Innovation Fund small-scale call: €100 million for innovative clean and renewable energy projects

The Innovation Fund – Small-scale projects call for proposals has been published, aimed at funding innovative projects that involve the deployment of enabling technologies necessary for achieving climate neutrality and the green transition, which are among the EU's primary objectives. Specifically, the call seeks breakthrough technologies in the following areas:

renewable energy;
energy-intensive industries, including substitute products;
energy storage, including component manufacturing facilities;
carbon capture, use and storage.

In particular, three key activities are encouraged:

products that substitute carbon-intensive ones,
innovations for net carbon removal,
Direct Air Capture (DAC) technologies for capturing carbon dioxide from the air.

The total budget for this call is €100 million. Eligible projects must have a capital expenditure between €2.5 million and €7.5 million and propose innovative yet mature technologies that are ready for market entry (such as supplying installations to a client in a new market segment). Funded projects will receive grants covering 60% of the capital investments made. Up to 40% of the grant will be disbursed as a lump sum by the financial close stage; the remaining amount, up to 60% of the total, will also be granted as a lump sum over the 3-year mandatory monitoring and reporting period, contingent upon the verification of the level of emission reductions achieved. Funded projects may have a maximum duration of 10 years.

Proposals will be evaluated based on the following criteria:

degree of innovation;
project maturity and potential for greenhouse gas emission reduction;
scalability and cost-efficiency

Up to 20 submitted projects that do not receive a grant but still meet the minimum requirements set by the call may access support from European Investment Bank (EIB) experts for project development (Project Development Assistance – PDA).

Project proposals will soon be submittable via the dedicated online portal. The deadline for the call is 10 March 2021 at 17:00 CET.

The full text of the call can be downloaded at the bottom of this news item.

For further information on the call and to submit your proposal via the online portal, click here.