The European Commission has endorsed Latvia’s Social Climate Plan, which is set to mobilise €617 million from 2025 to 2032 to support households facing high energy costs and transport disadvantage.
The funding is expected to help about 17,000 vulnerable households living in energy-inefficient homes and around 453,000 transport users, the Commission said in a release on Monday.
It stated further that the plan covers households already supported by Latvia’s national energy costs support scheme and people living in areas with limited public transport availability.
Eligible households will be able to apply for funding for home renovations and energy efficiency improvements, with support of up to €15,000 for apartments and €20,000 for houses.
The plan also includes upgrades to the energy efficiency of social housing and buildings used for social services and accommodation.
New “energy advisory hubs” are also planned to provide guidance to vulnerable households on reducing energy costs and accessing support.
The plan’s implementation is expected to reduce carbon dioxide (CO2) emissions by 45,000 tonnes by 2032.
Transport support and EU carbon pricing
Vulnerable transport users will be able to receive up to €15,000 to buy a battery electric vehicle, while people with reduced mobility will be able to receive an electric mobility device, the Commission said.
Measures also include support for regulatory reform of public transport, investment in on-demand transport services, and the purchase of new battery electric trains.
The plan also includes funding for free bicycle-sharing services in 97 schools located in areas with high transport poverty.
The Commission said the plan addresses the social impacts of extending the EU’s new emissions trading system for buildings and road transport — known as ETS2 — which applies carbon pricing to fuels used in those sectors.
Latvia will be able to request its first payment once implementation has started and agreed milestones have been achieved.
Roxana Mînzatu, the Commission’s Executive Vice-President for Social Rights and Skills, said the plan targets issues including “outdated heating systems and limited transport access in rural areas”.
Wopke Hoekstra, the Commissioner for Climate, Net Zero and Clean Growth, stated that the funding would improve energy efficiency in older buildings and expand sustainable transport options.
