The European Commission has today endorsed Malta's Social Climate Plan – the fourth national plan adopted under the Social Climate Fund using revenues from carbon pricing to ensure a fair and inclusive clean transition. Malta's plan will mobilise €60.6 million until 2032, including €45.4 million from the European Union.
The Social Climate Fund provides significant financial support to EU Member States to finance measures and investments identified in their national Social Climate Plans , ensuring that the clean transition is fair and leaves no one behind. Running from 2026 to 2032, the Fund is expected to mobilise at least €86.7 billion, combining revenues from the new emissions trading system for fuel combustion in buildings, road transport and additional sectors ( ETS2 ) as well as Member States' contributions (at least 25% of the costs of their plans).
Malta's plan will help vulnerable households improve the energy efficiency of their homes and renovate apartments in public social housing buildings. It will do so through energy-efficiency upgrades, such as roof insulation, and the installation of renewable energy systems, including heat pump water heaters and photovoltaic systems with battery storage.
The plan will also expand sustainable transport options for more than 30,000 vulnerable transport users through door-to-door community transport services. In addition, it will support vulnerable micro-enterprises in transport-dependent sectors by improving access to affordable electric mobility and charging infrastructure, helping them transition to electric vehicles.
From 2026 to 2032, the measures will help to tackle energy poverty in the country and are expected to reduce greenhouse gas (GHG) emissions by 3,500 tonnes of CO₂ equivalent.
The plan was developed in consultation with national stakeholders and the Commission and reflects the needs of the country. The Commission concluded that it adequately addresses the social impacts of extending GHG emissions trading to buildings and road transport under the ETS2 .
Malta will be able to request a first payment to the Commission once implementation has started and the initial investment results have been achieved.
Background
The Social Climate Fund will 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.
The Commission is working closely with Member States on the development of their Social Climate Plans and calls for their swift submission. Eight Member States (Sweden, Lithuania, Latvia, Malta, the Netherlands, Greece, Croatia, and Slovenia) have formally submitted their Plans to date. Sweden's plan was the first one to be adopted, followed by the endorsement of the plans of Lithuania and Latvia . Most Member States have shared draft versions. The Commission provided dedicated guidance to help them effectively implement the Social Climate Fund and complete their plans.
