The Innovation Fund is the largest fund in the world for the demonstration of innovative low-carbon technologies and so-called ‘flagship projects’ for significant emission reductions at the European level. Projects must relate to energy-intensive industries. The ultimate goal of the European fund is to achieve the EU objectives of the Paris Climate Convention and to provide financial incentives towards a climate-neutral Europe in 2050.
The focus of the Innovation Fund is on the demonstration of new technologies, stimulating economic growth and competition and spreading innovation across all EU Member States. In addition, it stimulates projects that cross multiple sectors.
The first call of the Innovation Fund has now been published. It concerns large-scale projects that are close to market. Possible project topics include clean hydrogen and other low-carbon alternatives, as well as energy and carbon storage.
- Private parties in the EU, Iceland, and Norway
- At least 1 entity; consortia are also allowed
- International consortia are obligatory
Projects must fall within the following sectors:
- Innovative ‘low-carbon’ technologies and processes
- Carbon Capture and Utilisation (CCU)
- Carbon Capture and Storage (CCS)
- Innovative production of renewable energy
- Energy storage
- Potential for avoiding greenhouse gas emissions
- Innovative potential
- Financial and technical maturity
- Scaling-up potential
- Cost efficiency
- Grant rate: Maximum 60% of additional capital requirement and operating costs
- Total budget: €1 billion
- Minimal grant per project comprises €7,5 million
- For promising projects that are not ready to go to market, a separate budget of €8 million is available to support project development
Applications can be submitted in two terms, adhering to the following deadlines:
- Round 1: 7 July – 29 October 2020
- Round 2: until 23 June 2021
The purpose of this summary is to provide a quick insight into the purpose, design and conditions of the grant programme (as known on: 7-7-2020). No conclusions can be drawn on this basis and no rights can be derived from it.