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Making economies and societies more climate-friendly and resilient

26 Feb 2022

  • Towards a just transition
By Dennis Mombauer The reality of climate change presents a historic challenge to economies and societies around the globe. Climate change already affects lives and livelihoods, with more frequent and intense impacts looming on the horizon. Particularly for vulnerable climate hotspots like Sri Lanka, it will be pivotal to adapt to an unprecedented environment by shifting to new modes of production and ways of life, but also by building resilience and enhancing coping capacities. “Just transition” is the concept that describes the process of transformation towards more sustainable, low-carbon, climate-friendly, and resilient development pathways. It includes not only changes to industries and production methods, but also to a larger socio economic framework that protects the livelihoods and wellbeing of individuals and communities. The notion that “one size does not fit all” is a vital part of just transition, recognising the different context, impacts, vulnerabilities, and needs across communities, sectors, countries, and regions. Addressing climate impacts and building resilience When it comes to weathering storms, floods, droughts, and the multitude of other short- and long-term impacts related to climate change, there are many potential ways to adapt. First off, risk management and resilience-building can be key components of climate action and economic transition, enabling countries to withstand impacts and adapt to environmental changes. This includes physical infrastructure and technological solutions, but also climate-informed planning, risk analytics, ecosystem conservation and nature-based solutions, adjustments to the policy landscape, capacity-building of institutions and the workforce, insurance and social protection schemes, and a variety of other interventions. Beyond the protection of communities, livelihoods, and assets from climate impacts, there are also significant opportunities to capitalise on the need for transformation and invest in sectors such as renewable energy, clean technology, alternative forms of mobility, waste management, digitalisation, frontier technologies, and more efficient business practices and methods. The rise of new sectors presents a chance to invest in relevant skills and capacities and create an enabling environment to foster innovation and paradigm-changing solutions. Elements of a just transition A just transition means that such changes in societies and economies should be conducted in just, equitable, and socially responsible ways without leaving anyone behind. There is no universally accepted definition, but various organisations have formulated principles and key elements of a successful just transition. These elements include enhancing institutional arrangements and developing good policies, facilitating social dialogue, investing in skills development, training, and re-training, updating occupational health and safety frameworks, and investing in social protection schemes that provide safety for workers, their families, and communities at large. The importance and benefits of a just transition are clear from both an economic and a social standpoint. Key sectors such as energy or food systems need to transform, but this transformation requires workers, entrepreneurs, and companies with the necessary skill set, resources, and opportunities. Actors in the private and public sector need support and guidance to take risks, make investments, and shift in line with national priorities, development planning, and climate commitments. In this sense, just transition also clearly aligns with global processes such as those on climate change and sustainable development. The 2015 Paris Agreement on climate change mentions just transition in its first ten paragraphs, where it commits to “taking into account the imperatives of a just transition of the workforce and the creation of decent work and quality jobs in accordance with nationally defined development priorities”. In addition, the Fifth Assessment Report published by the Intergovernmental Panel on Climate Change (IPCC), the leading international science body for climate change, emphasised the importance of finding synergies between social protection, risk reduction, and social development, all of which are key elements of a just transition. Similarly, just transition is directly aligned with the United Nations’ Sustainable Development Goals, particularly goal 8 (decent work and economic growth) and goal 13 (climate action). Furthermore, many of the other goals also have strong connections to just transition, for example goal 1 on eradication of poverty, goal 7 on affordable and clean energy, goal 9 on industry, innovation, and infrastructure, and goal 10 on reduced inequalities. The Covid-19 pandemic also provides chances to build back better and reconfigure economies in ways that adapt them to the pandemic as well as to climate change, for example through new business models in sectors such as transport, food systems, or retail. A green recovery can be instrumental in speeding up the process of transitioning to a low-carbon economy. However, it must be paired with the concept of just transition to ensure that existing socioeconomic inequalities are not exacerbated but instead bridged to a large degree. Its position at the intersection of climate action and sustainable development makes just transition a crucial part of medium- and long-term national planning processes. It presents both a necessity and an opportunity to choose pathways of economic transformation that maximise sustainable and climate-friendly economic growth, climate resilience, decent work, social inclusion, and equity. If done right, a just transition will bring together and integrate all segments of society, including vulnerable groups, women, those with disabilities, and youth, building on their different capacities and addressing differential needs and vulnerabilities. The role of youth for a just transition Transitioning to a low-carbon economy will affect youth in unique and significant ways, as their futures and livelihoods are at stake and as they are directly facing the struggles of transition. Addressing the issues faced by youth is therefore a vital consideration for a just transition, including by equipping young people with the capacity to be involved in decision-making and keeping relevant processes youth-centred and youth-powered. It is important to reorient education towards new low-carbon industries, more resilient livelihoods, and sustainable economic growth to facilitate youth engagement in just transition. Climate education and learning can become an integral part of the education curriculum, support youth to raise their awareness and capacities on climate action, and encourage them to work in climate-friendly sectors. Skills development and the availability of funding could further help young entrepreneurs to start sustainable, ethical, and climate-friendly businesses that contribute to addressing climate change and sustainable development. On the national level, just transition can further be facilitated through policies, strategies, plans, and the promotion of green jobs, for example in the sectors of energy, industry, construction, waste management, and agriculture. Social protection systems are essential to shield youth from adverse impacts to their education, development, health, and safety during the transition. This can be achieved through policies and programmes that manage risks and vulnerabilities, reduce poverty and inequality, and protect populations from loss of livelihoods, loss of income, and social exclusion. Social protection can further involve a range of instruments such as income support, unemployment benefits, maternity protection, healthcare, in-kind social assistance, cash transfers, housing support, enterprise support, productive safety nets, public works programmes, cash+ programmes, wage and benefit parity guarantees, insurance schemes, psychosocial support, or public works programmes Social dialogue and just transition A just transition can only be successful if it includes all key sectors of the economy and brings together different actors and stakeholders. From policymakers to companies and small-scale entrepreneurs, efforts and resources need to be brought together to facilitate a large-scale shift towards sustainability, climate-friendliness, and resilience. Sectors such as construction, industry, waste management, transportation, tourism, or fashion will have to become more climate-friendly, sustainable, and equitable, other areas such as urban settlements will need to reduce emissions and become more resilient at the same time. To do so, workers and start-ups need safety nets and the ability to participate in the transition, either by retraining and redeployment or by adapting their existing livelihoods. As outlined here, just transition is a complex topic with many layers and perspectives. There is no single solution or strategy that fits every sector, every area, or every community, only an overarching need for a just transition that allows regions to reinvent themselves and diversify their economy. (The writer works as Director – Research & Knowledge Management at SLYCAN Trust, a non-profit think tank based in Sri Lanka. His work focuses on climate change, adaptation, resilience, ecosystem conservation, just transition, human mobility, and a range of related issues. He holds a Master’s degree in Education from the University of Cologne, Germany and is a regular writer to several international and local media outlets.)    

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