Dirk Vansintjan, president of Rescoop.eu, Eusew’s digital ambassador. ACCE Project Coordinator Sara Tachelett. Chris Vrettos of Policy Advisor Finance discusses how Coalered EU financial tools and policy reforms can lock the untapped possibilities of citizen-driven energy communities.
The transition to a clean energy system in Europe requires unprecedented investment, but today’s funding tools are unable to fully unlock the potential of citizen-led energy initiatives. The energy community can mobilize billions of euros in renewable energy investments, but the possibilities remain undeveloped due to complex state aid rules, inaccessible financing mechanisms and burdensome regulations.
Given the broader policy environment of clean industrial contracts and the ongoing negotiations on a financial framework that has been once every few years, how can Europe close this gap and ensure fair access to finance for the energy community?
Funding for the Future: The Role of Citizens’ Investment
Europe needs significant investments in renewable energy, energy efficiency and grids to achieve its decarbonization goals.
The European Commission estimates a yearly shortfall of 400 million euros by 2030. The Affordable Action Plan acknowledges the possibility of the energy community in stabilizing and reducing energy prices, while the Clean Industrial Trading (CID) ignores the possibility of investment mobilisation.
Research shows that citizens can contribute wind energy by 2030 by 176 billion euros alone. These citizen investments will boost the local economy to democratize the energy system and stabilize prices. All euros invested in civic energy projects produce between 2 and 8 euros locally.
In contrast, up to 75% of the profits from investments in energy projects by large energy companies are distributed as shareholder dividends, limiting regional impact.
Interestingly, the energy community is increasingly investing in industrial-scale projects such as offshore winds and large-scale district heating, demonstrating its ability to contribute to European re-major goals. However, without customized financial support, their expansion remains constrained.
Destruction of barriers: gaps between state aid regulations and public funding
The energy community faces financial and regulatory barriers, particularly restrictive national aid regulations and lack of investment mechanisms tailored to their needs.
While many member states are unable to effectively use EU funds to support the energy community, commercial banks often hesitate to lend, neglecting the social and economic benefits these communities bring.
To close this gap, the National Federation of Energy Communities in countries such as the Netherlands, France and Spain have created a Community Energy Finance Scheme (CEF), designed to support and fund energy community projects.
These schemes effectively pool investments from citizens, public institutions and private investors. Experiences from the Netherlands and France show their influence. Any euro of public funds in the early stages can attract up to 60 euros to private investment for the implementation of the project.
The revised EU Aid Guidelines improve conditions for the renewable energy community, but the framework remains difficult to navigate. Member States need clearer guidance on the design of support schemes accessible to the energy community.
Furthermore, management and regulatory hurdles such as grid connection fees and complex licensing processes continue to reduce community-driven projects.
Call for Action: Targeted Financial Support for the Energy Community
The EU must support the creation of dedicated financial products tailored to their needs in order to completely unlock the possibilities of the energy community. This includes:
EU guaranteed facilities similar to Investeu’s small business window. Simplified national aid procedures for the energy community. A stable funding mechanism for the energy community in the financial framework over the next few years. Technical assistance from member states to enable the energy community to access the Social Environment Fund and merely access the Transition Fund. Support from the National Federation in scaling fundraising models like CEFS also helps advance and professional advancements in community-driven energy projects across Europe.
Unlocking community possibilities in the energy transition
The EU’s energy transition cannot be kept close to large corporations and institutional investors. The energy community is driving the transition to renewable energy, allowing citizens to access affordable local production and invest in industrial-scale projects such as offshore wind and district heating.
However, you need the right financial and policy tools to help scale up. By improving these tools, policymakers can enable the energy community to be the basis for Europe’s clean energy future.
This commentary was compiled in collaboration with Europe’s Sustainable Energy Week (EUSEW) 2025. See ec.europa.eu/eusew.
Recommended link:
EU action plans for the Affordable Energy Energy Community Finance Tracker Life ACCE Project
About the author
Dirk Vansintjan holds a Masters degree in Germanic Language and is one of the founding members of Ecopower, a Belgian Civic Energy Cooperative with over 60,000 members. He has been working in the renewable energy sector since 1985 and is still driving the energy transition that leads to energy democracy. Vansintjan is the president of Rescoop.EU, the European Federation of Energy Communities. He is a community energy expert and is well versed in European projects.
Sara Tachelet holds a Master’s degree in Communications Science and is part of the European Federation of Energy Communities Coordination Team at Rescoop.EU. In her role, she oversees the organization’s day-to-day management and coordinates EU-funded ACCE projects (access to capital for community energy).
Chris Vrettos works for Rescoop.EU, the European Energy Community Federation, and Electra Energy (Greece). Both organizations promote active citizen engagement in Europe’s renewable energy production. He has worked on multiple research programs as an assistant on topics such as EU Green trading and DeGrowth. He is interested in international climate politics and journalism and has attended several UNFCCC police officers.
Disclaimer: This article is a contribution from a partner. Unauthorized reproduction is prohibited.
Neither the European Commission nor is it liable for any use that may be made from the information in the article by anyone acting on the Commission. The only opinion expressed is the author and should not be considered representative of the official position of the European Commission.
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