In public discourse, climate change is often only viewed from an ecological and economic perspective and financially disadvantaged people are rarely included in projects at local level. However, the social dimension is an important requirement for effective climate protection. In the TRANSCITY project, socio-spatial inclusion is to be used as a lever to promote climate protection at municipal level.

As an instrument, a cross-neighborhood emissions trading scheme between two neighborhoods in the city of Essen is to be designed. These participating neighborhoods represent very different socio-spatial structures and milieus. The socio-political paradox here is that the economically worse-off neighborhood usually has a smaller ecological footprint than the better-off one. Among other things, this may be due to the greater mobility and increased consumption of affluent households. At the same time, residents from financially weaker neighborhoods generally have little opportunity to implement climate protection measures from their own resources. In the case of cross-neighborhood emissions trading, the socio-economically worse-off neighborhood will have an economic advantage due to its positive climate balance and will have more certificates than it grades. The reverse is true for neighborhoods that are socio-economically better off in the urban structure. Here, investments in the built environment will initially have to be made on a larger scale or climate-damaging behavior will have to be changed in order to improve the climate balance or compensate for the shortfall in certificates. The certificates are traded in an emissions exchange on the basis of selected indicators. The financially disadvantaged district can sell certificates to the richer district, which then makes compensation payments to the emissions exchange, with the proceeds being reinvested in social and ecological infrastructure in both districts. At the same time, both neighborhoods can exchange their certificates with the municipality and/or private sponsors for such investments.

This innovative approach of a Social Urban Emissions Trading System (SUETS) is intended to support the city of Essen in achieving its climate targets. In addition to the obvious goal of reducing greenhouse gas emissions, TRANSCITY is particularly concerned with raising socio-ecological awareness and transferring it into a practical experience of inner-city cooperation through a multilateral approach. Based on the newly flourishing exchange between two very different milieus, the aim is to open up the boundaries of the districts in the spirit of an open city and sensitize residents to social imbalances in connection with climate protection measures. Financially disadvantaged population groups, which are otherwise often excluded from climate protection projects, benefit from emissions trading and are highlighted as initiators of the transformative city, because they are already pursuing a more resource-efficient lifestyle out of a mode of necessity.

During the term of the transfer project, quantitative and qualitative surveys will initially be carried out and the participation process will be stimulated by means of social space analyses and a real-world laboratory approach in Essen. The Wuppertal Institute is in charge of evaluating the technical implementation process of certificate trading and provides the necessary data basis, while the Hochschule RheinMain is in charge of evaluating the participation process in the neighborhoods. The local empowerment processes are organized by the municipalities and their intermediary partners such as the neighbourhood management. In 18 months, this will create the basics for cross-neighborhood emissions trading, which will be tested as a result of the transfer project. With the city of Essen in the pioneering role, other cities are also to be motivated to join the project and thus spread the innovative TRANSCITY approach nationwide.