European commission announced the investment of €10 billion in clean technology with aim to lead in the movement towards climate neutral market. Last year, the European Commission adopted the long-term vision of climate neutral economy by 2050 and this announcement within three months is aligned with the commitment.
The newly created ‘Innovation Fund’ would provide financial assistance to the biggest innovation potential and matured projects while working in synergy with InvestEU and other programs by European Union. EU climate action has benefits for range of technologies serving any of the areas which can provide healthy environment and prosperity to European population including but not limited to creating green jobs, reducing the energy bills, efficient and green & efficient public transport.
The fund is said to follow flexible cash flow approach with up to 40% of the grant disbursement availability even before the commercialization status of technology, given compliance with some predefined milestones. Overall, the Investment Fund can support up to 60% of the additional cost for technology in capital and operational costs.
The commission is said to aim at first call for proposals under innovation fund by 2020 with regular followed-up calls post that till 2030. The objective of the investment has been said to aim at innovation led green and clean energy solutions in every possible context. The investment is expected to bridge the commercialization gap of new technologies which can re-invent the energy intensive industries in the fields such as renewable energy, energy storage, carbon capture, and mobility.
The commission’s vision is not aimed to set the targets, but to provide the direction and enable the movement and commercialization of better technologies towards climate neutral economy. It wants to synchronize the efforts in the social, commercial and business world to enable growth in cleaner energy technologies. The commission via investment wants to ensure its frontrunner position in clean technologies.
– Ankur Kalra,
Manager – Chemicals & Materials,