July 31: Strong environmental laws, effective institutions and accessible justice systems are essential for achieving a fair and inclusive transition to a greener economy, according to a new report released by the United Nations Environment Programme (UNEP).

 

Released on the first anniversary of the International Court of Justice’s (ICJ) landmark advisory opinion on climate obligations, the report highlights the environmental rule of law as a key pillar of a “just transition.” It stresses that public participation, access to justice, rights-based governance and equitable financing are crucial to ensure vulnerable communities are not left behind during the shift to sustainable economies.

 

The report comes as countries continue negotiations on just transition frameworks under global climate discussions, including the Bonn Climate Conference held in June 2026.

 

Drawing on examples from countries including India, South Africa, South Korea, Brazil, Canada, Chile and the United Kingdom, the report showcases both progress and challenges in implementing just transition policies. It notes that South Korea has embedded just transition principles into its climate law, while India’s Jharkhand has established a Task Force on Sustainable Just Transition involving 17 government departments to address energy transition, climate resilience and the protection of vulnerable communities.

 

UNEP also emphasised the importance of land rights, community participation, gender equality and safeguarding environmental human rights defenders, who increasingly face risks linked to renewable energy and infrastructure projects.

 

The report identifies financing as a major challenge and recommends expanding the use of green bonds, carbon credits, blended finance and direct revenue-sharing mechanisms to support affected communities. It also urges international financial institutions to strengthen environmental and human rights safeguards in climate investments.

 

Highlighting the growing role of the judiciary, the report notes that climate litigation is increasingly focusing not only on emissions reduction but also on how the costs and benefits of the transition are shared among workers, communities and future generations. UNEP called on governments to establish comprehensive legal frameworks aligned with global climate commitments and urged businesses to integrate human rights principles into their transition strategies.