INNOVFUND - For innovative low-carbon technologies
The Innovation Fund is one of the world’s largest funding programmes for the demonstration of innovative low-carbon technologies.
It is a key funding instrument for delivering the EU’s economy-wide commitments under the Paris Agreement and its objective to become climate-neutral by 2050.The Fund will be financed by revenues from the auctioning of allowances under the EU Emissions Trading System and may amount to about €10 billion, depending on the carbon price.
The Innovation Fund focuses on:
- Innovative low-carbon technologies and processes in energy-intensive industries, including products substituting carbon intensive ones
- Carbon capture and utilisation (CCU)
- Construction and operation of carbon capture and storage (CCS)
- Innovative renewable energy generation
- Energy storage
The Innovation Fund will:
- help create the right financial incentives for projects to invest now in the next generation of technologies needed for the EU’s low-carbon transition
- boost growth and competitiveness by empowering EU companies with a first-mover advantage to become global technology leaders
- support innovative low-carbon technologies in all Member States in taking off and reaching the market.
What InnovFund is financing?
- Large-scale’ are projects with a capital expenditure above EUR 7.5 million.
- ‘Small-scale’ are projects with total capital costs below EUR 7.5 million.
Read the list of financed projects
Commission is launching a Competitive Bidding Program
The European Commission's Innovation Fund is set to launch a competitive bidding program to fund low-carbon energy technologies. The new financial instrument is in line with the Innovation Fund's objectives of supporting innovative low-carbon technologies that are held back by the lower costs of incumbent fossil-based technologies and high-risk perception by financial markets. The scheme aims to achieve cost-efficiency in awarding support and minimize public costs while maximizing the leverage of private capital. Read more....