|Author (Corporate)||European Commission: DG Regional and Urban Policy|
|Series Details||COM (2020) 460|
Legislative initiative published by the European Commission on 28 May 2020, introducing a number of amendments to the original proposal setting up the Just Transition Fund (JTF), in light of the consequences of the COVID-19 (coronavirus) pandemic.
The European Commission adopted the original proposal in January 2020 as one of the pillars of the Just Transition Mechanism, in the framework of its Sustainable Europe Investment Plan (SEIP). The JTF aims to support economic diversification of the territories most affected by the climate transition and the reskilling and active inclusion of their workers and job seekers.
The COVID-19 (coronavirus) pandemic affected the economic outlook for every Member State of the European Union (EU). However, different levels of national resilience and response to the shock across the EU raise the potential for distortion of the level playing field of the Single Market that can lead to increasing economic divergences and aggravate long-term growth challenges.
In this context, the Commission argues that investments in the green transition should be accelerated to promote long-term growth and economic resilience. It therefore proposes an increase of the funds made available for the JTF, in the framework of the revised proposal on the Multiannual Financial Framework (MFF) 2021-2027.
The Council of the European Union reached an agreement on a common position concerning the draft law on 24 June. This did not include the financial provisions relating to the JTF, which are connected to the overall discussions on the MFF 2021-2027. The European Parliament's relevant committee adopted the report setting out a position on 6 July.
|Subject Categories||Environment, Internal Markets|
|Subject Tags||Climate Change, Cohesion Policy, Multiannual Financial Framework [MFF], Sustainable Development|
|International Organisations||European Union [EU]|