Transition to Sustainability: Next Steps to Support European SMEs’ Journey

Micro and small enterprises (MSEs) represent a significant proportion of EU businesses, micro enterprises alone accounted for 93.6 percent of all European enterprises in 2023, employing nearly half of the enterprise workforce. Despite their size, MSEs are responsible for a considerable proportion of environmental impact. According to OECD data, they contribute to 40 percent of greenhouse gas emissions in general, and half of industrial pollution. While a growing number of MSEs are committed to improving sustainability, only 42 percent are implementing at least five resource efficiency measures, such as saving energy and minimizing waste. 

This paper focuses on the role of MSEs in the EU’s environmental transition. It considers the obstacles they face and possible solutions to ensure a sustainable and prosperous transition. It highlights the importance of a tailored support tool, such as a one-stop-shop platform, to provide MSEs with the necessary resources and facilitate their transition to a more sustainable model.