As Europe advances towards climate neutrality, the green transition is reshaping economic and social structures in regions across the countries. The green transition offers opportunities for innovation, new industries, and growth, but its effects are uneven and place-dependent. Some regions are well positioned to benefit, while others risk being left behind. Ensuring a just and balanced transition requires coordinated action across governance levels, with particular attention to regional dynamics and capacities.
In a recent event ‘Territories on their way to climate neutrality’ (6 May) hosted by ESPON EGTC, Nordregio’s Senior Research Fellow Nora Sánchez Gassen contributed to a policy session on how spatial planning and territorial development can support climate neutrality. The session brought together planners, policymakers, and researchers to examine how place-based strategies can guide a fair and effective transition.
Regional perspectives on green industrialisation
Sánchez Gassen presented results from Nordregio’s research and the Territorial Perspective on Green Industrialisation working paper and policy brief, a joint effort by ESPON and Nordregio. She emphasised that the success of green industrialisation depends not only on technological development and market incentives, but also on regional capacities, governance frameworks, and public engagement.
Three key issues were highlighted:
- Labour market readiness: Many regions face skills shortages and demographic constraints that could cause obstacles for the development of green industries.
- Spatial planning and land-use pressure: Competing land uses can create tensions, particularly where infrastructure, housing, and environmental goals intersect.
- Governance coordination: Effective territorial development requires alignment between regional strategies and national climate policies, with adequate resources and mandates at the local level.
Research-based resources for policy development
The talk drew on three recent Nordregio publications that support regional policy development for a just and effective green transition:
Working paper and policy brief: Territorial perspective on green industrialisation
These publications offer evidence-based insights into how green industrialisation is taking shape across Europe. They provide territorial evidence and examples that inform planning and policy at the local, national and EU levels. Key policy messages highlight both the potential and challenges of green reindustrialisation and call for regionally adapted, inclusive strategies.
Report: Regional economic effects of the green transition in the Nordic Region
This report provides a detailed account of how the green transition is affecting economic structures in different Nordic countries. As a part of Ensuring inclusive economic growth in the transition to a green economy (EnIGG) project, the report offers sector-specific case studies – ranging from Iceland’s tourism sector to Sweden’s industrial north – illustrate both opportunities and risks related to the green transition at the local level.
Nordic Toolbox for a Just Green Transition
Developed under the Not Just a Green Transition (NJUST) project, the toolbox offers practical resources for policymakers. It includes a checklist for inclusive decision-making, good practice examples, and targeted policy guidance for vulnerable groups such as youth, older adults, and people at risk of unemployment.
Informing inclusive and forward-looking strategies
The discussions during the session underlined the importance of bold, forward-looking planning approaches that consider the territorial implications of climate action. Regions are not only sites of change but also key agents in shaping it. With the right support and tools, regional actors can drive transitions that are not only green but also inclusive and just. The work presented by Nordregio contributes to this goal by offering practical insights and evidence to support informed policymaking.
