In this review, the Agulhas team identified common themes in managing successful industrial transitions from a fossil fuel based economy towards one that is more low carbon led. The review identified a typology of interventions:
- Early retirement/pension/financial compensation for workers
- Job retraining and skills development
- Infrastructure regeneration projects
- Regional support schemes
- Forums for stakeholder participation and dialogue
Case studies:
- Spain: Revitalising Metropolitan Bilbao
- North East England: Fostering entrepreneurship in low carbon technology
- China: Heavy industry to high-tech transition in Shenyang City
- Germany: Lignite mining to tourism in Lausitz
- Scotland: Putting the enabling framework in place for transition
Findings:
The review found that transition to a low carbon economy has the potential to add more value than simply reducing pollution. Transition policy can create dynamic, inclusive, healthy regions, with better work opportunities and thus provide a source of regional prosperity and pride. The obligation to address climate change creates an opportunity to design climate policy in a way that can deliver a source of community regeneration and renewal rather than just prevent loss. Well-managed transitions can result in a revitalization of a region, with enhanced prosperity and well-being by moving away from ‘economic lock-in’ from high carbon industry. It makes four recommendations to grant makers to enable them to support and accelerate this process.
Areas of expertise:
- Enabling a successful transition from fossil fuels to low carbon
- Industrial transition
- Transition Funds
- Stakeholder dialogue
- Social dialogue
