Just Transition Allocations in Czech Republic
Photo by Skitterphoto from Pexels: https://www.pexels.com/photo/50-euro-banknote-folding-on-top-of-piled-coins-12619/
In May 2021, The European Parliament approved a Just Transition Fund to help countries transition from coal-based to renewable energy. The Czech Republic would receive up to EUR 1.6 billion, split among the three ‘coal-intensive’ regions of Moravia-Silesia, Ústí nad Labem, and Karlovy Vary. After the regional division of the allocations became known (15% for Karlovy Vary, 38% for the Ústí nad Labem region and about 46% for the Moravian-Silesian region), the Karlovy Vary Region criticised the plan, claiming that the national government had decided to use the number of inhabitants as the main criterion for distributing the amount between these regions. Instead, Karlovy Vary Region claimed, four other criteria needed to be added: gross domestic product, unemployment, coal mining area, and potential for the development of new R&D sectors. The Karlovy Vary region claimed more funds and sent a request to the European Commission for a review of the rules for the distribution of funds. This, however, was rejected by the Commission.
Further reading
Frankfurt School of Finance & Management (2020): Support to the preparation of a Territorial Just Transition Plan in the Czech Republic. Read here.
European Comission (2022): EU cohesion policy: Commission adopts €21.4 billion Partnership Agreement with Czechia for 2021-2027. Read here.
Funding
The CINTRAN project has received funding from the European Union’s Horizon 2020 research and innovation programme under grant agreement No. 884539. The sole responsibility for the content of this website lies with the authors and does not necessarily reflect the opinion of CINEA or other EU agencies or bodies.