On the role of cohesion policy in supporting the just transition

–having regard to its resolution of 12 December 2023 on reshaping the future framework of EU structural funds to support regions particularly affected by challenges related to the automotive, green and digital transitions,

–having regard to its resolution of 14 March 2024 on cohesion policy 2014-2020 - implementation and outcomes in the Member States,

–having regard to the opinion of the European Committee of the Regions of 8 October 2024 entitled ‘A Just Transition for all EU regions’,

–having regard to the report by Mario Draghi of 9 September 2024 entitled ‘The future of European competitiveness’,

–having regard to the Commission report of February 2024 entitled ‘Forging a sustainable future together – Cohesion for a competitive and inclusive Europe: report of the High-Level Group on the Future of Cohesion Policy’,

–having regard to the European Committee of the Regions opinion of 21 November 2024 entitled ‘A renewed Cohesion Policy post 2027 that leaves no one behind’,

–having regard to Rule 55 of its Rules of Procedure,

–having regard to the opinion of the Committee on Employment and Social affairs (XXX),

 having regard to the report of the Committee on Regional Development (A10-xxxx/2025),

A.whereas the ambitious goal of transitioning to a carbon-neutral economy by 2050 can give rise to opportunities as well as new challenges for regions which are adversely affected by this transition;

B.whereas the regions of the EU vary considerably in their socio-economic characteristics and it is clear that there is no one-size-fits-all solution that can adequately address their diverse territorial and socio-economic needs;

C.whereas many of the industries hardest hit by decarbonisation had unfavourable working conditions and a dependency on seasonal workers who were seeking social justice before the transition;

D.whereas the EU Just Transition Fund (JTF) was to be a key tool in ensuring people living in territories affected by the shift to climate neutrality were not left behind; whereas it has delivered absorption rates of less than 5 % to date;

E.whereas if not addressed adequately, former peat and mining regions risk becoming more economically inactive;

F.whereas the application process for the JTF must be simplified and made more flexible in order to maximise its use;

Targeting areas of job losses

1.Calls on the Commission to facilitate the establishment of special JTF economic zones for areas affected by site closures, with priority access to funding given initially to locations within a 50 km radius of job loss sites and other areas where the impact of such losses would justify access to the JTF;

2.Calls for the introduction of special regulations in these zones, including lower tax rates for businesses and investments, along with swifter planning decisions; reaffirms that such measures can create jobs and provide opportunities for people living in these regions;

3.Stresses that special economic zones have been shown to boost investment and growth in regions, such as the special economic zones established at Shannon Airport in County Clare, Ireland in 1959, and in Katowice, Silesia region, Poland in 1996;

Education, training of workers and apprenticeships

4.Reiterates that many of the JTF regions have a proud history of training and apprenticeships and that their continuation should be prioritised;

5.Stresses in this regard the need to prioritise investment in all levels of education and training in affected areas; emphasises the need for funding for tuition;

6.Calls for at least 50 % of education funds in affected regions to be used for apprenticeships, recognising investments already made in apprenticeships;

7.Calls for European Social Fund Plus (ESF+) funding to be more regionally focused and for greater synergies between the ESF+ and the JTF, particularly in relation to education and training;

8.Calls on the Commission to work with Member States to ensure that workers who have lost their jobs are given a special status for participating in ESF+ supported employment and training schemes in their locality;

9.Emphasises the need to develop apprenticeship schemes for the affected areas in collaboration with local businesses to provide students with experience in their communities, giving them the ‘right to stay’;

Replacement employment

10.Suggests that the just transition has overlooked the unique situations of affected full-time workers, part-time workers and students; suggests that there has been little or no consideration of providing replacement seasonal employment;

11.Emphasises the need to fund higher education and training boards to retrain workers and their families, particularly those over the age of 50 who have lost their jobs; proposes that the JTF should also offer retraining opportunities to partners and spouses of affected workers;

12.Stresses that Member States must prioritise access to state-owned land and buildings for new JTF employment projects and that there should be oversight of this process;

13.Recalls that some EU regions are experiencing a continuous outflow of young and skilled workers due to demographic shifts and migration, with rural areas being particularly impacted;

14.Stresses the need for ‘social deals’ for employees to be approved by the Commission for the period 2025-2049;

Implementation and governance

15.Accepts that the implementation of the JTF process is a matter for Member States but underlines the need for simplification and for the Commission to take a more urgent approach to notifying Member States;

16.Believes that the Commission should have set out clear parameters for each Member State to pursue in areas such as investing in education and training and enabling third-party investors to preserve the culture and traditions of former coal and peat regions;

17.Recognises that there is a shortfall in funding for bottom-up projects of scale; recommends that the JTF fill these gaps when a need is identified;

18.Recognises the lack of matching funding for groups in the voluntary sector applying for the JTF; suggests advancing up to 90 % of funding for groups who are deemed to be of low risk, thereby ensuring that these groups avoid high interest rates for matching and bridging finance;

19.Highlights the negative impact of State aid rules on voluntary and not-for-profit groups, urges that voluntary groups that are deemed to be of low risk be given more flexibility to reach employment goals;

20.Calls on the Commission to work with Member States so there can be greater consistency and clarity in the interpretation of EU State aid laws in so far as they apply to community and not-for-profit groups;

21.Calls on the Commission to facilitate the establishment of a green community scheme enabling local involvement in community green energy projects and allowing former workers and their families to invest or participate; notes the success of similar initiatives;

22.Calls on the Commission to facilitate the establishment of a social training scheme for older unemployed workers who are unable to retrain and acquire new jobs; highlights that this could fill the gap between employment and retirement for some workers;

23.Calls for the JTF to reduce the administrative burden on communities by employing ‘hands-on’ managers in towns and villages who would assist in preparing funding applications and proposals;

24.Calls for the JTF to celebrate the heritage of affected communities and establish training for heritage guides; supports the creation of visitor centres highlighting local history;

Justice before transition for the whole economy

25.Believes that shifts in the geopolitical landscape, along with other factors, are causing massive changes to the functioning of the EU economy; urges the Commission, therefore, to review the timescales for closures of key energy players in the EU;

26.Calls on the Commission to encourage Member States to implement the provisions of Directive (EU) 2019/994 relating to citizen energy communities;

27.Calls on the Commission to propose a new fund, the JTF II, for the post-2027 programming period, ensuring that it operates under shared management and partnership principles; stresses that this fund should have greater financial resources than the current JTF;

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28.Instructs its President to forward this resolution to the Council, the Commission, the European Economic and Social Committee, the European Committee of the Regions and the national and regional parliaments of the Member States.