Recently, there have been opinions in the media that in Estonia the money from the EU's Just Transition Fund, which is meant to help Ida-Viru County reduce its dependency on oil shale, is being scattered across random, unrelated projects. One specific project often cited as an example of this is the development of an axe-throwing center.

The project received support from the Just Transition Fund under a measure called "Support for Regional Initiatives for a Just Transition." The purpose of this measure, as defined in its implementation regulation, is "to improve the cohesion and resilience of the population of Ida-Viru County in the context of the transition to a climate-neutral economy by offering county residents the opportunity to participate in the transition process through grass-route civic initiatives and to improve their local living environment."

In simpler terms, this measure aims to give the transition process – which is complex and painful for many – a "human dimension." It seeks to provide people with the opportunity to participate in the transition "hands-on", rather than just being passive bystanders.

The measure supports activities aimed at developing social entrepreneurship, promoting environmental awareness and supporting local youth and volunteer initiatives. Each project is assessed based on its contribution to the transition process and its ability to mitigate related impacts. Every evaluation committee includes at least one local expert who can assess the project's relevance for the local community.

Now, if we look at the application submitted by the team behind the axe-throwing center, we see the following: the center is being developed by a local nonprofit organization, which for years has organized axe-throwing training sessions and championships in an indoor hall near the Von Rosen Spa manor hotel in Mäetaguse. Participants include enthusiasts from across the Nordic countries, as well as local residents and visitors to the county.

Axe-throwing itself originated in Canada, where Nordic lumberjacks discovered the sport as a way to pass the time and alleviate homesickness. It has since grown into an increasingly popular activity worldwide, serving both as entertainment and sport, with global competitions held under specific rules.

The nonprofit organization, NGO Estonian Axe-Throwers, applied for support for two specific activities: establishing a safe outdoor training area at the existing center and insulating the ceiling of the building they are using. According to the application, project activities aim to promote physical activity, encourage social gatherings and diversify recreational opportunities in Ida-Viru County.

Notably, this project aligns well with Ida-Viru County's official tourism brand, "Adventure Land" (and if axe-throwing isn't adventurous, what is?). Moreover, the development of the center indirectly enhances the appeal of the nearby spa, creating additional visitor traffic that boosts the local economy. It is a well-known fact that every euro invested by the public sector into cultural events generates an average of four euros of return for the hosting region. The development of the tourism sector is also one of the ways to move away from an economy based on oil shale.

Thus, the project undoubtedly supports the transition. The evaluation committee awarded it a solid score of 3.6 out of 4. The total support granted amounts to €61,084.

"Man does not live by bread alone..."

When talking about the Just Transition Fund, we usually emphasize job creation, and rightly so. In Ida-Viru County about 5,000 people currently work in the oil shale sector. Therefore, the biggest challenge in transitioning to a new economic model is undoubtedly maintaining jobs in the region. This is why the majority of the fund's resources – four-fifths – are directed toward supporting enterprises, the business environment in general and improving the skills of the local workforce.

What is discussed less is that the oil shale sector is not just about jobs; it's also part of the local identity. Decades of focus on the industrial sector have impacted the entrepreneurial spirit of the people of Ida-Viru, which is one of the weakest in Estonia, and has alienated the region's youth. Adult participation in education is among the lowest in Estonia, and career aspirations are still mostly tied to the hope that someone will provide jobs, rather than creating jobs themselves.

Therefore, anything that helps to increase local engagement, entrepreneurship and a sense of belonging during the transition process – at any level – is extremely important. Supporting investments of SMEs accomplishes this goal, as does creating additional training and career opportunities. Creating new recreational opportunities and developing civil society in the area does too.

Things must be balanced, though, and they are. The budget allocated to supporting regional initiatives makes up less than 5 percent of the fund's total volume. Meanwhile, 80 percent of the resources are directed toward businesses and the labor market. When we consider the fund's money together with the private sector's contribution, the total investment amounts to over half a billion euros. That is not insignificant.

Much has already been said about the Just Transition Fund being "seed money" for Ida-Viru's sustainable development in many areas, and I can confirm that this is indeed the case. On Ida-Viru County's journey to becoming a climate-friendly region, no local contribution is too small.

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