Spending review on climate change policies and assessment of the economic impact of climate change-related risks

The general objective of this service is to contribute to institutional, administrative and growth-sustaining structural reforms in Spain. Therefore, the project aims to aid national authorities in enhancing their ability to design, develop, and implement reforms, including the preparation, amendment, implementation, and revision of recovery and resilience plans as per Regulation.

Context

The Directorate General for Structural Reform Support (DG REFORM) of the European Commission aims to assist member states, including Spain, in implementing growth-enhancing administrative and structural reforms through the Technical Support Instrument (TSI) Regulation. Spain's request for support, specifically for the Spanish Climate Change Office (OECC), highlights the need for improved access to comprehensive data, analysis, and financial projections related to climate change expenditures. The project proposed by the OECC seeks to address these challenges by mapping expenditures, analyzing data, and creating economic models to support effective resource allocation and policy-making aligned with national and EU priorities, including the Spanish Recovery and Resilience Plan and the Green Deal.

Support delivered

The project's support measures will offer crucial methodology and economic data regarding historical and anticipated climate change impacts in Spain. This information is vital for guiding investments within the Recovery and Resilience Plan (RRP) and the Multiannual Financial Framework (MFF). Additionally, Spain's 2020 Country Specific Recommendation emphasizes the importance of directing investments towards green transition and enhancing coordination between various government levels to facilitate recovery efficiently, aligning with Spain's National Energy and Climate Plan. Furthermore, the project strongly aligns with the European Union's strategy to combat climate change, particularly the Green Deal initiative.

Results achieved

The general methodology of the project was applied according to the structure defined in the agreement. Accordingly, five deliverables have been prepared in accordance with the requirements set out for each of them: 

1. Kick off meeting and preliminary report

2. Preparation of an assessment report on climate change-related public investment, revenue and expenditure incurred since 2014

3. Recommendations and guidance for the mapping of information in an information system with graphic analytical and search functionalities

4. Report on recommendations for an economic modelling tool to assess the impact of the climate-related policies in terms of macroeconomic parameters and tax aspects

5. Technical report on the budgetary and financial resources necessary to manage climate change in the next few years  

More about the project

You can read the documents related to the project here: