Development Bank, and Inter-American Development Bank, have pledged to follow principles for reducing climate change and supporting a just transition. The World Bank Group also supports these efforts.
In 2021, South Africa signed the South Africa Just Energy Transition Investment Plan (JET-IP) at COP26, a $8.5 billion agreement to help South Africa reduce its carbon emissions.
In 2022, Indonesia and Vietnam were invited to join a Just Energy Transition Partnership (JETP) framework. This partnership aims to gather more than $35 billion in public and private funding to support a fair energy transition in these countries.
Nationally Determined Contributions (NDCs) are climate action plans that countries create and submit under the Paris Agreement. These plans describe how countries plan to adapt to climate change and reduce greenhouse gas emissions. As of October 31, 2022, 65 countries and territories mention "just transition" in their NDCs, 29 countries mention it in their Long-Term Strategies (LTS), and 24 countries mention it in both. Just transition principles are included in 38% of NDCs and 56% of LTS. There is no major difference in whether developed or developing countries mention just transition in their NDCs.
The Paris Agreement represents 194 countries' commitment (as of 2022) to a global plan to prevent global temperatures from rising more than 1.5 degrees Celsius. As the world moves toward a net-zero future, the United Nations Development Programme (UNDP) suggests that countries use this opportunity to reduce social inequality and prevent unrest through a just transition.
The UNDP outlines five ways a just transition can support the Paris Agreement: involving the public in decision-making, supporting green jobs, creating a strong net-zero economy, developing local solutions, and focusing efforts and resources. The Paris Agreement emphasizes fairness within countries when taking climate action, not fairness between countries.
In Europe, groups advocating for a just transition aim to combine social and climate justice, such as helping coal workers in regions dependent on coal who may lack job opportunities beyond coal mining. In the European Union, the European Green Deal includes a Just Transition mechanism to support workers in fossil fuel industries. This mechanism provides funding and tools to help regions dependent on fossil fuels shift to a greener economy.
A just transition from coal is supported by the European Bank for Reconstruction and Development.
A 2021 study on legal theories for climate lawsuits and a just transition suggested using legal actions against companies in industries that might lose jobs.