Achieving climate neutrality in Europe requires not only reducing emissions, but also ensuring that the transition is socially fair and politically sustainable. Climate and energy policies affect regions, households, and social groups in different ways, potentially deepening existing inequalities if social impacts are not properly addressed. While the concept of just transition has gained increasing attention in recent years, there is still limited evidence on which policy approaches are most effective in combining climate ambition with social fairness across different regional and national contexts. 

In response to these challenges, European Fair Transition Observatory (EFTO) focuses on monitoring and evaluating fair transition policies across the European Union. The project aims to strengthen the evidence base on socially just climate policies and identify good practices that can be replicated beyond traditionally coal-dependent regions. The consortium analyses how climate and social policies interact, assesses their impacts on vulnerable groups and territories, and supports the development of policy frameworks that combine climate neutrality with social cohesion.

Project partners analyse and compare transition policies implemented across EU Member States, with particular attention to their social impacts, governance structures, and distributional effects. The consortium evaluates policy instruments addressing issues such as energy poverty, social protection, labour market transformation, and regional resilience. The project also supports knowledge exchange and promotes best practices that can help policymakers design more inclusive and socially acceptable climate policies. 

The project delivers analyses, case studies, and policy recommendations related to socially just climate transition policies in Europe. The consortium develops an evidence base on effective fair transition measures and identifies transferable policy solutions that can support climate neutrality while reducing social inequalities. The project outputs aim to support public administrations, researchers, and civil society organisations involved in the implementation of the European Green Deal.

Within the consortium, Reform Institute is responsible for developing analyses of good practices related to socially just transition policies. Our experts assess policy instruments aimed at mitigating the social impacts of climate transition and evaluate their effectiveness across different national contexts. The Institute’s work contributes to strengthening the evidence base on fair transition policies and identifying solutions that can support socially balanced climate action across the EU.  

The project contributes to improving the social dimension of European climate policy by promoting evidence-based and socially inclusive transition pathways. Its results support policymakers in designing climate policies that strengthen public acceptance, reduce inequalities, and ensure that the benefits and costs of the transition are distributed more fairly across society. 

The project is implemented by a consortium led by Prognos, together with ICF, HIVA – KU Leuven, Ecologic Institute, Reform Institute, CeMPA and Applica. 

Project is financed by European Commission, Directorate-General Employment, Social Affairs and Inclusion (DG EMPL).