As Europe prepares for the launch of the EU’s new carbon pricing system for buildings and transport (ETS2) in 2027, experts and advocates are urging policymakers to put fairness and clean energy at the centre of the transition. At this year’s EU Sustainable Energy Week, the Cool Heating Coalition brought together leaders from across Europe to highlight how the upcoming Social Climate Fund can tackle energy poverty while accelerating the shift away from fossil fuels.
Energy poverty demands urgent solutions
Today, millions of Europeans struggle to keep warm. In 2023 alone, 47 million people were unable to afford heating their homes. Much of Europe’s building stock remains inefficient and reliant on fossil fuels, leaving households vulnerable to volatile energy prices and rising bills. With ETS2 set to put a price on emissions from heating and transport, getting the balance right between climate ambition and social justice has never been more urgent.
The Social Climate Fund: an opportunity for fairness
A significant share of ETS2 revenues will be channelled towards energy efficiency upgrades and clean heating solutions. Through the Social Climate Fund, vulnerable groups are expected to gain access to direct support for building improvements and affordable clean heat. If designed and implemented well, the fund could be a pivotal milestone in Europe’s journey to net-zero: slashing emissions, tackling energy poverty, and financing a fair, fossil-free future.
EU-wide perspectives on just transition policies
The session hosted by the Cool Heating Coalition brought together a diverse range of voices from EU institutions, local governments, NGOs, and social organisations:
- Vesna Deržek Sovinek, Head of PR, Komunalno podjetje Velenje
- Clotilde Clark-Foulquier, Deputy Secretary General, Eurodiaconia
- Delia Villagrasa, Director, Cool Heating Coalition
- Ruxandra Chirilă, Deputy Director General, Ministry of Investment and European Projects, Romania
- Beatriz Yordi, Director, DG CLIMA (Carbon Markets & Clean Mobility)
- Davide Sabbadin, Deputy Policy Manager for Climate and Energy, European Environmental Bureau
Speakers highlighted the importance of integrating social safeguards into climate policy, showcasing EU, national, and local measures that can ensure no one is left behind in the clean heating transition.
With clean heating at its core, the Social Climate Fund has the potential to transform Europe’s approach to home energy, combining climate ambition with social fairness. The Cool Heating Coalition stressed that ensuring fair access to clean heating is not just a technical challenge — it is a cornerstone of the energy transition.
The full session is available to watch online, offering valuable insights for policymakers, practitioners, and communities alike.