In the other’s skin

For a long time, the issue of social justice in climate action lacked the urgency it has now gained. Today, in contrast to emissions reductions in energy supply systems or industrial companies, the urgently needed climate change mitigation actions in buildings and transport affect everyone. All of us have to play our part so that in these sectors, too, emissions fall at last, be it through insulating our housing, installing heat pumps or saying goodbye to combustion engine vehicles. Yet many are unable to afford such steps out of their own means. Public policy measures and grant schemes therefore need to be socially just.

Yet simultaneously these are times of tight budgets in which less funding is available from the state. It follows that climate action must become more efficient. In the past, financial support schemes were rolled out over and again for people who actually had high incomes. We must now consider much more carefully how those people can be supported who can afford less. And it is high time to abolish the major subsidies granted to fossil fuels, for instance through the way tax allowances for company cars are granted.

You will find that in this issue we note that other countries are far ahead in socially just climate action – France is a good example. For instance: When a relative of mine here in Germany recently wanted to replace her broken-down gas heater with a heat pump, she had to cover the cost up-front. The grant came with much delay. How are people who lack financial reserves going to afford this? Something urgently needs to change in the terms under which such grants are awarded. In France, the state provides advance funding for energy performance upgrades or heating system replacements if households have low incomes.

We urgently need ways to ensure that people on low incomes are also able to finance electric vehicles and are spared the future burdens of escalating CO2 prices. The same applies to small companies lacking financial reserves, such as mobile homecare services. And we need to consider more carefully what actually works for people. Grant programmes, for example, often overlook the situation of the less affluent. I sincerely hope that this issue of eco@work can make a small contribution to sharpening the focus.

Yours,

Anke Herold
CEO, Oeko-Institut
a.herold@oeko.de