The European Commission announced on 19 October the selection of 77 net-zero technology projects eligible to receive a total of €3.4 billion in funding through the EU Innovation Fund. The initiatives, located across 23 countries in the European Economic Area, include renewable energy, energy storage, clean technology manufacturing and industrial decarbonization projects.

The projects were selected under the Innovation Fund's net-zero technologies call, launched in December 2025. The programme is financed through revenues generated by the EU Emissions Trading System (EU ETS), which allocates part of these resources to supporting innovative technologies capable of reducing greenhouse gas emissions.

According to the Commission's estimates, the 77 initiatives could avoid approximately 290 million tonnes of CO? equivalent during their first ten years of operation, contributing to Europe's climate neutrality objectives and the development of new industrial capabilities.

Nearly €900 million for clean technology manufacturing

One of the main components of the selection focuses on clean technology manufacturing, with 12 projects eligible for approximately €895 million in funding.

These initiatives include facilities producing components and equipment for solar photovoltaics, batteries, heat pumps, electrolyzers and other technologies considered strategic for the energy transition.

Among the selected projects is SOLAR4EU in France, focused on photovoltaic manufacturing, alongside PowerCo Spain, aimed at producing batteries for electric vehicles in Spain. The list also includes battery manufacturing projects in Poland and Hungary, hydrogen production equipment in Italy and Belgium, and electrical components in Croatia and Norway.

The Commission considers that developing these industrial capabilities could help strengthen European competitiveness and reduce technological dependencies in strategic sectors.

Renewables, energy storage and industrial decarbonization

The selection includes projects of different sizes and stages of development, grouped into five funding categories.

The 12 large-scale projects account for approximately €1.58 billion, while another 17 medium-scale projects are eligible for around €458 million. These are complemented by 20 small-scale initiatives, representing approximately €124 million, the 12 clean technology manufacturing projects and 16 pilot projects, accounting for nearly €394 million.

In the energy sector, the list includes proposals related to electricity storage, wind energy, ocean energy technologies, hydrogen and electrification.

Among the projects identified by the Commission are AEGEANFLOAT, related to floating offshore wind technology in Greece; Talos, focused on energy storage and microgrids, also in Greece; and ALP-STORE, a pumped hydropower storage initiative in France.

The call also supports projects aimed at reducing emissions from energy-intensive industries, including steel, cement, chemicals and refining, as well as initiatives involving alternative fuels, critical raw materials recycling and industrial carbon management.

For the first time, the selection also includes projects involving small modular nuclear reactors and direct air carbon capture technologies.

Grant agreements to be prepared through 2027

The selection announced by Brussels represents a preliminary stage before funding agreements are finalized. Project developers must complete the grant agreement preparation process with the European Climate, Infrastructure and Environment Executive Agency (CINEA).

The Commission expects to announce the outcome of this process during the first quarter of 2027. Therefore, being included on the selected project list does not yet mean that a funding agreement has been signed or that the project has entered operation.

The call attracted 358 applications requesting €17.5 billion, significantly exceeding the initial available budget. In addition to the 77 selected projects, another 84 proposals passed the evaluation process but did not receive funding in this round due to budgetary constraints.

The European Commission plans to launch a new Innovation Fund call in December 2026, including a dedicated €1 billion funding window for clean technology manufacturing.

Through this new selection, the European Union aims to accelerate the development of decarbonization technologies and expand the industrial capacity needed to advance the energy transition. However, the realization of these investments will depend on the formalization of funding agreements and the subsequent implementation of each project.