Source: European Parliament
The rules of the Social Climate Fund (SCF) and those concerning the use of the remaining Member State revenues under the new Emissions Trading System for buildings, road transport and additional sectors (ETS2) are different. SCF rules are more targeted and developed through the SCF Regulation[1], the recently adopted Guidances on the Social Climate Plans[2] and on the do no significant harm (DNSH) principle[3].
Article 9 of the SCF Regulation allows support through intermediaries, if the entire benefit is passed on to the vulnerable and relevant safeguards are in place. Thus, the investments and measures carried out by the Finnish limited liability housing companies could be financed if they are included the Finnish Social Climate Plan and if a measure can be designed in such a way that the entire benefit is passed on to vulnerable households (homeowners, or renters), e.g. in the form of an improved building standard and reduced heating bills.
Under the ETS Directive[4], Member States must use the revenues for the purposes listed in Articles 10(3) and 30d(6), which include measures to improve energy efficiency and deep renovations. The decarbonisation of heating and cooling of buildings, the reduction of the energy needs of buildings and social aspects are mentioned especially when it comes to ETS2.
- [1] https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=uriserv:OJ.L_.2023.130.01.0001.01.ENG .
- [2] https://climate.ec.europa.eu/document/download/9fbce2e3-5052-4d61-874a-54af0c7dbf55_en?filename=c_2025_881_part_1_en.pdf .
- [3] https://climate.ec.europa.eu/document/download/2f3269ea-fb02-4481-a1d5-3453ba3172ea_en?filename=c_2025_880_part_1_en.pdf .
- [4] https://eur-lex.europa.eu/legal-content/EN/TXT/?uri=CELEX%3A02003L0087-20240301 .