Analysis of the pathway to achieving a just transition

Navigating the Path to a Just Transition

The concept of a just transition is increasingly recognized as critical in addressing the social dimensions of the shift to a low-carbon economy. At its core, a just transition ensures that the benefits of decarbonization are shared equitably and that no one—particularly vulnerable communities and workers in carbon-intensive industries—is left behind.

Global initiatives are gaining momentum. For example, the Just Energy Transition Partnership (JETP) launched with South Africa has mobilized $8.5 billion to support coal phase-out and green jobs development (UNEP, 2021). Indonesia and Vietnam have since joined similar initiatives, demonstrating the scalability of the model across developing economies.

The stakes are high. According to the International Labour Organization (ILO), the transition to a greener economy could generate 24 million jobs by 2030, but up to 6 million jobs in fossil fuel industries could be lost during the same period (ILO, 2018). This underlines the urgency of developing comprehensive retraining and social protection measures to support affected workers.

Moreover, climate change disproportionately impacts the most vulnerable. For example, 1.2 billion jobs worldwide are highly dependent on a stable climate, particularly in sectors like agriculture, construction, and tourism (ILO, 2019). Failure to act equitably risks exacerbating global inequalities.

A just transition requires collaboration across governments, industries, and civil society. The European Union’s Just Transition Fund allocates €17.5 billion to support regions heavily reliant on fossil fuels (European Commission, 2020). These efforts underline the importance of embedding social justice principles into climate policies and corporate sustainability strategies.

As sustainability professionals, we must champion initiatives that balance climate action with equity. By doing so, we not only build a fairer world but also ensure a smoother, more inclusive path to a sustainable future.

How is your organization embedding the principles of a just transition into its strategy? 

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