In order to promote sustainable development and innovation in sectors of national strategic importance, as well as to strengthen the responsibility of ministries and institutions in meeting climate targets, on Thursday, 27 November, the Saeima adopted in the final reading the urgent Law on Climate Resilience and Economic Sustainability.

Kaspars Briškens, Chair of the Economic, Agricultural, Environmental and Regional Policy Committee responsible for the draft law in the Saeima, noted that together with the previously adopted Transport Energy Law and amendments to the Law on Pollution, the new regulation provides a clear legal basis for the gradual transition to a climate-neutral economy. It will ensure clear objectives, conditions for sustainable development, and a predictable environment for businesses and society.

The law provides a unified and transparent regulatory framework, establishing the duties of ministries and municipalities in meeting national climate targets, as well as ensuring the coordinated allocation of support funding. Representatives of the Ministry of Climate and Energy (MCE) had previously stated to the responsible committee that the draft law also includes provisions to strengthen Latvia’s resilience, particularly in the context of climate change.

The law also includes provisions necessary for the functioning of the Emission Allowance Auction Instrument and for the use of the new European Union Social Climate Fund. Latvia will have access to 462.7 million euros under this fund.

Representatives of the MCE had previously explained that financing by the Fund will be directed toward vulnerable groups, such as households, transport users, and micro-enterprises facing energy or transport poverty threats. Its intended purposes include building renovation and improving energy efficiency, improving access to public transport, as well as the development of social housing and shelters.

The law will enter into force on the day following its promulgation.

Saeima Press Service