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As anticipated, the 2024 calls for the European Innovation Fund have been launched last december. This is the EU instrument that supports and promotes the demonstration of innovative low-carbon technologies by funding projects aimed at the commercial deployment of such technologies, with the goal of bringing industrial solutions to market to decarbonize Europe and support its transition to climate neutrality.

There are two calls: the general call (IF24 call) and the call related to batteries for electric vehicles (IF24 Battery call). Proposals can be submitted for both until April 24, 2025.

IF24 Call The IF24 call, like last year’s, includes 5 topics, each funding a specific category of projects:

• Topic 1: General Decarbonization – Large-Scale Projects (LSP) (ID: INNOVFUND-2024-NZT-GENERAL-LSP)
• Topic 2: General Decarbonization – Medium-Scale Projects (MSP) (ID: INNOVFUND-2024-NZT-GENERAL-MSP)
• Topic 3: General Decarbonization – Small-Scale Projects (SSP) (ID: INNOVFUND-2024-NZT-GENERAL-SSP)

The first three categories of projects differ only in the size of the projects and fund activities aimed at supporting and promoting innovative low-carbon technologies and processes to significantly mitigate climate change in sectors listed in EU ETS Directive 2003/87/CE, promoting sustainable development and technological leadership in Europe.

Specifically, projects must address the following themes:

• Supporting innovation in low-carbon technologies and processes in sectors listed in Annex I and Annex III of EU ETS Directive 2003/872.
• Supporting the development and operation of projects for CO2 capture and geological storage (CCS) in an environmentally safe manner.
• Supporting the construction and operation of innovative renewable energy technologies and energy storage systems.
• Topic 4: Clean Technology Production (ID: INNOVFUND-2024-NZT-CLEAN-TECH-MANUFACTURING)

This topic supports the construction and operation of manufacturing plants for the production of specific components for:

• Renewable energy: manufacturing plants for photovoltaic components, concentrated solar power, onshore and offshore wind energy, ocean energy, geothermal energy, solar thermal, and other renewable energy systems, including their connection to the electrical/thermal grid.
• Electrolyzers and fuel cells: manufacturing electrolyzers and fuel cells for hydrogen production and consumption.
• Energy storage solutions: manufacturing batteries (excluding battery cell production for use in electric vehicles, even as part of integrated projects) and other storage solutions for stationary and mobile use, covering both daily and long-duration storage.
• Heat pumps: development and production of heat pumps.

• Topic 5: Pilot Projects (ID: INNOVFUND-2024-NZT-PILOTS)

This topic supports highly innovative, disruptive technologies for deep decarbonization, necessary to achieve the goal of climate neutrality.

Fundable activities: construction and operation of pilot projects focused on the validation, testing, and optimization of deep decarbonization solutions across all sectors eligible for Innovation Fund support.

For all five topics, eligible applicants include legal entities classified as private or public entities established in any country worldwide.

Projects must last at least 5 years for topics 1, 2, and 4, and at least 3 years for topics 3 and 5. They must be implemented in the EU, Norway, Iceland, Liechtenstein, or Northern Ireland, provided the project involves the generation, transmission, distribution, or supply of electricity.

The contribution can cover up to 60% of the relevant project costs.

Only projects with capital expenditures in the following ranges are eligible:

• Large-scale projects: capital expenditures above €100 million.
• Medium-scale projects: capital expenditures between €20 million and €100 million.
• Small-scale projects: capital expenditures between €2.5 million and €20 million.
• Clean technology production and pilot projects: capital expenditures above €2.5 million.

Projects that are not funded during the evaluation phase (including those on the reserve list) or those rejected but having met the minimum thresholds for the criteria “Quality of avoided greenhouse gas emissions calculation and minimum requirements” and “Innovation level” may benefit from project development assistance (PDA) through the European Investment Bank (EIB).

The total budget for the IF24 call is €2.4 billion, allocated as follows:

• Large-scale projects: €1.2 billion
• Medium-scale projects: €200 million
• Small-scale projects: €100 million
• Clean technology production: €700 million
• Pilot projects: €200 million

These funds can be complemented by national funds.

IF24 Battery Call The IF24 Battery call supports projects related to the production of battery cells for electric vehicles to improve Europe’s industrial capacity and leadership in this zero-emission technology. The goal is to ensure that the EU/EEA’s battery production capacity is ready to meet the growing demand for electric vehicles, in line with mandatory CO2 emission performance standards for light and heavy vehicles.

The available budget is €1 billion.

Eligible applicants include legal entities classified as private or public entities established in any country worldwide. Projects must be implemented in the EU, Norway, Iceland, or Liechtenstein.

The contribution can cover up to 60% of the relevant project costs.

Only projects with capital expenditures above €2.5 million are eligible.

Official documents are available here

Written by: Margherita Genua