The European Commission announced the allocation of €2.9 billion to 61 innovative zero-emission technology projects through the Innovation Fund.
The funds come from the revenue of the EU Emissions Trading System (EU ETS) and are part of the initiative to strengthen Europe's technological leadership and accelerate the implementation of decarbonisation solutions.
The selected projects cover 19 industrial sectors and 18 countries, with a focus on energy-intensive industries, renewable energy, energy storage, clean mobility, zero-emission buildings, as well as carbon management. The list of projects published does not mention any projects concerning Cyprus.
The projects concerning Greece are APOLLOCO2-LT, a CO₂ storage and liquefaction center in Southeast Europe, with the aim of exporting CO₂ to permanent storages, in order to strengthen the CCS (Carbon Capture and Storage) infrastructure in the region and to reduce the cost per ton of CO₂. The second project is called THERMOLYSIS and concerns the construction of an innovative treatment and recycling unit for used tires (ELTs) in Greece, with a material recovery rate of over 95%. The project will produce syngas for the plant's energy needs and promote the circular economy, reducing waste and CO₂ emissions.
France focuses on projects such as AirvaultGoCO₂ (carbon storage in cement plants), VAIA (cement CO₂ storage), DEZiR and ReSTart (sustainable aviation fuel production), as well as innovative projects such as GREENFIELD BIOGAZ (biogas from pulp waste) and WATTRAXIS (floating photovoltaics).
Italy is promoting projects such as DREAM (CO₂ storage in cement plants) and ReNova ChemPET (chemical recycling of plastics). Belgium is involved with projects such as ANTHEMIS (cement CO₂ storage), Leopard (limestone decarbonisation), and Alpha One (use of iron as fuel for industrial heat).
Spain is developing projects such as LUXIA (green hydrogen and ammonia) and COnet2 Sea (maritime CO₂ transport). Germany is focusing on projects such as the Absorption Heat Pump (waste heat recovery) and H2PEARL (electrolyte production).
Sweden is promoting BMS (innovative cellulosic materials) and VB1F (wooden wind turbine blades), while Norway is promoting VIPER (wood pyrolysis for industrial use) and RjukanLH2 (liquid hydrogen supply chain). Denmark participates with ENDOR (green aviation fuel) and RECLAIM (green methanol), while the Netherlands with eSeaRiverBarge (zero emissions shipping) and MCC2Hub (CO₂ storage from ships).
Poland promotes WasteLessDHS (heat recovery from data centers) and HuCCSar (CO₂ storage). Portugal participates with NEXTGEN CAM (battery production), while Estonia with PP2XH (green methanol). Lithuania is developing MECACLAY (green cement), and the Czech Republic is developing H2CWAY (hydrogen buses).
According to the Commission, the 61 projects are expected to reduce greenhouse gas emissions by 221 million tonnes of CO₂ equivalent within their first decade of operation, an amount comparable to the annual emissions of 9.9 million average European cars.
This initiative is aligned with the EU's goal of climate neutrality by 2050 and reinforces the implementation of the Clean Industrial Deal, which aims to move towards a greener and more competitive European industry.
Those responsible for the selected projects have already been invited to start the process of preparing the funding contracts with the European Climate, Infrastructure and Environment Executive (CINEA). The contracts are expected to be completed and signed within the first half of 2026.
The Innovation Fund, with an estimated revenue of €40 billion from the EU ETS, aims to attract investment in pioneering, low-carbon technologies. The recent call for zero-emission technology projects (IF24 Call) received 359 applications, with a total requested amount of €21.7 billion, nine times the available budget of €2.4 billion. This response highlights the maturity of the European zero-emission technology sector and the determination to decarbonize.
To date, the Innovation Fund's portfolio includes over 270 projects, with €15.6 billion in committed funds. Projects are selected based on criteria such as potential to reduce emissions, degree of innovation, project maturity, replicability and cost-effectiveness.
The Commission is preparing the next series of calls for the Innovation Fund, which are expected to be announced at the beginning of December 2025. At the same time, by the end of 2025, contracts for electric vehicle battery production projects and for the second auction of renewable hydrogen through the European Hydrogen Bank are expected to be signed.
