Just Transition in Small Island Developing States is key to economic resilience

Geneva (ILO News) — The International Labour Organization (ILO) underscored the critical role of a just transition in building economic and workforce resilience in Small Island Developing States (SIDS) during the 4th Biennial Commonwealth Sustainable Energy Forum, held in London from May 20–23, 2025.The Forum brought together key stakeholders, including Sustainable Energy for ALL, BloombergNEF and ATC Ghana, to explore inclusive transitions, technological innovation, and enabling policy frameworks.

Participating virtually, ILO's Priority Action Programme on a Just Transition shared its experience and best practices in fostering local value creation and decent work as part of the global shift away from carbon-intensive economies.

The ILO emphasized that a just energy transition—anchored in job and income security, skills development and social dialogue—not only supports workers but also strengthens national economies. In SIDS, where labour markets are particularly vulnerable to climate change and natural disasters, such transitions are essential for long-term resilience.

“Energy transitions, when guided by integrated economic, social and environmental policies, can serve as a powerful narrative for transformation in SIDS,” said Moustapha Gueye, Director ILO Action Programme on Just Transition. “They offer a pathway to diversify economies, protect at-risk workers and enterprises and empower communities.”

The ILO is currently implementing just transition initiatives in several Commonwealth countries, including Barbados, Jamaica, Botswana, and Ghana. These projects aim to align macroeconomic policy with sustainable enterprise development, creating an environment conducive to inclusive growth and climate resilience.

The Forum highlighted the importance of enabling frameworks that support sustainable enterprises and foster innovation. The ILO’s collaboration with the Commonwealth Secretariat is expected to deepen, with a shared commitment to advancing equitable energy transitions across member states.