Navigating the Path to a Low-Carbon Economy with Equity, Inclusion, and Justice

The impacts of climate change highlight the urgency of shifting from fossil fuel-based intense emissions to a low or zero-carbon economy.

Addressing the effects of climate change is complex, involving not just technological changes but also the way these changes impact human society. Thus, the concept of Just Transition (JT) became essential, advocating for a human-centric approach to mitigating the impacts of climate change. It emphasizes equity and justice in the transition process.

The concept of Just Transition emerged in the 1970s in the USA, as environmental governance began to strengthen, adversely affecting industrial labor employment. Workers and advocates called for a just transition that would not demand the repeal of environmental protection laws but would support the affected workforce, proposing a "Superfund" for worker retraining and community assistance.

Although labor unions eventually aligned with Environmental Justice groups, the movement struggled to gain significant government traction in the US.

By the 1990s, however, Just Transition ideas had spread to Europe, where global environmental negotiations began to include it.

Climate justice movements further promoted ideas of fairness, equity, and rights, challenging the systems that contribute to climate change and place disproportionate environmental costs and risks on marginalized groups. These movements emphasized principles such as historical responsibility, finance, loss and damage, human rights, and adaptation. There was a growing call for developed countries to share the burden faced by developing countries, to ensure that the transition to a low/zero-carbon economy is equitable.

A bottom-up approach is essential in climate policies, as transitioning to a low-carbon economy presents costs and risks for those with jobs in fossil fuel industries and other affected sectors. These changes impact people's livelihoods, cultural ties, identity, and sense of place.

For example, moving away from a fossil fuel economy leads to significant wage loss, long-distance commuting, and reduced local tax revenue, which, in turn, affects public services like education and transportation. Additionally, electricity prices rise, energy poverty can worsen, and challenges around gender equity and workforce composition may intensify.

However, achieving justice in the transition is inherently complex, as different people hold varying definitions of justice. For those whose livelihoods depend on the fossil economy, losing their means of sustenance may feel inherently unjust. Surveys indicate reluctance among these communities toward renewable energy projects, as the benefits of the transition seem more accessible to wealthier populations. In a democratic system, there is a greater possibility of achieving justice for vulnerable communities compared to authoritarian states, where industries may be closed without compensation for workers.

Just Transition encompasses a wide range of issues, including food justice, green gentrification, and energy sovereignty. It does not advocate for conflict between environmental protection and economic stability. Instead, it promotes creating more jobs within an environmentally friendly economy. Often, business interests pressure labor forces into carbon-intensive sectors, such as airport infrastructure, for profit motives. Governments play a crucial role in managing this dynamic by crafting strategies that engage diverse stakeholders.

Policies that facilitate a just transition must include four essential elements: fair transition procedures, inclusion of all affected stakeholders, equitable distribution of burdens, and respect for community identity, ethnicity, and connection to their local environment.

This inclusive approach enables communities to participate meaningfully in decision-making processes. Additionally, creating green jobs, offering compensation, ensuring timely funding, and upskilling informal workers are necessary steps for achieving justice and fostering societal stability.