The Just Transition Mechanism (JTM) is a key tool to ensure that the transition towards a climate-neutral economy happens in a fair way, leaving no one behind. As part of the European Green Deal, the Just Transition Mechanism provides resources for facing the challenge of the transition process towards the Union’s 2030 climate target and the objective of climate neutrality in the Union by 2050.
The JTM consists of three pillars:
- The Just Transition Fund
- The InvestEU Just Transition scheme
- The Public Sector Loan Facility (PSLF)
The European Climate, Infrastructure and Environment Executive Agency (CINEA) will manage the third pillar, the Public Sector Loan Facility.
The public sector loan facility (PSLF) is the third pillar of the Just Transition Mechanism.
It supports projects addressing social, environmental and economic challenges deriving from the transition to the Union’s climate target objectives. the facility will mobilise additional investments with the support of the European Investment Bank (EIB). EIB loans (up to EUR 10 billion) and EU grants (up to EUR 1.5 billion) will help public sector entities in the most affected regions to meet their development needs in the transition towards a climate-neutral economy.
Beneficiaries of the facility will receive a grant from the Commission and a loan from the EIB. The grant component of the facility is managed by DG REGIO and implemented by CINEA.
To find out more about the funding opportunities available under the other two pillars of the Just Transition Mechanism, visit the Just Transition Platform.
The public sector loan facility is managed by CINEA on behalf of the European Commission’s Directorate-General for Regional and Urban Policy.
All reference documents are published on the Funding & Tenders portal.