In a major step toward achieving climate neutrality, the European Commission has announced €2.9 billion in funding for 61 innovative net-zero technology projects across Europe. The funding, provided through the EU Innovation Fund and financed by revenues from the EU Emissions Trading System (EU ETS), aims to accelerate the development and deployment of cutting-edge decarbonisation technologies across multiple sectors.
Supporting Innovation Across Europe
The selected projects span 19 industrial sectors and 18 countries, representing Europe’s diverse approach to tackling climate change. They focus on key areas such as energy-intensive industries, renewable energy, energy storage, net-zero mobility and buildings, cleantech manufacturing, and industrial carbon management.
Together, these projects are expected to reduce 221 million tonnes of CO₂ equivalent over their first ten years of operation roughly equal to the annual emissions of 9.9 million cars. This initiative directly contributes to the EU’s goal of achieving climate neutrality by 2050.
Strengthening Europe’s Clean Technology Leadership
The funding follows the first call for net-zero technologies (IF24 Call) launched in December 2024, which received 359 applications requesting over €21.7 billion in support nine times the available budget. This strong response highlights both the maturity and the enthusiasm of Europe’s clean technology sector.
Each project was carefully evaluated by independent experts based on five key criteria: emission reduction potential, innovation level, project maturity, replicability, and cost efficiency. The successful projects will now enter a grant agreement preparation phase with the European Climate, Infrastructure and Environment Executive Agency (CINEA) to finalize budgets, technical deliverables, and legal frameworks.
With an estimated €40 billion in total funding from the EU ETS, the Innovation Fund continues to be a cornerstone of Europe’s Clean Industrial Deal. By supporting over 270 projects so far, the Fund is not only driving technological innovation but also reinforcing Europe’s leadership in the global green transition. The 2025 call reaffirms the EU’s commitment to investing in a sustainable, carbon-neutral future.
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Source: EUROPEAN COMMISSION
