The European Commission has published the first call for proposals under the Innovation Fund - Encouraging innovative projects in the field of clean technologies (to finance advanced technologies for renewable energy sources, energy-intensive industries, energy storage, carbon storage).

The program seeks to foster a green recovery by creating local jobs tailored to future needs, paving the way for climate neutrality and establishing Europe's leading position in the world when it comes to green technologies.

The purpose of the Innovation Fund is to give a real financial incentive to companies and public bodies to invest in a new generation of low-carbon technologies. Furthermore, EU companies should take advantage of their role and become world-leading technology companies.

The Innovation Fund will be managed by the Executive Agency for Innovation and Networks (INEA), and the European Investment Bank will provide assistance for the development of promising projects that are not yet fully ready for implementation.

More information at the link

The Innovation Fund focuses on:

Innovative low-carbon technologies and processes in energy-intensive industries, including products that replace those with carbon
Carbon collection and utilization (CCU)
Construction and operation of carbon capture and storage (CCS)
Innovative production of renewable energy sources
Energy storage
For the period 2020-2030, the Fund can amount to about 10 billion euros

What will be funded?

The Innovation Fund will focus on innovative technologies and large leading value-added projects in Europe that can lead to significant emission reductions. It is about sharing risks with project proponents to help demonstrate first-class innovative projects.

It aims to fund a diverse range of projects that will achieve an optimal balance of a wide range of innovative technologies in all eligible sectors (energy intensive industries, renewable energy sources, energy storage, CCS and CCU) and Member States.

At the same time, projects must be sufficiently mature in terms of planning, business model and financial and legal structure.

The fund will also support multiple projects on innovative low-carbon solutions leading to emission reductions in multiple sectors, for example through industrial symbiosis.

The fund is also open to smaller projects with a total capital cost below € 7.5 million that can benefit from simplified application and selection procedures.

Application process

Eligible countries: EU Member States, Norway and Iceland

The application process has two stages:

Expression of interest, with a first assessment of project effectiveness, innovation and maturity. Projects that meet only the first two criteria may qualify for project development assistance.
Full application, where projects are evaluated by all criteria, including scalability and cost-effectiveness.
For small projects, the application process will have only one stage.

Project promoters can apply by submitting their projects when there is a public call for project applications.

Projects can be submitted through the EU Funding and Tenders website.

For more information on the first call, see the link for large projects.

Calls for project proposals will be published regularly for the duration of the Innovation Fund.

Grants

The Innovation Fund will support up to 60% of the additional capital and operating costs associated with innovation.

Grants will be distributed in a flexible way based on the funding needs of the project, taking into account the milestones achieved during the project.

Up to 40% of the grant can be awarded on the basis of pre-defined steps before the entire project is fully prepared and launched.

The first call for proposals for major projects is open until October 29, 2020.