BIH’s Sustainable Transition, SEI

Component 1 (PC1) related to implementation of Environmental strategy remained on hold throughout 2024, with the exception of activities directly supporting the adoption of Environmental Strategy and Action Plan of Bosnia and Herzegovina (BiH ESAP 2030). Given the difficulties in direct engagement, sustained diplomatic pressure and high level advocacy has been provided from Sweden and other international partners with the aim to advance the process. However, given the continuous absence of progress in the adoption process of the Environmental Strategy BIH (BIH ESAP), in March 2025 Sweden has made the decision to cancel its funding for PC1, aimed at support to BIH, entity, and BD level institutions in implementation of measures from the strategy. As to PC2, following has been achieved: SEI together with local and Swedish experts prepared Transitional Plans for partner LSGUs, and their corresponding Operational Plans (2025-2027) arising from Transitional Plans. This process was conducted in a participatory manner, engaging over 50 different stakeholders, 200 participants, and more than 20 local and international experts. The documents are aligned with the Green Agenda for the Western Balkans and EU sustainability goals. This activity was implemented and finalized in several steps outlined below. The 2050 transition goals for each of the four partner Local Self Government Units (LSGUs) have been developed. To ensure effective implementation, each LSGUs pathway has been broken down into three key phases, 1) short term (by 2027), 2) midterm (by 2035) and 3) long term (by 2050). In parallel with defining the 2050 targets, LSGU administrations and SEI officially established working groups for Transitional Plan development, based on stakeholder mapping. Each LSGU formed five working groups, one per development pathway. In 2024, four Transitional Plans for four partner local self-government units have been developed, including stakeholders consultations. A key component of each Transitional Plan is the three-year Operational Plan (2025-2027). Once Transitional Plans, and their corresponding Operational Plans (2025- 2027), have been developed, SEI facilitated their adoption. The Transitional Plans for Breza, Zivinice and Ugljevik have been promptly adopted, whilst adoption for Banovici is still pending due to changes in Municipal Council after the elections. Following adoption of Transitional plans in 3 LSGUs, SEI continued with Technical Assistance for the development and adoption of short-term transition priorities, as follows: Breza: i) Wastewater drainage and treatment system, ii) Mapping of heating sources, iii) Addressing illegal waste dumping. Zvinice: i) Public lighting system digital register, ii) Traffic study for sustainable transportation. Ugljevik: Wastewater management system. These enabling activities will lay the groundwork for future infrastructure investments. SEI carried out and finalized capacity building needs assessment. Assessment underscored urgent need for infrastructure investments to support decarbonization, circular waste management, depollution, and improved water resource management. Based on the that SEI developed a conceptual framework for delivering capacity building activities to partner LSGUs. This includes experience sharing initiatives and a potential study tour to Sweden, ensuring alignment with the capacity building needs identified in the Transitional Plans. In September 2024, SEI participated in the second Sarajevo Energy and Climate Week, contributing to two panel discussions and hosting one side event. SEI also implemented an number of outreach and promotion activities aligned with their Communication and Engagement Strategy, focusing on partner local self-government units (LSGUs), but also working towards enhancing their visibility across Bosnia and Herzegovina. As to GESEP (Gender and Social Equity Perspective), during 2024 gesep activities were directly focused on gesep aspects of activities, firstly through consultations, secondly integrating in in discussions with experts and in key aspects of documents. SEI actively integrated GESEP into the organization of stakeholder workshops by providing clear guidelines on accommodating the needs of diverse groups. As a result, women accounted for over 40% of consultation participants, including representatives from civil society organizations and advocates for disability rights. In addition, SEI provided guidance during the preparation of the Transitional Plans, ensuring that GESEP responsive activities and key socioeconomic considerations including public participation were incorporated. The main conclusions from this work will be published in 2025 as a brief, offering practical recommendations for implementing specific measures.

Overall Programme Objective: To support the sustainable transition of partner local selfgovernment units (LSGUs) in Bosnia and Herzegovina. This will be achieved through: 1) Improved Environmental Governance: By enhancing capacities and resources in BiH for efficient and effective implementation of the environmental strategy and by 2) Effective Local Transition Measures: By creating and implementing effective local transition measures and policies, thus contributing to better living conditions for citizens in coal regions in BiH. Two Intermediate Outcomes: Improved environmental sustainability and resilience of partner LSGUs in BiH Implementation of systemic transition measures aligned with the Green Agenda, driving inclusive and sustainable local development Three Immediate Outcomes: Improved policy framework and financing for sustainable transition Enhanced skills and knowledge of local stakeholders utilizing Swedish expertise Raised awareness and acceptance for sustainability and just transition