The European Commission announced that it has adopted Greece’s €4.8 billion (USD$5.6 billion) Social Climate Plan to use the revenues from emission allowances to advance the clean transition and support vulnerable consumers and enterprises.
The Greek plan is the fifth and largest to date to be approved under the EU’s Social Climate Fund, designed to support measures and investments in energy efficiency, the renovation of buildings, clean heating and cooling, and the integration of renewable energy, as well as in zero-emission mobility and transport. Adopted in 2023, and running from 2026 to 2032, the fund is expected to mobilize at least €86.7 billion EU-wide, combining revenues from the new emissions trading system for fuel combustion in buildings, road transport and additional sectors (ETS2) with Member States’ own contributions.
The newly approved plan, which runs from 2026 to 2032, will mobilize €4.8 billion, including €3.6 billion, or 75%, from the EU’s Social Climate Fund, with Greece providing the remaining €1.2 billion. The investments and reforms included in the plan are expected to contribute to emissions reductions equivalent to 811,000 tons of CO2 annually by 2032.
Wopke Hoekstra, Commissioner for Climate, Net Zero and Clean Growth, said:
“As our largest endorsed plan so far, Greece’s €4.77 billion investment puts people at the heart of the clean transition — supporting vulnerable households, transport users and micro-enterprises while making homes and mobility cleaner, more affordable and accessible.”
According to the Commission, the plan will support 460,000 vulnerable households by reducing their reliance on fossil fuels through support for up to 62,000 renovations and the installation of 200,000 heat pumps and solar water heating systems. The plan will also add 2,800 energy-efficient social housing units and provide €226.6 million to renovate student residences serving 5,930 vulnerable students in higher education. A temporary heating allowance will also support up to 800,000 vulnerable households a year to meet their heating expenses following the introduction of ETS2.
The plan is expected to help 300,000 vulnerable transport users benefit from strengthened public transport, including more than 200 new electric buses in urban areas with high rates of transport vulnerability, 22 additional Athens metro trains, new on-demand-transport services in remote areas as well as charging infrastructure. A social leasing scheme will also enable 15,000 car-dependent vulnerable households to access electric vehicles at an affordable monthly rate, accelerating the shift to zero emission mobility.
The program prioritizes accessibility and inclusivity by investing in more than 12,000 mobility devices such as electric wheelchairs and scooters, a new dedicated school transport service for students with disabilities, and accessibility upgrades to 33 railway stations and 85 metro stations.
Finally, the plan supports 28,000 vulnerable micro-enterprises in transitioning towards cleaner buildings and mobility solutions with €820 million dedicated to reducing energy and transport costs through targeted energy efficiency upgrades to buildings and subsidies.
Roxana Mînzatu, Executive Vice-President for Social Rights and Skills, Quality Jobs and Preparedness, said:
“Greece is on the frontline of climate change, from summer wildfires to extreme heatwaves that hit vulnerable households and small businesses hardest. This Social Climate Plan meets this urgency head-on: warmer homes in the winter and cooler in the summer, cleaner transport and real support for the people and businesses who need it most, right when they need it.”
