MSA's Feedback to the Social Climate Fund Public Consultation

 The Malta Sociological Association (MSA) welcomes the opportunity to contribute to this consultation and supports the principle behind the Social Climate Fund, that of ensuring a just and inclusive transition to climate neutrality.

The SCF aims to provide targeted support to vulnerable individuals, households, and enterprises facing the greatest challenges during this transition by addressing the socia
l repercussions of the EU’s revised Emission Trading System (ETS). Given that the Fund is meant to achieve a social impact targeting vulnerable groups, the MSA recommends the adoption of an impact assessment rooted in the sociological tradition – a Social Impact Assessment (SIA). While the approach (based on the SMM model) outlined in Section 6 of the consultation document regarding impact assessment may offer useful economic insights, it assesses impact in strictly aggregated and macroeconomic terms. As such, it risks overlooking the complex social realities that shape how different groups experience climate-related measures, particularly those defined as vulnerable, which are the target group of this Fund.

We therefore strongly recommend the integration of a SIA alongside economic modelling. An SIA would allow for a deeper understanding of how the proposed measures affect people’s lives, particularly those vulnerable. It would also offer a framework to anticipate unintended consequences, enhance participatory planning, and improve the targeting and equity of social investments.

According to the International Association for Impact Assessment, SIA refers to “the processes of analysing, monitoring and managing the intended and unintended social consequences, both positive and negative, of planned interventions (policies, programs, plans, projects) and any social change processes invoked by those interventions”. An SIA is an interdisciplinary process, and follows established social-scientific methods, both quantitative and qualitative. Social impact assessments should not be one-off exercises, but ongoing processes which engage with various stakeholders and report back so as to ensure effective policy processes.

A just transition requires attention to heterogeneous social impact, lived experience, social cohesion, and structural inequality. We urge the inclusion of social impact monitoring throughout the implementation period to ensure inclusivity.