Focus area

Private/Public Funding

Focus area

Markets/Incentives

Private/Public Funding

A green and just transition requires the mobilisation of additional capital from both public and private sources.

Financial and non-financial support mechanisms are needed, as is credible information on economic activities’ contribution to the fight against climate change.

This is crucial to shift capital flows from high-emitting to low-carbon and renewable projects.

In short:

Targeted public financial and non-financial support mechanisms are essential to finance the green and just transition.

Credible and transparent information on economic activities’ contribution to climate mitigation is a prerequisite for mobilising additional private capital.

Capital flows must be shifted from high-emitting to low-carbon and renewable economic activities.

The failure of markets to deliver in the fight against climate change has made it clear that public intervention is necessary. Such an intervention must take the form of financial and non-financial support mechanisms, based on clear criteria and information about economic activities’ contribution to climate mitigation.

Transparent and credible information about different economic activities’ contributions to the fight against climate change is critical to address investment risks and uncertainties that prevent further mobilisation of private capital.

However, mobilising additional capital alone is not enough. It is also essential to shift capital flows from high-emitting economic activities to low-carbon and renewable initiatives, technologies, and projects to achieve climate targets.

Publications related to focus area

All publications

Fact sheet – Raising the ambition of sustainability criteria for the construction sector

How to build for the future The Omnibus I package is a proposal published by the European Commission on February 26, 2025, that aims to ‘simplify’...

21/11/2025

Closing the CBAM gap: Including indirect emissions for EU competitiveness and global decarbonisation

Executive Summary: With the Carbon Border Adjustment Mechanism (CBAM) set to fully enter into force in 2026, the exclusion of indirect emissions ...

25/09/2025

Green Public Procurement of cement and steel in the EU: An overview of the state of play

Executive summary This report examines the state of Green Public Procurement (GPP) across the European Union, highlighting its significance ...

23/10/2024

CBAM – Future Platform for Climate Finance

The importance of implementable, coordinated and well-functioning networks of carbon pricing mechanisms and CBAMs to boost and protect low-carbon eco...

06/12/2023

Addressing classification mechanisms for sustainable economic activities around the world

The case for an International COP Forum: Encouraging new initiatives & reducing fragmentation Classification mechanisms for sustainable econo...

30/11/2023

Policy Brief -The EU Sustainable Finance Taxonomy’s spillover effects on International classification mechanisms for sustainable economic activities

This brief examines the impact of the European Union’s Sustainable Finance Taxonomy Regulation and its Complementary Delegated Act (CDA) on global su...

24/10/2023

The Case for Updating EU Procurement Policy

Procurement is a powerful market force. Big buyers, be they public or private, can stimulate more sustainable practices by driving demand and developing lead markets for greener products and services. There is both significant potential and responsibility to strengthen procurement as a tool in Europe’s the green transition.

03/07/2023

Benefits of a Long Term Floor Price for the UKETS

An enhanced auction reserve price in the UKETS could create a range of benefits for stakeholders. There are now an increasing number of examples around the world from which to draw lessons. This briefing reviews the issues.

31/10/2022

Sustainable Products Initative Position Paper

The SPI acknowledges and attempts to tackle existing market failures by including externalities and establishing sustainability principles for products. We welcome the frameworks established in the SPI, and the potential they hold for key sectors such as heavy industry. Read more on our take on the SPI in this consultation response.

13/07/2022

Making a Difference in European Carbon: fitting in a CBAM to support heavy industry transformation

This report models four scenarios for how a CBAM could be made part of the Fit for 2030 package to be launched in July 2021 as part of the EU Green Deal agenda and concludes that at least 75% coverage for the selected sectors should be pursued. This option has the benefit of generating more income for innovation and deployment earlier on in Phase IV (already in 2026) therefore having the possibility of turning the next decade into one of action and success for the transformation of heavy industry in the EU.

07/07/2021

Undefined ‘decarbonised’ gas has no role on path to net-zero by 2050

As efforts to decarbonise our economy and energy systems pick up, we are seeing an increased reliance on decarbonized fuels, gas in particular - often times referred to as “renewable” and “low-carbon” gases. While low carbon intensity gases and fuels can contribute on the path to net-zero by 2050 – the terminology is confusing, with no common definition to determine when in fact a gas or fuel is renewable or low-carbon.

08/06/2021

Briefing: Defining Low Carbon and Renewable Gas

As efforts to decarbonise our economy and energy systems pick up, we are seeing an increased reliance on decarbonized fuels, gas in particular – often times referred to as “renewable” and “low-carbon” gases. While low carbon intensity gases and fuels can contribute on the path to net-zero by 2050 – the terminology is confusing, with no common definition to determine when in fact a gas or fuel is renewable or low-carbon.

20/05/2021

Understanding our Future

Climate change is happening. Human activity has caused and continues to contribute to towards it; the current and projected severity of its impacts ha...

28/11/2018

BellonaBrief: Brexit Implications on Climate, Energy and Environment

On 24 June 2016 the United Kingdom voted 52% to 48% in a referendum to leave the European Union. Many resources are now likely to be diverted from running the EU and progressing important policies toward instead managing and negotiating the referendum implications. While many uncertainties and questions remain to be addressed, one thing remains certain: Bellona has championed environmental and climate protection in Europe from outside EU membership for over 20 years and will continue to do so. While domestic implications for the UK remain unclear, NGOs’ voices in Europe will continue to be heard.

27/06/2016

Comprehensive ETS Reform

During the first two trading periods of the European Union Emission Trading Scheme (EU ETS) we have observed a low and volatile Emission Unit Allowance (EUA) price, which has failed to incentivise sufficient abatement efforts and investments in clean technologies. Bellona's views on the European Commission-proposed Market Stability Reserve and on the way forward are outlined in the brief on 'Comprehensive ETS Reform'.

30/07/2014

News related to focus area

All news

Joint letter – 475 organisations call on EU policymakers to preserve the core of the EU sustainability framework

Bellona Europa has co-signed a letter in the context of the Omnibus Simplification Package, urging decision-makers to safeguard the Corporate Sustain...

04/09/2025

Danish Presidency of the Council of the EU: What does it mean for climate action?

Summary Prioritising renewables, energy efficiency, and grid modernisation is essential to deliver energy independence, clean energy expans...

09/07/2025

A CBAM without indirect emissions? A half-built bridge to decarbonisation

Last week, EU lawmakers agreed on the so-called “CBAM Omnibus” which simplifies the Regulation while keeping its underlying objectives. With simplifications challenges being addressed, CBAM will take back the centre of attention towards critical challenges like exports and circumvention. But while these issues rightly draw attention, one glaring gap continues to fly under the radar: the exclusion of indirect emissions. This blind spot risks undermining the CBAM’s environmental integrity and its global impact.

23/06/2025

Press Release – Omnibus: Commission ignites new fight on sustainability reporting

Following the release of the Omnibus simplification package, questions arise as to the EU’s dedication to sustainability reporting – a new fight on t...

26/02/2025