The European Commission has selected 77 net-zero technology projects for €3.4 billion in funding, backing a broad push to cut industrial emissions, strengthen clean-tech manufacturing and reduce Europe’s dependence on external energy and technology supply chains.
The projects, spread across 23 countries in the European Economic Area, were chosen under the EU’s Innovation Fund, which channels revenues from the European Union Emissions Trading System (EU ETS) into emerging decarbonisation technologies.
The Commission estimates the projects could prevent around 290 million tonnes of greenhouse gas emissions during their first decade of operation — equivalent to roughly one tonne of CO₂ avoided every second for 10 years.
The selected portfolio spans energy-intensive industries, renewable power, energy storage, clean-tech manufacturing, low-carbon transport, critical raw materials processing and recycling, alternative fuels, and industrial carbon management.
For the first time, the funding round includes a small modular nuclear reactor project and a direct air carbon capture and storage (DACCS) project, signalling a wider range of technologies in the EU’s net-zero investment drive.
Six projects focused on critical raw materials have also been selected, supporting efforts to strengthen supply chains for clean technologies, including rare-earth permanent magnets and batteries.
“These projects show that Europe’s innovators are turning climate ambition into industrial leadership. By reinvesting revenues from the EU Emissions Trading System into pioneering clean technologies, the Innovation Fund is helping companies get to market, cut emissions, and strengthen Europe’s competitiveness.
"This is how the EU delivers on its climate goals while supporting jobs, investment and a resilient, net-zero economy," said Wopke Hoekstra, Commissioner for Climate, Net Zero and Clean Growth.
Demand for support far exceeded the available budget. The call attracted 358 applications seeking a total of €17.5 billion in grants, against an available budget of €2.9 billion.
The 77 successful projects cover five funding categories, ranging from large industrial decarbonisation schemes to smaller-scale initiatives and pilot technologies.
Large-scale projects account for 12 selections, with around €1.58 billion requested. The proposals cover advanced low-carbon fuels, industrial carbon management, chemicals, iron and steel, aviation, and a strategic project involving critical raw materials.
A further 17 medium-scale projects sought around €458 million for initiatives spanning chemicals, refineries, maritime transport, energy storage, glass, ceramics, construction materials, cement, lime, bioenergy, steel and hydrogen.
The small-scale category includes 20 projects seeking around €124 million. Their focus ranges from critical raw materials recycling and ocean energy to buildings, pulp and paper, hydrogen, alternative fuels and electricity.
Clean-tech manufacturing accounts for 12 projects requesting almost €895 million. These initiatives include manufacturing components for heat pumps, solar panels, electrolysers and electric-vehicle batteries, as well as a facility producing rare-earth magnets.
The remaining 16 projects fall under the pilot category, with around €394 million requested. They cover aviation, wind and ocean energy, maritime technologies, nuclear energy, direct air carbon capture and storage, hydrogen, chemicals and refineries.
The Commission said all five categories were oversubscribed, indicating strong industry demand for funding to develop and deploy clean technologies in Europe.
