The European Commission has announced a landmark €2.9 billion funding package to support 61 pioneering net-zero technology projects across the continent.
The grant, awarded under the Innovation Fund, aims to fast-track Europe’s transition to climate neutrality and strengthen its leadership in clean technology innovation.
This funding round follows the first net-zero technology call (IF24 call) launched in December 2024. This funding round builds on the EU’s commitment to reduce greenhouse gas emissions and support industries in transitioning to low-carbon solutions.
The Innovation Fund leverages revenues from the EU Emissions Trading System (EU ETS) and is expected to generate around €40 billion in climate-related investments.
Commenting on the investment, Wopke Hoekstra, Secretary for Climate Change, Net Zero and Clean Growth, said:
“The response to this call demonstrates the strength of our innovators and our determination to lead the global race for net-zero technology.
“By investing in homegrown solutions, we are building energy resilience, creating quality jobs and ensuring Europe remains competitive in tomorrow’s economy.”
A diverse portfolio that promotes decarbonization
The 61 projects selected represent a wide range of industrial innovations.
Spanning 19 sectors in 18 European countries, the association focuses on energy-intensive industries, renewable energy generation, energy storage, clean mobility, green buildings, cleantech manufacturing and industrial carbon management.
Together, these projects are expected to save 221 million tonnes of CO₂ equivalent in the first 10 years of operation, the equivalent of removing nearly 10 million cars from European roads each year.
This tangible reduction will play a key role in helping the EU reach its 2050 climate neutrality target.
Fierce competition highlights Europe’s environmental ambitions
Interest in the IF24 call was overwhelming. The European Commission received 359 applications seeking funding totaling €21.7 billion, more than nine times the available budget.
This strong response highlights both the maturity of Europe’s net-zero technology sector and the private sector’s commitment to achieving the goals set out in the Clean Industries Pact.
After a rigorous assessment by independent experts, projects were selected based on their potential for emissions reduction, level of innovation, scalability, cost efficiency and technical readiness.
With these new additions, the Innovation Fund’s portfolio now exceeds 270 projects, representing a total commitment of €15.6 billion since its inception.
Considering future calls
The 61 successful applicants were invited to start the preliminary stages of a grant agreement with the European Climate, Infrastructure and Environmental Enforcement Agency (CINEA).
This stage will finalize the contract, technical deliverables and funding schedule, with the agreement expected to be confirmed in the first half of 2026.
Looking ahead, the European Commission will open its next Innovation Fund call in December 2025, signaling continued investment in cutting-edge solutions that can drive Europe towards a sustainable, competitive and climate-neutral economy.
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