Distributional aspects of the transition to a climate-neutral economyForthcoming

The European Green Deal features high on Member State agendas. However, there are concerns that the necessary changes to climate policy may have undesirable socioeconomic consequences, such as regressive distributional effects and increased inequality. This report attempts to identify those policies where there is a significant risk involved and aims to provide guidance on how negative distributional risk can be mitigated. It also reviews the current debates in Member States on the distributional aspects of climate change, the main actors involved (for example, governments, NGOs and social partners) and other socioeconomic impacts of climate policy, with a focus on unintended effects and relevant alleviation strategies.