This chapter addresses the implementation phase of the just transition in Slovenia's coal-exit regions of Zasavska and SAŠA. It explores how these regions can move from high-level transition goals to implementation and measurable results. It sets out a regional vision to align EU, national and local priorities. It recommends light governance adjustments to improve co-ordination and participation. And it proposes a simple monitoring and evaluation system to track economic, social and environmental progress.
Mining Regions and Cities in SAŠA and Zasavska, Slovenia
A Regional Approach for a Just Transition Away from Coal
Abstract
Assessment
Slovenia has built strong foundations for a just transition in its two coal regions, SAŠA and Zasavska, through targeted territorial just transition plans (TJTPs), institutions and funding. In Zasavska, already established projects following coal-mine closures demonstrate tangible progress towards innovation and entrepreneurship-led renewal. In SAŠA, efforts to diversify the economy and redevelop industrial sites are beginning to take shape.
Still, the transition framework could be strengthened through slight improvements. These include co-ordination at the ministerial level, a shared long-term vision, stronger regional capacity within the Just Transition Centres (JTCs), alignment of investments (both public and private) with development goals and long-term monitoring. These aspects are closely linked to the legal framework governing Slovenia’s coal phase-out, which defines the timelines, responsibilities and instruments for managing mine closures and regional restructuring. Slovenia’s Integrated National Energy and Climate Plan (NECP) and National Strategy for the Exit from Coal and Restructuring of Coal Regions (adopted in January 2022) set the national trajectory for the energy transition and coal phase-out by 2033, and provide the overarching framework for just-transition governance and funding. The Act on Transitional Financing of an Accelerated and Equitable Withdrawal from Coal also shapes the energy transition. The act provides the temporary framework for heat production and supply in Velenje and Šoštanj, and sets obligations for the development of alternative production sources by the heat distributor. These provisions are relevant both for reducing reliance on TEŠ for district heating and advancing decarbonisation.
For SAŠA, implementation of the coal phase-out is tied to the, recently approved, two legislative acts. First, the act on the developmental restructuring of the SAŠA coal region. Second, for the closure of the Velenje coal mine. This is co-ordinated by the Ministry of Cohesion and Regional Development (MCRD), in co-operation with relevant line ministries, as each of them is responsible for calls in its respective sector, co-ordinated by the MCRD as the managing authority.
Complementarily, the Act on the Promotion of Balanced Regional Development (ZSRR-2) provides the legal basis for regional development more broadly. Under this framework, the regional development agency (RDA) in Zasavska (RDA Zasavska) and the development agency (DA) in SAŠA (DA SAŠA) operate JTCs which provide day-to-day guidance to local stakeholders. In parallel, the governance mechanism established for the implementation and monitoring of the TJTPs grants RDAs a formal role in reviewing and giving opinions on the compliance of applications for the decision on support from the JTF, participating in the planning of the just transition implementation system, and, where relevant, cooperation with the Intermediary Bodies/ministries in the operations selection procedures. Together with the adopted TJTPs as the main tool, these instruments provide the policy and regulatory framework supporting the implementation of projects funded by the JTF under Slovenia’s 2021-2027 European Union (EU) Cohesion Policy programme (2021-2027).
Under the JTF, Slovenia’s coal regions have been allocated EUR 258.7 million (euros) in EU funding, complemented by EUR 21.2 million in national budget co-financing for public-sector beneficiaries and an estimated EUR 24.5 million from private-sector beneficiaries. By October 2025, funds allocated to selected operations reached 60% in Zasavska and 44% in SAŠA, while expenditure stood at 12% and 0%, respectively. According to Slovenia's implementation timeline, approximately EUR 140 million must be utilised by the end of 2026, while the remaining EUR 109 million can be absorbed by end-2029. This timeline has been eased by the 30% JTF pre-financing mobilised under the Strategic Technologies for Europe's Platform, adopted in 2024, which provided early liquidity for spending targets. Several projects are awaiting approval. If successful, they will accelerate implementation and fund absorption in late 2025, indicating progress in selection and planning despite differing implementation paces across the two coal regions:
Early calls and fast approvals: initial calls (e.g. business/economic infrastructure; incubators) began in 2023, with additional and republished calls in 2024 and 2025. A flagship operation (Centre for Development, Demonstration and Training for Carbon-Free Technologies [DUBT], National Institute of Chemistry) received approval in December 2023, supporting pipeline development in Zasavska.
Active co-ordination by the managing authority: the MCRD Directorate for Cohesion (managing authority) has held regular co-ordination meetings with intermediary bodies and has involved both JTCs and other stakeholders.
Regional delivery capacity-building: the technical-assistance component of Slovenia's JTF allocation has been used to fund JTCs within RDA Zasavje and DA SAŠA – which, in turn, have undertaken awareness-raising, information and liaison functions, and supported project pipeline development.
However, there are also factors influencing the pace of implementation, including:
Procedural load and complex co-ordination: some funding calls experienced delays due to administrative steps and the need to align multiple bodies (e.g. Public Agency for Entrepreneurship, Internationalisation, Foreign Investments and Technology’s [SPIRIT Slovenia] call cancellation in February 2025 and October 2025 reissue). For investment-heavy files, “do no significant harm”, climate-proofing and JTF-specific requirements add preparation time.
Regional differences in call timing and implementation: in Zasavska, earlier ministry-run calls and the DUBT decision aided progress. In SAŠA, the 2023 incubator call was first cancelled and then republished in April 2025, with applications now progressing. On 3 October 2025, SPIRIT Slovenia launched a new call, allocating EUR 68.7 million for projects in both Zasavje (EUR 26.2 million) and SAŠA (EUR 42.5 million) regions. These calls should accelerate implementation and fund absorption.
Capacity at delivery interfaces: staffing limitations and a shortage of specialist know-how within agencies, applicants and some municipalities is an issue, especially for complex files. More systematic use of existing low-intensity tools (e.g. templates, checklists, short-duration targeted technical support and peer exchanges) could help address such constraints.
A long-term vision is a critical pillar to manage effectively the socio-economic goals and challenges of a just transition. In both regions, this is emerging, but requires consolidation of the various exercises, programmes and strategies that have helped signal the way forward for the regions. In Zasavska, recent exercises (e.g. Zasavje Beyond 2027) have identified key axes and investment areas for achieving a just transition. Yet these do not provide a unified framework that links transition measures to region-wide development objectives for the coming decade and beyond. In SAŠA, the recently approvedacts on mine closure and regional restructuring, will establish the legal and financing framework for the coal phase-out, while the regional development programme (RDP) sets broader strategic directions. However, a consolidated long-term vision that specifically aligns the just-transition process and the National Regional Development Strategy has yet to be formalised. With the strategy under preparation, regions can use existing national documents and spatial-planning guidance to frame an interim vision, and then refine it once the strategy is in place. A shared long-term vision, aligned across national and regional levels and reflecting top-down strategic objectives and bottom-up regional priorities, could better support identification and implementation of measures and projects contributing to a long-term structural transformation of the regions.
Municipalities are at the forefront of the transition, responsible for spatial planning (under the Spatial Planning Act [ZUreP-3], effective since 2022), shaping project pipelines through elected councils, and fostering trust through proximity to residents and local businesses. However, given their small scale – with only 2 of 10 municipalities in SAŠA exceeding 5 000 inhabitants (about 9 000 in Šoštanj and 33 000 in Velenje) and the 4 larger municipalities in Zasavska (over 10 000 inhabitants), many municipalities face capacity constraints for complex investment projects. In this context, JTCs and RDAs/DAs provide targeted technical and advisory support that helps municipalities identify, prepare and implement projects, with each actor retaining its own role and responsibility. Strengthening capacity at the JTC level, combined with shared staffing models and inter-municipal co-operation, can help optimise limited local resources without recentralising functions away from municipalities.
Slovenia has laid important foundations for a just transition of its two coal regions, including dedicated plans, institutional support and funding. In Zasavska, a set of operations supported under the TJTP, including DUBT in Kisovec, the upgrade of business zones such as Kisovec II and Rudnik (Hrastnik), and the Kompreshaus incubator in Hrastnik, are creating infrastructure and services for new enterprises and innovation. Preliminary evidence indicates that these initiatives are starting to attract firms, support entrepreneurship and improve the regional business environment. However, the framework for transition could be reinforced in several interconnected areas: co-ordination of actors, articulation of a long-term vision, local/regional transition capacity and expertise, integration of investments into regional development trajectories, and creation of a monitoring and evaluation framework within the rationale of a post-coal industrial transition.
Recommendations
Explore adjustments to finetune interministerial co-ordination of the just transition, by:
Formalising senior-level interministerial check-ins at predefined project gates (e.g. post-technical assessment) to strengthen high-level alignment and improve timely decision-making: this includes developing clear operational guidance on who does what at each governance level to avoid duplication and ensure efficient decision-making.
Simplifying and streamlining public-funding call procedures within the existing management and control system: under Slovenia’s Management and Control System for the 2021-2027 EU Cohesion Policy, line ministries act as intermediate bodies, and may delegate tasks to designated implementing bodies. Experience from recent cycles, including the public agency SPIRIT Slovenia call for productive investments and the SAŠA incubator call, shows that changes in co-financing conditions, thresholds or other parameters can lead to cancellations and re-launches. Drawing on lessons from these cases to clarify procedures, roles and decision sequences between intermediate and implementing bodies could support more predictable timelines for future calls and reduce delays for applicants.
Explore strengthening regional and municipal capacity and co-operation, by:
Assessing options to draw on extended JTC support within RDA/DA structures for on-demand assistance to municipalities in permitting, procurement, financial planning and environmental engineering by increasing staff and building capacity internally: the managing authority could further strengthen co-ordination meetings – currently a good practice – by facilitating topic and specific discussion on policy priorities to guide RDAs/DAs on cross-sectoral partnerships and sequencing for forthcoming funding cycles.
Strengthening co-operation between national and regional-level development actors, including research institutions and non-governmental organisations (NGOs), to foster innovation, knowledge-sharing and community engagement in the transition: this also entails identifying options to maintain the transition function beyond the current JTF cycle (e.g. evolving JTCs into longer-term regional transition hubs within existing agencies, subject to available financing).
Explore expanding staff capacity through multiple pathways to address recurrent capacity gaps: (i) flexible hiring supported by development project funds where public-employment legislation is restrictive; (ii) shared staffing models, such as rotational experts and secondments across regions; (iii) national-level training and capacity-building on specific topics (e.g. JTF procedures, strategic planning, environmental compliance); and (iv) ready-to-use templates (e.g. environmental impact assessments, procurement frameworks) to reduce dependency on external expertise.
Exploring flexible eligibility frameworks and consortium arrangements that allow companies and projects from neighbouring municipalities and specially regions (e.g. SAŠA and Zasavska) to participate in cross-regional calls where economically justified: this enables smaller regions to achieve economies of scale, maximises spillover effects and fosters collaboration beyond administrative boundaries, particularly for flagship initiatives such as the Hydrogen Valley (Kisovec) and DUBT Centre.
Consider embedding a shared, future-focused regional vision, by:
Drafting and validating a long-term vision, where possible, to consolidate existing visioning exercises (e.g. Zasavje Beyond 2027, SAŠA restructuring act) into a formally endorsed long-term vision aligned with the forthcoming National Regional Development Strategy: the vision could be drafted by the RDA/DA of Zasavska and SAŠA, validated by the Regional Development Council and approved by all stakeholders from the local to ministry level.
Defining measurable objectives over the short (1-2 years), medium (3-5 years), and long term (+10 years), using indicators and rationale that draw inspiration from the OECD Mining Regions Well-Being Toolkit to measure the transition over the coming decades (OECD, 2022[1]).
Running annual reviews to recalibrate priorities and update the vision, based on evidence, to feed into analysis and evidence on project prioritisation and sequencing.
Consider approaches to integrate financing sources and maximise local economic spillovers from investment, by:
Branding and visibility of the SAŠA subregion and Zasavska region as attractive and forward-looking investment locations: this includes developing distinct regional identities that go beyond coal phase-out narratives and focus on clean energy, manufacturing and other higher-value activities.
Strengthening co-operation between national and regional development actors, including research institutions and NGOs, to foster innovation, knowledge-sharing and community engagement in the transition: this includes formalising the role of chambers of commerce and business associations to support local economic anchoring and competitiveness.
Attracting foreign direct investment and broader external private investment. This includes developing strategies showcasing flagship projects such as the Hydrogen Valley and DUBT Technology Hub, alongside participating in outreach activities and investment fairs.
Maximising the activity of the local economy by linking incoming investments with small and medium-sized enterprises (SMEs) and local supply chains, supported by capacity-building of interested businesses and technical assistance, so that transition funds are anchored locally and generate wider economic value: the RDA/DA could be supported in co-ordinating these linkages and identifying common projects across functional/thematic areas (e.g. energy, manufacturing, research) to enhance regional productivity and competitiveness.
Monitor, evaluate and communicate progress to build local community trust and keep delivery on track. For this, Slovenia could:
Consider expanding data granularity to the SAŠA subregion for selected and relevant indicators: this entails tagging calls in e-MA with municipal codes to enable tailored tracking (e.g. at the municipality level).
Explore developing a permanent “transition well-being scorecard” beyond the JTF cycle and TJTPs time horizon: this entails using data from the Statistical Office of the Republic of Slovenia (SORS) and the Environmental Agency of the Republic of Slovenia (EARS), structured around economic, social and environmental resilience metrics.
SAŠA coal region still has a window before the mine closure (2033) to prepare the local economy and community for the post-coal period. Production at Zasavska's last coal mine ended in 1994, and closure operations are mostly completed. Having absorbed this shock, the region continues to face pressures linked to demographic decline, brownfield remediation and the need for new jobs (Gov SL, 2021[2]) (Gov SL, 2021[3]).
Delivering a just transition now depends on implementation capacity. This requires co-ordinated work across levels of government, clear institutional roles and fit-for-purpose funding routes. Zasavska has been implementing measures while dealing with closure impacts, including by supporting the most affected municipalities. SAŠA has used the lead time to plan. It now needs to shift from planning to implementation, with targeted adjustments from project prioritisation (Chapter 3) to embed a shared long-term vision in core regional documents.
Both regions have advanced planning with the adoption of national activities: Slovenia adopted a national coal phase-out strategy and its two TJTPs were approved (GODC, 2022[4]). Under the JTF, Slovenia’s coal regions receive EUR 258.7 million in EU support. National co-financing includes EUR 21.2 million from the state budget for public-sector beneficiaries, with an estimated additional EUR 24.5 million provided directly by private-sector beneficiaries, bringing total co-financing to EUR 45.7 million. The TJTPs have successfully provided access to JTF resources as well as to pillars II and III of the Just Transition Mechanism, while the RDPs have identified relevant regional and local needs beyond the just transition. Yet stakeholders note that RDP priorities often lack corresponding funding commitments at the ministerial level.
Planned spending concentrates on business capacity and innovation, research infrastructure, clean energy and energy efficiency, and brownfield regeneration (Figure 4.1). The JTF’s technical assistance and co-management role allocation has been used to establish JTCs in both RDA/DA. Alongside EU cohesion instruments, national measures also shape the energy transition. The Act on Transitional Financing of an Accelerated and Equitable Withdrawal from Coal regulates the temporary provision of heat in Velenje and Šoštanj and sets obligations for the heat distributor to develop alternative production sources. Complementarily, the Government of Slovenia has adopted both laws: the law on the closure of the Velenje coal mine (27 November) and the law on the development restructuring of the SAŠA coal region (11 December). Together, they set out comprehensive financial frameworks to support the subregion’s further development.
Source: (European Commission, 2022[5]).
Implementation accelerated in 2025 but remains uneven across the two territories. By October 2025, financial resources decided to selected projects represented 60% of the JTF allocation in Zasavska and 44% in SAŠA. The spent funding reported by selected projects stood at 12% in Zasavska and 0% in SAŠA; numerous projects are queued to progress in late 2025. The TJTPs, approved in 2022 and last amended and approved in 2024, provided the strategic framework. Early public calls in Zasavska were launched in July 2023 (business and economic infrastructure) and November 2023 (incubators), positioning Slovenia among the early movers. Yet final implementation of the funds could benefit from addressing the following factors:
Cross-cutting regulatory requirements: the application of horizontal obligations, such as climate-proofing, the “do-no-significant-harm” principle (where applicable) and JTF-specific provisions (e.g. links to the national coal-exit strategy), has extended preparation timelines, particularly for infrastructure and capital-intensive operations.
Public-call mechanics and implementing capacity: the SPIRIT Slovenia call for productive investments was cancelled in February 2025 due to a change in co-financing capacity and thresholds. It was relaunched on 3 October 2025, with EUR 68.7 million available (EUR 26.2 million for Zasavje and EUR 42.5 million for SAŠA) and a 1 December 2025 deadline.
Active co-ordination, but sequencing still matters: the managing authority has maintained regular co-ordination with line ministries and both JTCs. Even so, for multi-actor projects, late-stage steps such as state-aid or environmental checks can lengthen processing time when not sequenced early. Ministries using simplified procedures saw faster timelines, indicating that administrative design, staffing and technical expertise drive delivery speed.
Resource stretch across programmes: human-resource capacity is shared across the Recovery and Resilience Plan and the Cohesion Policy 2021-2027 programme, leading to overlapping tasks and delivery pressures. These are compounded by the need to comply with newer horizontal requirements.
Applicant-side readiness under programme criteria: some project ideas that emerged entered application/implementation phase with limited maturity. Smaller applicants and municipalities often face capacity limitations on procedural demands, although support from JTCs and RDAs is largely perceived in practice as helpful instruments. The use of standardised templates targeted technical assistance; peer-learning initiatives may further support readiness and reduce preparation time.
Against this backdrop, this chapter focuses on practical delivery gaps and how to close them. Remaining challenges include procedural bottlenecks and complex co-ordination affecting calls and timelines, especially in SAŠA. Capacity constraints at the local level also slow preparation and uptake of projects. At the same time, Slovenia holds strong co-ordination activities and frameworks, the managing authority convenes regular meetings with implementing bodies, and the two regions submit periodic reports. For complex, multi-ministry projects, stakeholders indicated the need for earlier technical alignment (e.g. sequencing of permits and state-aid steps) and for utilising existing data to create a short SAŠA/Zasavska scoreboard (drawing on e-MA/EMMA, SORS and EARS) to track progress results (European Commission, 2024[6]). Similar patterns appear in other EU JTF territories: technical-assistance cases highlight the need to navigate state-aid rules (in Sisak-Moslavina, Croatia), the value of peer learning among managing authorities (in France), and capacity/co-ordination hurdles at the regional/municipal level (e.g. Ireland’s community-energy projects). Accordingly, the Commission supports regions through JTP Groundwork (targeted technical assistance and peer exchanges delivered within the Just Transition Platform). Thus, building on international practice and local experience, the following sections will explore potential recommendations for the implementation of the just transition in Slovenia.
Translating transition strategies into actionable measures and concrete projects depends largely on the governance structures connecting national, regional and local functions. In Slovenia, these core elements are already in place: a dedicated MCRD, legally defined roles for RDAs in both Zasavska and Savinjska, and local-level actors with strong territorial insight. In SAŠA, a DA covers the subregion, while the RDA Savinjska oversees a broader regional agenda. Locally, regional development councils, councils of mayors and municipal administrations contribute detailed territorial knowledge and implementation capacity.
Co-ordinating the just transition across levels of government requires aligning planning and funding across municipal, national and EU scales. At the municipal level, the direct effects of mine closures and restructuring are most visible, while the main strategic and financing frameworks are set at the national level. These include the Act on the closure of the Velenje mine and the Act on Development Restructuring of the SAŠA coal region, recently approved, and EU Cohesion Policy programmes implemented under shared management, including the JTF as part of the Just Transition Mechanism. Cohesion Policy regulations already contain clear requirements on partnership and the involvement of local and regional actors. In practice, however, stakeholders report that differences in timing, procedures and priorities between municipal processes and national and EU programmes can complicate vertical co-ordination and require continued effort to ensure coherent policy design and effective resource alignment. The co-ordination mechanism is embedded in the interplay between:
RDPs: prepared and adopted under ZSRR-2 (Art.13) by regional bodies, RDPs cover the full regional agenda (economy, people, places, services), and set priorities and projects for the Multiannual Financial Framework period and strategic governmental priorities. They are prepared by the RDA/DA and adopted by the Regional Development Council, comprising municipal representatives, business associations and civil-society organisations, before confirmation by the Regional Council (comprising all municipal mayors).
TJTPs: TJTPs are mandatory instruments required to access the JTF in the 2021-2027 programming period. TJTPs are prepared by national authorities through social dialogue and broad stakeholder consultation – including regional development councils, municipal representatives, and civil-society actors – in accordance with the partnership principle, and consistent with integrated national energy and climate plans. EU Member States must demonstrate a clear and effective governance framework for implementation which ensures continued multi-level co-ordination and sustained stakeholder engagement. TJTPs are linked to, but distinct from, RDPs. Regional bodies may be engaged in drafting or implementation where appropriate, though they are not a formal EU-prescribed requirement for JTF approval. Formal approval of a TJTP is granted by the European Commission following submission by the Member State and subsequent negotiations.
Relationship: within the Cohesion Policy framework, TJTPs are the programming tools supporting the JTF, while RDPs provide a broader regional development framework. Regional stakeholders in SAŠA and Zasavska describe the two documents as closely linked in practice: RDPs set wider development objectives for 2021-2027, and TJTPs specify a focused set of just-transition priorities and investments consistent with the national coal-exit strategy. From a regional perspective, TJTPs and RDPs are therefore used together to guide planning and implementation of just-transition efforts in the coal regions.
Within this framework, JTF delivery in Slovenia follows the governance mechanism described in the TJTPs and the national management and control system for Cohesion Policy and is organised through the following roles:
Programme framework: the JTF is implemented as part of EU Cohesion Policy 2021-2027. The MCRD’s Directorate for Cohesion Policy acts as the managing authority. The MCRD’s Directorate for Regional Development acts as an intermediate/implementing body for relevant operations, alongside other intermediate bodies defined in the national management and control system.
Line ministries involved (intermediary bodies): MCRD; Ministry of the Environment, Climate and Energy (MIZŠ); Ministry of Economy, Tourism and Sports (MGRT); Ministry of Higher Education, Science and Innovation (MIZŠ); Ministry of Labour, Family, Social Affairs and Equal Opportunities (MDDSZ); and Ministry of Education (MŠ).
JTCs: operated by RDA Zasavje and DA SAŠA and financed with JTF technical assistance (2021-2027). Their day-to-day role is to operate an applicant helpdesk, provide pipeline support and liaise with all stakeholders involved in the transition.
Regional bodies and monitoring: regional development councils and regional councils, made up of mayors and other regional partners, have an advisory role and approve regional development plans (such as RDPs); they do not exercise executive functions in the implementation of individual projects. For the TJTPs, regional-level reporting is examined by regional development partnership councils (for example in SAŠA), while annual and final reports are discussed at the national level by the monitoring committee.
The SAŠA subregion has a number of particularities regarding its programmes within Savinjska regional structure. For instance, SAŠA has articulated sub-regional priorities in its subregional development programme (Območni razvojni programme) 2021-2027, which sets short- to medium-term objectives aligned with the EU programming cycle for the ten municipalities of the SAŠA area. This sub-regional instrument is prepared and managed by DA SAŠA (the DA for the subregion), which operates at a functional rather than territorial administrative level (ra-sasa, 2021[7]).
Simultaneously, the broader Savinjska region (Territorial Level 3 [TL3]) has its own RDP 2021-2027, prepared by RDA Savinjska under ZSRR-2. In practice, the SAŠA sub-regional programme feeds into and informs the broader regional strategy. The RDP Savinjska aligns with and references the priorities of the TJTP for SAŠA subregion (linked to, but separate from, the RDP), while providing the legal and financial framework that legitimises and supports the concrete actions outlined in the SAŠA sub-regional programme. This nested approach ensures co-ordination between local coal-transition priorities and wider regional development objectives within Slovenia's multi-level governance system.
Notes: DG REGIO = Directorate-General for Regional and Urban Policy. MLFSA = Ministry of Labour, Family, Social Affairs and Equal Opportunities. MHESI = Ministry of Higher Education, Science and Innovation. METS = Ministry of the Economy, Tourism and Sport. ME = Ministry of Education. MECE = Ministry of the Environment, Climate and Energy.
Interministerial co-ordination for complex files could help unlock selected JTF projects
Slovenia's institutional framework for managing the transition provides a strong basis for a successful use of JTF funding. The MCRD serves as the managing authority for Slovenia's EU Cohesion Policy programme 2021-2027, which encompasses the JTF alongside other Cohesion Policy funds. Both DA SAŠA and RDA Zasavje host their respective regional JTCs and perform functions which include co-operating with the managing authority on the design and monitoring of the just-transition implementation system, supporting partnerships at the regional level, contributing to the preparation and amendment of the TJTPs, reviewing the consistency of calls and operations with the TJTPs when they are not beneficiaries, and co-operating with intermediate bodies in selecting operations. As JTCs, they co-ordinate local partnerships and networking, provide information, training and capacity-building, support project preparation and management, keep up-to-date information on degraded areas and act as the main information point for local just-transition stakeholders.
Existing interministerial co-ordination operates through established mechanisms. Within the 2021-2027 Cohesion Policy programme, the roles of the managing authority, intermediate bodies, and the Programme Monitoring Committee as the formal body overseeing programme and TJTP implementation are defined in the national management and control system and in the TJTPs. In practice, municipal-ministerial meetings address specific project-implementation issues and regulatory clarifications on an ad-hoc basis, while the multi-ministerial steering group, convening MCRD, MIZŠ, MGRT, and other relevant line ministries, sets strategic priorities and approves annual implementation workplans for the entire Cohesion Policy programme. This steering group could operate as a dedicated working group within the broader Council for Regional Development, to enhance visibility and stakeholder alignment (Forthcoming OECD report “Building More Competitive Regions in Slovenia“).
However, delays have been observed between the completion of technical project assessments and high-level ministerial approval decisions. For example, projects that have passed technical reviews for state-aid compliance, environmental assessments and eligibility verification can experience bottlenecks when awaiting formal sign-off from competent ministries. To address this, predictable and formalised high-level meetings should be established at the state-secretary level, with specific operational objectives: reviewing progress on TJTPs, co-ordinating funding calls, resolving interministerial implementation barriers and providing senior political support to priority projects. These enhanced meetings should be scheduled at defined project milestones, especially when technical assessments, documentation review and eligibility verification have been completed but final approval decisions are pending. This timing ensures that technically ready projects receive prompt senior-level validation without delays that could compromise implementation schedules. Participants should include relevant ministry representatives, both JTCs and the RDAs when territorial-level input is required for decision-making.
The meetings could systematically: (i) confirm implementation timelines and next steps; (ii) assign clear responsibilities among specific ministries and implementing bodies; (iii) escalate unresolved co-ordination issues to the MCRD for political resolution; and (iv) document decisions for subsequent phases. Sessions should follow a fixed schedule aligned with project milestones, ensuring completed technical work receives clear senior-level hand-off authority so that processes continue to advance efficiently. No new institutional structures are needed: the objective is to formalise and enhance existing co-ordination through predictable senior-level engagement.
Developing the capacity and prospects of JTCs could strengthen implementation capacity beyond the current JTF programming period
The JTF supported the creation of a JTC in each region. The objective was to promote local partnerships, provide training and capacity-building, support project preparation and co-ordinate just-transition activities in the two regions, including with youth, NGOs, social and economic partners, and local communities. This approach is consistent with the European Commission’s evolving framework, where just transition objectives are expected to be addressed in a cross-cutting manner across cohesion and partnership instruments rather than through a single dedicated fund. Since 2022 in SAŠA and 2023 in Zasavska, the transition helpdesks hosted by the development agencies (DA SAŠA in the SAŠA area; RDA Zasavje in Zasavska) have operated as JTCs. They guide promoters through calls, run targeted training, and act as day-to-day contact points between line ministries, applicants and municipalities. The directors of both the RDA and DA participate in the national Programme Monitoring Committee for 2021-2027, which anchors them in the co-ordination set-up and reinforces their institutional role in strategic oversight.
Stakeholders (municipalities, chambers, unions) point to the JTCs as accessible, "one-stop" interfaces for the transition. Their knowledge base has grown quickly, driven by an approach of "learning by doing". Both RDAs and their staff have benefitted from extensive support from the European Commission's Just Transition Platform, which has enabled bilateral and multilateral exchanges of experience on lessons learned and best practices, reinforcing the quality and consistency of transition guidance across regions.
The JTCs do, however, face a challenge with medium and long-term sustainability once the current JTF programming period ends. In 2024, around 72-74% of the host agencies' income came from EU project/technical assistance lines, and less than 5% from the national budget (Table 4.1). DA SAŠA also has a unique structure compared to RDA Zasavje as a development agency at a sub-regional level (the official TL-3 regional RDA for Savinjska is RRA Savinjska). This is relevant when clarifying roles and future mandates to provide stability beyond political cycles.
Slovenia could explore initiatives to strengthen the JTCs and ensure their medium- and long-term impact:
Keep the JTCs as the operational hub and evaluate lifting capacity where most useful: focus added expertise on complex files (e.g. infrastructure and larger investment projects) by promoting trainings (including those under the JTF), templates and peer-to-peer exchange, and increasing staff. To address capacity gaps, particularly in smaller municipalities, this expansion could follow multiple pathways:
expanding internal capacity through flexible public employment arrangements where legislation permits or by channelling support through development project funds, which offer more flexible hiring modalities for specialised expertise
sharing models across regions, including rotational experts, secondments, and peer-to-peer clinics on recurrent technical issues (e.g. environmental impact assessments, procurement frameworks, financial planning)
leveraging national-level support through targeted training and capacity-building courses delivered by national agencies and development actors on specific topics (e.g. JTF procedural requirements, strategic project forecasting, environmental compliance, permitting processes)
complementing these with ready-to-use templates and toolkits that reduce the need for ad-hoc expert support in smaller municipalities.
Furthermore, to enhance co-ordination and avoid duplicating efforts, the JTCs could:
Strengthen topic and policy priority-specific co-ordination meetings facilitated by the managing authority: these would guide RDAs/DAs on cross-sectoral partnerships, consortia opportunities and sequencing across forthcoming funding cycles (EU and national), ensuring coherent regional planning and efficient project preparation.
Support cross-regional collaboration and spillover effects by helping municipalities and enterprises identify common projects and investment opportunities across administrative and functional boundaries: for example, the JTCs could facilitate consortia arrangements between SAŠA and Zasavska for flagship initiatives such as the Hydrogen Valley (Kisovec) and DUBT Technology Hub, where economies of scale and inter-regional synergies strengthen project viability and regional competitiveness.
Clarify roles and facilitate information flow: the managing authority could guide the JTCs on whom to meet and when, based on topical requirements, ensuring municipalities access the right expertise and decision-makers at the right time. This reduces co-ordination gaps and streamlines the flow of information between the national, regional and local levels.
Another alternative is to include expert representatives from different national agencies as advisory participants in the JTCs. For example, the Employment Service could assist the JTC/RDA advisory groups and co-ordinate with the national Competence Forecasting Platform to streamline labour-market insights, ensure the efficient use of resources, and avoid duplication of forecasting and skill-needs activities.
Additionally, due to the low readiness of project applications in certain public calls, the enhanced JTCs could also help screen new proposals against EU, national and regional priorities, as well as test their technical maturity and permitting status before they enter funding calls.
Plan for a longer-term transition function: due to the valuable knowledge built over the first JTF cycle (2021-2027), which will provide JTCs with financing until 2029 (Interreg, 2025[8]), the JTCs could evolve into performing longer-term regional transition functions within existing RDA/DA structures and future cohesion policy arrangements, ensuring continuity of expertise without creating parallel governance structures beyond the JTF. Currently, RDA Zasavje and DA SAŠA derive 71-74% of their operational revenues from EU project funding. Without a sustained funding model post-2029, this expertise risks being lost. By integrating JTC functions into permanent RDA/DA operations, the accumulated knowledge can be preserved regardless of EU funding cycles. The aim would be to retain this expertise across programme cycles using diversified funding sources, including technical assistance in future Cohesion Policy/JTF arrangements, targeted national restructuring funding sources and complementary domestic sources (e.g. Climate Fund).
Source: Data provided by MCRD.
Municipalities are frontline actors whose capacity and co-operation can accelerate transition delivery
Municipal governments manage the day-to-day realities of the coal transition. In SAŠA subregion, the ten municipalities of Solčava, Luče, Ljubno, Gornji Grad, Rečica ob Savinji, Mozirje, Nazarje, Šmartno ob Paki, Šoštanj and the City Municipality of Velenje issue spatial-planning permits and host key assets such as the Šoštanj thermal power plant (TEŠ) and the Velenje lignite mine, alongside multiple brownfield sites. In Zasavska, the four municipalities of Trbovlje, Hrastnik, Zagorje ob Savi and Litija contain the DUBT Technology Hub in Kisovec and roughly 42 inventoried brownfield sites spanning 135 hectares (Pravični Prehod Zasavja, 2022[9]).
The local authorities in these regions are the first contact point for affected communities, directly experiencing job losses, infrastructure restructuring and challenges related to land reuse. As the level of government closest to citizens, they combine operational responsibilities with political legitimacy: their decisions shape public acceptance of the transition, and can determine the pace at which national and EU-funded projects move from approval to implementation. Despite their central role, municipal administrations face some constraints specific to the transition pathways in SAŠA and Zasavska:
Limited staff capacity for complex projects: for example, just two core municipalities employ a full-time environmental engineer; none have in-house financial modellers or procurement experts, with the exception of Velenje. However, there exists one potential opportunity for municipalities to address part or all of these capacity gaps through inter-municipal co-operation arrangements. Slovenia has successfully expanded such arrangements, with 202 of 212 municipalities now participating in at least one joint management body covering services such as legal advice, financial management, environmental protection and spatial planning (Forthcoming OECD report “Building More Competitive Regions in Slovenia“). Leveraging these existing inter-municipal frameworks to consolidate procurement and financial expertise across coal-region municipalities could help address identified capacity gaps for complex JTF projects.
Fiscal capacity is limited and uneven: most municipalities rely on shared taxes and state transfers through formulas that are sensitive to local economic activity and workforce size. As mining operations wind down, municipalities will face reduced tax revenues from declining business activity and employment. This could trigger corresponding reductions in state-transfer allocations, requiring formula adjustments to maintain adequate local fiscal capacity.
To help address some of these constraints and improve delivery capacity, two targeted levers could be implemented in both coal regions:
Where relevant, maintain access to enhanced JTC support for tailored needs of the municipalities: most municipalities in SAŠA and Zasavska face recurring gaps in engineering, procurement, legal and financial expertise. An increase in the capacities of JTCs could include staff support for environmental engineering, procurement, permitting and financial planning (among other relevant professions). This would help municipalities prepare high-quality projects, provide on-demand advice and offer ready-to-use templates for environmental impact assessments (EIAs), brownfield redevelopment and other transition priorities. The Project Acceleration Unit (Unidad de Aceleradora de Proyectos)) in Andalusia, Spain is a “one-stop shop” for mine-permitting processes, providing a useful example of consolidating processes for project approvals and improving administrative efficiency (OECD, 2025[10]).
JTCs should assess the demand for these services. Where demand is limited or intermittent, an alternative could be a voucher or subsidy scheme allowing municipalities and other local actors to procure expertise from external providers.
Formalise inter-municipal procurement to achieve economies of scale: ad-hoc co-operation between municipalities could help organise local capacities for future investment needs. This can include co-operation for joint procurement to reduce unit costs and improve quality. RDAs/DAs could play a role in detecting overlaps to induce co-operation.
Stakeholder participation and inclusiveness is key to ensuring a just transition
Stakeholder participation supports legitimacy and the practical delivery of projects (Mohedano Roldán, Duit and Schultz, 2019[11]). Slovenia has institutionalised participation through national and regional mechanisms, and has been identified at the EU level for successful stakeholder engagement in the just transition. The JTCs in Slovenia have been recognised for their mission of supporting the fair and inclusive transition (Interreg, 2025[8]) (Box 4.2).
At the national level, the Programme Monitoring Committee is comprised of ministries, RDAs/DAs, municipalities and social partners, and oversees fund implementation. At the regional level, the JTCs in SAŠA (subregion) and Zasavska act as operational hubs that facilitate ongoing engagement formats and provide direct support to municipalities, SMEs and community actors. According to JTC SAŠA reporting (2022-2023), the centre supported more than 70 project submissions and organised targeted outreach for trade unions, cultural associations and local administrations.
Consultations also take place during planning cycles. RDAs/DAs run open workshops, focus groups and online surveys when preparing or updating RDPs under ZSRR-2. TJTP processes are separate and EU-driven for JTF access, with participation requirements defined by the cohesion framework. These dual tracks are complementary. They help ensure that community input informs both EU-funded transition plans and national strategies, achieving coherence and synergies among resources such as manpower and finance. The joint call for an educational hub in Zasavska combining funds is one example.
There exists a risk of participant fatigue in some cases: a high number of meetings, unclear follow-up and limited visible outcomes may lower motivation to engage. Smaller municipalities and civil-society actors face administrative and logistical constraints, while long intervals between call announcements and disbursements have affected trust. Light-touch adjustments which lower the cost of engagement, make feedback loops visible and broaden participation within existing structures could help reduce this fatigue. This could include:
Publishing an annual engagement calendar that consolidates consultations, thematic events and feedback deadlines in a predictable schedule so that shared milestones, overlapping working groups/committees (where feasible), and common consultation templates can increase coherence and also create synergies in the planning processes
Refreshing stakeholder group membership periodically and extending participation to youth councils, social enterprises and cultural actors
Consolidating digital communications by continuing the existing “you said/we did” summaries in a quarterly bulletin, collated by each JTC and distributed through RDA/DA newsletters, municipal websites and local media
Raising awareness of project activities and results through local news media, mail-outs and social media posts.
Both regions have demonstrated highly inclusive governance approaches to the just transition, which are recognised by the European Commission. Each region hosts a broad stakeholder development council, mandated under the Act on the Promotion of Balanced Regional Development (ZSRR-2), bringing together municipal representatives, trade unions, businesses and civil-society groups. Both councils are supported by dedicated working groups focused on infrastructure, skill development and social support, ensuring wide representation alongside targeted issue resolution.
The JTC model, which originated with DA SAŠA, was subsequently replicated in Zasavje under the national coal phase-out strategy. Both regions operate JTCs under the same governance framework defined by ZSRR-2, although each maintains distinct annual action plans reflecting territorial priorities and ongoing stakeholder engagement activities.
Sources: (European Commission, 2024[6]); (RRAZ, 2024[12]).
A shared long-term vision (e.g. the Silesia 2030 strategy or Asturias 2030 Just Energy Transition Strategy) is an essential instrument for managing structural transitions in coal-dependent regions. In SAŠA and Zasavska, where the phase-out of coal overlaps with demographic decline, industrial restructuring and environmental legacies, a territorial vision not only provides direction and coherence to public and private action, but also serves as a powerful narrative tool to engage communities, counter opposition and build local ownership of transition efforts.
Rather than reacting to change, a forward-looking vision helps regions guide it, focusing collective efforts on future-oriented outcomes in employment, infrastructure and well-being. In practice, such a vision can:
align stakeholders among government levels and across sectors around common transition objectives
provide a strategic filter for prioritising investments (including under the JTF)
de-risk private investment by signalling long-term certainty
support synergies and complementarities across planning frameworks (e.g. TJTPs, Regional Development Agreements [DRRs], municipal development plans)
serve as a reference for monitoring progress and adjusting strategies over time.
The regional transition process can be understood as a triangle connecting three levels: long-term vision at the top, supported by medium-term strategies and translated into concrete investment projects. This framing helps sequence decisions and clarify the roles of different institutions in turning ideas into action. Regions undergoing complex transitions often face fragmented initiatives, short political cycles and competitive funding pressures. A shared vision helps mitigate these risks by anchoring short-term decisions to long-term goals and ensuring continuity across policy cycles. Moreover, alignment with national and EU-level strategies enhances funding eligibility and strategic coherence. SAŠA and Zasavska are not starting from scratch. Both regions already have components of strategic visions embedded in different instruments and initiatives:
RDA Zasavska, through support from the European Commission’s Directorate-General for Energy and in co-operation with local stakeholders, has produced the “Zasavje Beyond 2027” visioning exercise identifying pathways for economic diversification, community well-being and environmental regeneration (European Commission, 2025[13]). This process reflects a narrative-oriented and forward-looking effort that reaches beyond the current programming cycle and serves as a valuable foundation for a long-term vision. However, it remains relatively exploratory in nature and lacks a more formal institutional anchoring or an implementation framework. In parallel, the region’s DRR for 2021-2027 presents a strategic orientation aligned with EU funding cycles, but primarily reflects short- to medium-term priorities, and remains fragmented across sectors and municipalities (Gov SL, 2021[2]). RDA Zasavje also entered the Joint Research Centre programme "Territories in Action" aiming to draft a “shadow” RDP based on the values and principles of the New European Bauhaus to further enhance the development ambition of JTF, similar to the model of Sachsen-Anhalt. The DRR for Zasavska consists of 12 regional projects aligned with 5 strategic government priorities, with pre-allocated quotas and funding in line with national strategic priorities.
SAŠA has articulated sub-regional priorities in its Sub-regional Development Programme (Območni razvojni programme) 2021-2027, which sets short- to medium-term objectives for the ten municipalities of the SAŠA area aligned with the EU programming cycle. This sub-regional instrument is prepared and managed by DA SAŠA (the DA for the subregion), which operates at a functional rather than administrative territorial level (ra-sasa, 2021[7]). Simultaneously, the broader Savinjska region (NUTS-3) has its own RDP 2021-2027, prepared by RDA Savinjska under ZSRR-2. In practice, the SAŠA sub-regional programme feeds into and informs the broader regional strategy: the RDP Savinjska incorporates JTF content from SAŠA as part of the region's TJTP, while providing the legal and financial framework that legitimises and supports the concrete actions outlined in the SAŠA sub-regional programme. This nested approach ensures co-ordination between local coal transition priorities and wider regional development objectives within Slovenia's multi-level governance system.
Figure 4.4 illustrates a series of sequential steps involved in constructing a shared regional vision for the just transition. It begins with an assessment of the regional context and policy environment, drawing on demographic, economic and environmental data, relevant legal and strategic frameworks, and existing institutional mandates. This is followed by a phase of engagement and consensus-building, where stakeholders are mapped, shared priorities are identified, and consultation mechanisms such as workshops and surveys are used to collect inputs. For instance, these consultation mechanisms should, insofar as possible, be integrated with existing regional structures to minimise the additional burden on stakeholders and limit “consultation fatigue”.
Co-ordination and alignment ensure that the emerging vision is consistent with governance arrangements across and among levels of government, and coherent with EU and national policy frameworks. In the drafting phase, a technical team synthesises inputs into a clear, future-oriented document that is accessible and strategic. The vision must then be formally validated through institutional processes, and broadly communicated to ensure visibility and ownership across sectors and stakeholder groups.
An example of multi-level, multi-actor co-ordination takes place at Germany’s Commission on Growth, Structural Change and Employment, widely known as the Coal Commission. The commission was established by federal cabinet decision in June 2018 and brought together:
eight federal ministries (economy and energy, environment, finance, labour, transport, interior, agriculture, research)
the six coal-producing Länder (North Rhine-Westphalia, Saxony, Brandenburg, Saxony-Anhalt, Lower Saxony and Saarland) and the city of Berlin
municipalities from the lignite areas
trade-union confederations and works councils
energy utilities, industry associations and chambers of commerce
environmental NGOs and research institutes.
To keep the debates focused, the commission split its work into two internal working groups – one on climate-target scenarios and the other on regional development and employment – each with a six-month deadline to produce draft chapters. The final report (January 2019) set out a consensus pathway to phase out coal-fired power generation by 2038 and recommended a EUR 40 billion package of federal investment for the affected regions, providing a common reference for subsequent legislation on both climate policy and regional structural funds (Agora Energiewende und Aurora Energy Research, 2019[14]), (CLEW, 2018[15]).
The Coal Commission’s architecture sat federal ministers, the six coal-producing Länder, municipal representatives and social partners under a single umbrella, so technical energy choices were weighed alongside territorial and labour concerns in real time. Much of the detailed drafting was delegated to two sector-specific working groups, one on climate targets, the other on regional development and jobs, each bound by a six-month deadline, which kept the plenary free for strategic decisions rather than line-by-line negotiation. When consensus was reached, the Commission’s report was handed directly to the federal cabinet and the Länder, who embedded its EUR40 billion investment package and 2038 coal-exit timetable in subsequent legislation and funding agreements, providing an unambiguous implementation chain (Agora Energiewende und Aurora Energy Research, 2019[14]). \
Key enablers for vision development and implementation in the coal regions of Slovenia
Developing a regional vision requires co-ordinated effort across multiple actors, each with distinct responsibilities during different phases of the process. In Slovenia, this cycle typically follows three interlinked stages: vision development, vision alignment, and vision implementation and validation (Figure 4.6).
Vision development begins with the RDA/DA convening participatory workshops, engaging municipalities, businesses, education and civil-society partners, to map local needs, territorial priorities and investment gaps. Slovenia could be inspired by Asturias with regard to the development of the vision (Box 3.4).
Vision alignment embeds the emerging vision within existing planning frameworks. Line ministries and the MCRD ensure compatibility with national strategies (National Regional Development Strategy, Smart Specialisation Strategy, Spatial Development Strategy 2050, Recovery and Resilience Plan) and upcoming post-2027 DRRs, while RDA/DA co-ordinate with EU programming cycles.
Vision validation and implementation translates strategic priorities into project pipelines. RDAs/DAs and municipal authorities help structure to a limited extent the public calls, apply multi-criteria filters linked to the vision and monitor progress through common indicators (e.g. ex-miner jobs, hectares rehabilitated, carbon dioxide reductions). Formal endorsement by the Regional Council, whose members hold a political mandate, lends the vision political standing and drives continuous learning loops.
Importantly, validation of the vision requires political endorsement to give it formal standing. In Slovenia’s governance system, this role can be performed by the Regional Development Council once the correct alignment with goals and priorities from the national level are agreed upon.
Crucially, the vision anchors regional plans within broader strategic frameworks: it should reflect and complement national development strategies, EU priorities and Sustainable Development Goals, so that regional actions reinforce higher-level goals. This can include potential guidance on infrastructure (ensuring they fit the post-coal economic model), skill programmes (targeting future industries), or land reuse projects (aligned with the envisioned economic diversification). In this way, the vision acts as a bridge between the broader map of planning documents – from Slovenia’s National Regional Development Strategy and sectoral plans to TJTPs and RDPs – ensuring coherence across all levels. An aligned vision provides continuity and mutual reinforcement: regional goals are consistent with national climate targets or EU Cohesion Policy and, conversely, local initiatives give life to abstract national goals.
Asturias, once Spain’s largest coal-mining territory, adopted its Just Energy Transition Strategy for Asturias 2030 in 2021. The document set out a EUR 6.5 billion investment horizon and an ambition to create around 6 300 net new jobs by re-orienting the regional economy towards green hydrogen, circular-economy manufacturing, low-carbon steel and sustainable tourism. Anchoring those objectives in a single narrative proved decisive for mobilising both national and EU instruments, including Spain’s share of the JTF.
To translate the vision into action, the principality created the Observatorio de Transición Justa de Asturias (OTJA), a standing forum which brings together the regional ministries of industry and environment, Spain’s Institute for Just Transition, the Asturian Energy Foundation (FAEN), eight coal-area municipalities, trade-union confederations, the University of Oviedo and the regional employers’ federation. OTJA maintains a public dashboard which tracks more than 500 indicators covering emissions, employment and land reuse, and publishes half-yearly scorecards for the regional parliament. The observatory also operates a step-wise pipeline filter. Project promoters first upload proposals to a common web portal, where FAEN applies an alignment matrix linking each idea to the EU Green Deal, the Spanish National Integrated Plan for Energy and Climate (Plan Nacional Integrado de Energía y Clima), and the four pillars of the Asturian 2030 strategy. Short-listed projects then undergo an inter-departmental “quality gate,” which reviews permits, cost-benefit ratios and social-impact safeguards, before they are forwarded to national JTF or Recovery Plan calls. Democratic validation comes at an annual Transition Desk (Mesa de Transición) held in the regional parliament, where elected representatives endorse (and, if necessary, reshuffle) the ranked list and publish it on an open-data site.
By mid-2024, roughly one-third of the regional JTF envelope had already been legally committed, with flagship operations including the Asturias H₂ Valley, the conversion of two former coal plants into flexible storage hubs and a “Green Skills Academy” expected to reskill up to 3 500 miners. According to OTJA, the average time from first submission to funding decision has fallen from about 18 months under earlier schemes to just under 9 months.
Sources: (OTJA, 2023[16])
Branding SAŠA and Zasavska for post-coal investment and visibility
Coal regions in Europe have adopted structured approaches to rebranding in order to attract investors. A common sequence comprises: (i) preparing a concise narrative that highlights an intended regional transition from coal to a diversified set of other economic activities; (ii) translating this narrative into communication tools, such as a visual identity, a website and investment factsheets linked with national investment-promotion platforms; (iii) developing hands-on solutions, such as searchable brownfield inventories to match projects with available land or a map of local SMEs for potential business-to-business agreements; and (iv) participating in targeted sectoral fairs to present regional opportunities under a common transition framework.
Former coal regions in Europe have developed various branding approaches. In Limburg (Belgium), former mining sites have been converted into thematic hubs for clean technologies, creative industries and tourism under a shared regional narrative. In Poland and Czechia, the Upper Silesia and Moravian-Silesian regions use online databases of investment-ready brownfields, combined with guided visits for investors, which have facilitated logistics and advanced manufacturing projects on regenerated land. These examples suggest that a clear regional profile, supported by accessible information on available sites, can help overcome negative perceptions linked to past coal activities. Across both regions, there exist various opportunities to capitalise on existing strengths in order to build a regional brand:
SAŠA can capitalise on its distinctive energy-sector expertise and clean-technology focus through three comparative assets: (i) a strong skill base, rooted in the University of Maribor's Faculty of Energy Technology and complemented by the highly skilled engineering workforce from the thermal power plant and Velenje coalmine, with particularly specialised knowledge in tunnel construction and deep-mining operations; (ii) available brownfields and land near the Šoštanj thermal power plant complex, positioned for pilot projects in energy-related equipment and hydrogen technology; and (iii) the presence of established large exporters capable of anchoring supplier-development chains.
Branding and investment attraction strategies should emphasise SAŠA's Hydrogen Valley initiative as a signature offering for energy-transition investors. The planned TecHub incubator and Old Powerplant-Future Centre will anchor advanced energy and innovation activities. An English-language investment brief highlighting hydrogen and advanced energy solutions should be published and integrated into SPIRIT Slovenia and InvestSlovenia platforms to reach international investors and technology partners.
Zasavska can leverage its compact industrial zones, competitive labour costs and burgeoning high-tech sector, anchored by Dewesoft, the DUBT Technology Hub in Kisovec and the Kompreshaus incubator in Hrastnik. The region is developing a "valley of startups" concept, extending innovation support through specialised incubators that complement the existing infrastructure. Branding should emphasise the region's ready-to-use business parks and incubators, reinforced by RDA Zasavje's collaboration with Zasavje Chamber of Commerce and Industry, including the Investor Support Service, a one-stop shop that guides firms through funding applications and permitting processes.
Beyond industrial assets, the renovated colliery sites present tourism opportunities. Moreover, the three restored lakes represent exemplary environmental regeneration, recognised with multiple international awards, including Best Natural Swimming Area in Slovenia (8 consecutive years), Slovenia's Hidden Gems Finalist, Green Destinations Top 100 Stories, European Green Leaf Award 2024 and Entente Florale Europe Gold Medal 2024. These heritage and environmental assets complement RDA Zasavje's Tourism Development Strategy until 2035.
Both regions are positioned as pilot regions for live JTF investments, showcasing co-financing and development-finance opportunities to unlock the full potential of their clean-technology and digital deep-tech innovations.
The Katapult flagship initiative is an innovative start-up environment in Zasavska combining advanced data analytics, robotics and community engagement to drive post-coal innovation. Launched in 2024 by Dewesoft, a global leader in measurement and control systems, the programme transforms former mining sites into living laboratories for deep-tech experimentation. Using modular sensor networks and real-time data dashboards, Katapult enables startups and research teams to prototype solutions in energy storage, industrial automation and environmental monitoring directly on regenerated brownfield land.
A core feature is the “City of Acrobats,” a repurposed colliery complex in Trbovlje where multifunctional work pods, co-working spaces and outdoor test tracks host collaborative research and development events. Stakeholders participate in themed “hack weeks,” drawing on Dewesoft’s technology and local SMEs to trial artificial intelligence-driven process controls, autonomous inspection drones and circular-economy manufacturing methods. By mid-2025, Katapult had supported 12 pilot projects, attracted EUR 3 million in private investment, and created a network of 25 partner organisations.
Note: Katapult leverages JTF-funded brownfield remediation and national innovation grants to underwrite infrastructure and technical support. It started in 2024 and is expected to be finished in 2034.
Source: (Katapult, 2025[17]).
Evidence from transition regions shows that coal areas that succeed in presenting a clear and forward-looking economic profile are better placed to attract external investment (European Parliament, 2023[18]). In this regard, the SAŠA and Zasavska regions could benefit from developing distinct identities that position them as destinations for investment, entrepreneurship and tourism. The aim is to move beyond generic post-mining narratives and highlight pathways consistent with clean energy while also seeking opportunities for diversification into activities with higher added value, such as advanced manufacturing. Given the relatively small population of both regions, even modest inflows of new economic activity could generate noticeable local effects. Developing such identities can support the communication of investment opportunities, facilitate SME participation in new value chains, and help connect the regions to wider national and European development frameworks.
A time-phased co-ordination for financing a fair transition
Bridging the financing gap for the region's development plans will require deliberate alignment of three funding types: (i) EU Cohesion Policy funds, the European Regional Development Fund, the European Social Fund Plus (ESF+), the Cohesion Fund and the JTF, including support delivered through financial instruments and territorial tools (such as Integrated Territorial Investments and community-led local development), together with climate-related instruments such as the Modernisation Fund; (ii) national funding lines (Climate Fund, SID Bank, restructuring acts); and (iii) private capital, including foreign direct investment. Municipal financial resources play a supporting but essential role, particularly for co-financing requirements. However, municipalities face tight fiscal constraints and should not be expected to bear primary financing responsibility for transition infrastructure (Forthcoming OECD report “Building More Competitive Regions in Slovenia“).
Because transition needs evolve over different horizons – short-term exit cushioning, medium-term repurposing and long-term diversification – available instruments must be sequenced and combined rather than spent in parallel. International experience demonstrates that correct project prioritisation (see Chapter 3), anchored in a clear regional vision, supports more consistent absorption and longer-term outcomes. For example, in Upper Silesia (Poland), JTF grants have been blended with EU Modernisation Fund resources to advance energy and industrial projects. In Lusatia (Germany) and Asturias (Spain), sequencing between EU and national funding lines has helped stabilise employment during early mine-closure stages.
With fewer than 60 000 inhabitants, Zasavska's small population means that well-timed investments can yield large local impacts. However, generating durable spillovers in employment, land use and enterprise creation requires both strategic alignment with the region's long-term vision and deliberate co-investment, with capacity-building support. This entails consistent institutional co-ordination, a challenge requiring active support from RDAs and national-level actors. A time-phased approach can help:
Short term (2025-2030): European Cohesion Policy 2021-2027 provides the primary source of support, with co-financing from national budgets, targeting implementation through 2029/30.
Medium term (2030-2040): once the current JTF cycle ends in 2027 (with implementation continuing through 2030), the shape of a successor JTF remains uncertain pending EU budget negotiations for 2028-2034 and Slovenia's programming decisions. During this transition period, national instruments, including Climate Fund grants for renewable energy zones, SID Bank loans for industrial infrastructure, the SAŠA restructuring act, and the Act on Transitional Financing of an Accelerated and Equitable Withdrawal from Coal, can become more central in supporting the shift towards alternative heat sources in SAŠA. Blended approaches combining these national instruments with InvestEU or European Investment Bank guarantees are already in use in comparable coal regions such as Lusatia (Germany) and Moravian-Silesia (Czechia), where they have improved project bankability.
Long term (post-2040): attracting private, new-to-region investors will require establishing an attractive business environment that emphasises regional strengths (community cohesion, skilled labour) and a predictable project pipeline. This links closely with regional competitiveness and attractiveness strategies.
Linking incoming investment with local SMEs
In both SAŠA and Zasavska, emerging transition investments create concrete opportunities for local SMEs to tap into new value chains. Integration of local SMEs into these emerging value chains remains limited, highlighting the need for improved integration of local businesses with new economic activity to bring increased local benefits (see OECD work on foreign direct investment/SME linkages in countries like Poland, Czechia, Portugal, Slovak Republic (OECD, 2022[19]), (OECD, 2025[20]), (OECD, 2022[21]), (OECD, 2024[22]).
In Slovenia’s coal regions, anchor projects, such as the DUBT technology hub, the renovation of the district heating system in SAŠA and JTF-funded business zones, generate clearly defined project-based demand – short-term contracts for brownfield remediation and construction work, and longer-term opportunities in clean-energy installations and circular-economy solutions. Construction contracts, for example, boost the local economy by securing work for regional builders and tradespeople, and can be leveraged to include affordable-housing components through public-private partnerships linked to project sites. This integration of housing development ensures that new workers and young families can access rental or ownership options near employment hubs, strengthening community stability. By packaging these transition assets together, investors find a “ready-made” local ecosystem and SMEs have already benefitted from technical assistance and capacity-building, reducing their time to market.
For SAŠA, the planned Hydrogen Valley and future incubators (TecHub and Old Powerplant-Future Centre) frame focal points for engineering firms, equipment manufacturers and energy‐services providers. Collaboration with the University of Maribor’s Velenje Faculty of Energy Technology and use of existing TEŠ infrastructure could create testing and pilot production possibilities that align foreign investment with local technical expertise.
In Zasavska, compact industrial sites, such as the upgraded Kisovec II zone and Kompreshaus incubator, offer a concentration of facilities within a few kilometres. SMEs there benefit from proximity to advanced testing at DUBT, streamlined administrative support via the regional agency, and co-location with investors in environmental engineering, logistics and specialised manufacturing.
Leveraging cross-regional and functional economic linkages for wider spillover benefits
Projects in both SAŠA and Zasavska need not be confined to statistical regional boundaries. Transition investments can be structured to generate spillover benefits across coal and non-coal regions, where they create complementary opportunities or access to specialised infrastructure. For example, the DUBT technology hub in Zasavska can serve SMEs in neighbouring regions, while the Hydrogen Valley and biomass research facilities in SAŠA can attract testing and production partnerships from beyond the Savinjska administrative boundary. Several anchor projects, such as the Technology Park Velenje, regional incubators and business zones, benefit from proximity to research centres, transport corridors and labour markets extending beyond immediate coal regions. By removing project-eligibility constraints based strictly on statistical administrative boundaries and emphasising instead functional economic integration, regions can unlock larger value chains, attract higher-value supply-chain activity, and create more substantial employment and innovation benefits.
This approach requires flexible implementation agreements that allow projects to serve beneficiaries and supply chains across municipal and regional lines, shifting from a place-based to a functional economic logic while maintaining JTF funding accountability. RDA/DA, in co-ordination with neighbouring regions and the MCRD, should explore annexes or a cross-regional scope of understanding to formalise co-operation, clearly define benefit-sharing arrangements and establish transparent governance for projects with multi-regional scope.
European experiences in coal-transition contexts provide systematic models for SME-foreign direct investment integration that are directly applicable to Slovenia's coal regions.
For SAŠA, the planned Hydrogen Valley and future incubators (TecHub and Old Powerplant-Future Centre) can leverage collaboration with the University of Maribor's Faculty of Energy Technology and existing TEŠ infrastructure to create testing and pilot production facilities that align foreign investment with local technical expertise.
For Zasavska, the existing hydrogen integration in industry and energy locations, combined with DUBT technology hub and compact industrial sites like the upgraded Kisovec II zone, provides strong foundations for clean-energy investments. Advanced innovation goes hand by hand with qualified professionals. Due to the findings in Chapter 1 on tertiary education, the region could benefit from partnerships, agreements and programmes across universities and companies to strengthen its professionals background.
For both regions, the Asturias H2 Valley model offers direct inspiration (EC, 2025[23]). The EUR 2.5 billion project integrates renewable hydrogen production with local steel manufacturing ArcelorMittal Avilés) and cement production, located just 3 km from the electrolyser facility (edp, 2024[24]). OTJA systematically matches SME suppliers with anchor investors through its alignment matrix, connecting projects to regional transition priorities before advancing to funding calls. This has enabled local engineering firms to secure contracts for electrolysis components, civil works packages, and specialised industrial services within the hydrogen value chain (WSC, 2024[25]).
Slovenia already produces a large volume of territorial data, comparable to many other OECD countries. The Statistical Office (SORS) releases more than 4 000 regional indicators through its SiStat portal, covering demography, labour markets, income and the environment (SURS, 2025[26]). IMAD’s annual Development Report tracks 190 socio-economic variables benchmarked against EU targets (IMAD, 2025[27]), while the Environment Agency (EARS) maintains detailed inventories on air-quality, greenhouse gas emissions and contaminated sites. At project level, every euro of EU cohesion funding is recorded in real time in e-MA, the national IT system operated by the MCRD (Evropskasredstva, 2024[28]). Business outcomes can be matched, in principle, with the AJPES business register and labour-market trajectories with the Employment Service (ESRS).
Monitoring is continuous and implementation-focused, while evaluation is periodic and learning-focused. The transition scoreboard proposed in this report can support continuous monitoring and an independent 2027 mid-point review can help support periodic evaluations.
Current monitoring practices for the Just transition
Early in this report (Chapter 1), data limitations were noted: SAŠA is not a standalone statistical unit, so most presentations of regional-level data and indicators do not separately identify the subregion, leading to a limited ability to benchmark regional performance against other regions, national and international benchmarks. In some cases, the only available data is at the Savinjska TL-3 level, which does not necessarily reflect the sub-regional dynamics in the coal-dependent municipalities. Also, data per se is not enough, it requires analysis and a coherent framework to yield actionable evidence for decision-makers. For instance, these data serve as core monitoring elements of the TJTPs within the European Cohesion Policy, yet that programme’s horizon is time-bound, creating an opportunity to leverage existing data and tools to establish a more durable transition monitoring framework. Thus, Slovenia could explore:
Consider the possibility of expanding the data granularity to SAŠA subregion in order to provide more tailored analysis. Chapter 1’s analysis was constrained by the lack of SAŠA-level statistics, a logical result of its non-statistical status. Yet SAŠA’s coal transition could benefit from a tailored lens. This includes measuring economic (e.g. gross domestic product (GDP) per capita, productivity), social (e.g. youth and elderly ratios, education, and health outcomes) and environmental (e.g. greenhouse gas (GHGs) emissions, forest change) indicators. Also, by tagging each TJTP call in e-MA with municipal codes, approvals and disbursements can be rolled up not only to Savinjska but also to the 10 SAŠA municipalities. Zasavska’s four post-closure municipalities (Trbovlje, Hrastnik, Zagorje ob Savi, Litija) receive the same treatment.
Build on analysis from the current monitoring platforms to feed into the vision development and review. The scorecards could play a role feeding into the regional vision development and subsequent review process by helping to strengthen evidence and data-backed insights.
Explore leveraging current platforms (SiStat, EARS, ESRS) to build a permanent “transition well-being” monitoring framework extending beyond the 2021-2027 European Cohesion Policy cycle. Reframe a concise set of key variables, chosen for their ability to “speak most” to stakeholders (for example, employment of former miners, private investment leveraged, land rehabilitation, air-quality improvements), as indicators of social and economic resilience. Inspired by the OECD Mining Regions Well-Being Toolkit (OECD, 2023[29]), which groups metrics into economic dimensions – jobs, GDP, environmental (land, emissions) – and social dimensions (population, health), the country could explore developing a scorecard that informs decision-making at the municipal, regional and national levels, ensuring timely, evidence-based policy adjustments based on existing monitoring tools. Slovenia could draw inspiration from the example of Asturias with regard to progress on JTF objectives (Figure 4.8).
Source: (OTJA, 2023[16]).
The OECD toolkit to measure well-being in mining regions provides a comprehensive and structured framework to evaluate well-being across economic, social (community) and environmental dimensions in regions specialised in mining activities (OECD, 2023[29]). It enables policymakers to identify challenges and opportunities specific to mining regions, benchmarking their performance against the OECD average and other mining-intensive regions. The toolkit was developed as part of the OECD’s broader effort to support mining regions, particularly under the Mining Regions and Cities Initiative. Launched in 2017, the initiative aims to promote sustainable development in mining regions, leveraging the critical role these areas play in the energy transition and green economy. By focusing on well-being indicators, the toolkit aligns mining activities with long-term regional development goals. It aims to equip policymakers with the tools necessary to evaluate and compare well-being outcomes in mining regions, fostering evidence-based policy design and implementation.
The toolkit integrates a broad set of indicators into composite indices for each of the three dimensions. These indices aggregate multiple variables that capture the complex realities of mining regions. For example, the economic dimension considers employment rates, GDP per capita and productivity, while the community dimension includes education levels, access to health services and social cohesion. The environmental dimension reflects factors such as air and water quality, land use and greenhouse gas emissions. By consolidating these data, the toolkit offers a comprehensive view of the performance of mining regions and facilitates benchmarking against the OECD average, other mining-intensive regions and national averages (Figure 4.9).
Note: Normalised index where 100 = OECD TL3 rural regional average. Greater value means better performance.
Source: (OECD, 2023[29]); link to data visualisation platform (https://oecd-main.shinyapps.io/mining-regions-wellbeing/) in (OECD, 2022[1])
Slovenia has assembled the core elements needed for a just transition in SAŠA and Zasavska. The Integrated NECP and the National Strategy for the Exit from Coal (adopted in January 2022) set the overall direction for the energy transition and the phase-out of coal by 2033. Access to EU support is secured through the EU Cohesion Policy 2021-2027, whose implementation period runs until 2030. The TJTPs for both coal regions are part of the EU cohesion programming but serve as overall objectives linked to the RDPs, jointly reflecting a comprehensive approach to regional development while addressing the specific challenges of the coal phase-out. Two recently approved legislative acts, on the closure of the Velenje coal mine and the restructuring of SAŠA, will bring greater clarity regarding institutional roles and financing arrangements in SAŠA. The forthcoming National Regional Development Strategy will extend the planning horizon and support alignment across land use, skills, infrastructure and enterprise development, among other relevant topics for regional development.
The next challenge lies in reinforcing implementation. Much is already in motion: the managing authority has ensured regular co-ordination; JTCs are active within the RDA/DA; and the project pipeline is advancing, albeit at different speeds across the two territories. Faster progress is observed when public calls are launched early and project proposals re technically well-prepared. When timelines have been tighter, or when projects – particularly those involving infrastructure and capital investment – are more complex, additional requirements (e.g. multiple approvals, administrative capacity) have created delays. This underlines the need to make the existing architecture work more predictably, so that approvals align with project readiness and operations translate into ground-level implementation within the European Cohesion Policy calendar.
Looking ahead, a concise and shared regional vision in each coal region could serve as a stable reference over the coming decades. If validated through existing regional bodies and aligned with national frameworks (such as the National Regional Development Strategy, S4 and spatial plans), such a vision could help sequence projects across calls, guide local stakeholders and investors, and connect spending to tangible outcomes, jobs, rehabilitated land, upgraded business spaces and improved services. If kept at a high level and regularly revisited, it could evolve with evidence, rather than introducing new administrative layers.
Co-ordination for the most complex projects can be reinforced with minimal structural change. Scheduled, high-level check-ins at ministerial level once technical appraisals are complete could help confirm timelines, allocate responsibilities and resolve cross-ministerial issues. Municipalities remain central to both the pace and quality of the transition. They manage permitting, brownfield redevelopment and local engagement, but capacity varies significantly. JTCs are well positioned to continue serving as a single operational front door, offering standard templates (e.g. for EIAs and procurement), and targeted support for public-call applicants. Sustaining this practical assistance beyond the current JTF eligibility period (which runs until the end of 2029) would help retain institutional knowledge and technical expertise.
Taken together, these are incremental rather than structural steps: preserve the existing machinery, bring forward key decisions, use a shared vision as a filter, equip municipalities with practical tools and make progress visible. With these adjustments moving in parallel, SAŠA can shift from planning to execution during the pre-closure window. Zasavska can consolidate its post-closure trajectory. Strengthening absorption over the 2021-2027 period can continue until 2030. And both regions can gain the tools and support needed to navigate the next phase of economic diversification.
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