Powering Equity: Insights Briefing for Legislators to Advance a Just Energy Transition

In our latest policy insights paper, we highlight some aspects that Parliamentarians can consider as they look to creating legislation to further the just energy transition. The world is transitioning away from fossil fuels toward cleaner energy sources, with renewable power capacity increasing at a record rate. In 2024, renewables accounted for over 92% of total power expansion, led by solar energy. However, significant regional disparities exist, with Asia leading the expansion and Africa lagging behind. Ensuring social and economic justice during this transition is crucial. Parliamentarians play a vital role in shaping the policies that decarbonise economies in an equitable, inclusive, and transformative manner.
Why is the term “just energy transition” contested?
A “just energy transition” involves shifting from fossil fuels to renewable energy sources while ensuring social and economic justice. It aims to distribute the burdens and benefits of this change equitably. The concept of “just” varies across communities and contexts. It addresses concerns that rapid decarbonisation could lead to job losses, economic decline, and further marginalisation of vulnerable populations.
Key Priorities for Parliamentarians could include:
  • Access Equity: Ensuring universal energy access, particularly in rural areas of the Global South. Over 600 million people still lack reliable access to electricity, disproportionately affecting women and marginalised groups.
  • Participation and Inclusion: Democratising the policy-making process to include historically excluded voices through public hearings and representation quotas.
  • Economic Resilience at the Community Level: Supporting regions dependent on fossil fuels by creating support systems, investing in new skills, and developing employment pathways.
  • Climate Justice: Addressing historical responsibility and unequal impacts of industrial development, particularly on emerging and developing economies.
  • Long-Term Ecosystem Integrity: Developing renewable infrastructure within ecological and ethical guardrails, including environmental impact assessments and biodiversity protection mandates.
Barriers to a Just Energy Transition
  • Silo Thinking: Lack of collaboration across government stakeholders.
  • Lack of Financing: Insufficient funding for regional and community-level projects.
  • Technical Capacity: Limited expertise among Legislators regarding renewable energy projects.
  • Missing Data: Lack of reliable data for evidence-based policy making.
Tracking Progress with Indicators
Key indicators to assess the equitable nature of the transition include:
  • Increased energy access across all stakeholder groups.
  • Affordable, reliable, and resilient energy supply.
  • Availability of clean cooking options.
  • New job creation and economic diversification in local economies.
  • Involvement of local constituents in energy infrastructure decisions.
  • Positive impacts on ecosystems and health.
Moving Forward with the Just Energy Transition
The global energy transition is accelerating, but progress is uneven. Ensuring social and economic justice is paramount. Parliamentarians must formulate policies that promote equity and inclusivity. This requires a nuanced understanding of the intersection between energy policies and social structures. The legitimacy and sustainability of this transition depend on its fairness and success.
Case Studies
  • Bangladesh: The Solar Home Systems program significantly increased rural electrification.
  • Egypt: Investing in renewable energy projects and green hydrogen production.
  • European Union: The Coal Regions in Transition Initiative supports regions shifting away from coal.
  • Kenya: Integrating gender considerations into energy policy.
  • Uruguay: Achieving energy sovereignty through renewable energy.
  • Tanzania: Created a resettlement management framework to manage the needs of potentially impacted communities.