The European Commission (EC) has unveiled plans to mobilise more than €100bn to support EU-made clean manufacturing as part of its Clean Industrial Deal (CID) which aims to accelerate decarbonisation.
The deal secures the future of manufacturing in Europe and positions decarbonisation as a powerful driver of growth for European industries.
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The amount includes a further €1bn in guarantees under the current Multiannual Financial Framework.
The deal aims to assist industries facing high costs and global competition challenges.
European Commission president Ursula von der Leyen stated: “Europe is not only a continent of industrial innovation, but also a continent of industrial production. However, the demand for clean products has slowed down, and some investments have moved to other regions.
“We know that too many obstacles still stand in the way of our European companies, from high energy prices to excessive regulatory burden. The Clean Industrial Deal is to cut the ties that still hold our companies back and make a clear business case for Europe.”
The commission will adopt a new Clean Industrial Deal state aid framework to facilitate a simplified and quicker approval of state aid measures.
The framework will support the roll-out of renewable energy and industrial decarbonisation, and ensure sufficient manufacturing capacity for clean tech.
The European Investment Bank (EIB) Group will introduce new financing instruments to support the Clean Industrial Deal.
These initiatives consist of a grid manufacturing package for producers of grid components and a joint European Commission-EIB pilot programme for power purchase agreements (PPAs) targeting small and medium-sized companies and energy-intensive industries.
A CleanTech guarantee facility will be launched under the Tech EU programme, backed by InvestEU.
The commission has also adopted an Action Plan on Affordable Energy to reduce energy bills for industries, businesses, and households.
The plan aims to speed up the deployment of clean energy, encourage electrification and complete Europe’s internal energy market through physical interconnections.
It also seeks to enhance energy efficiency, reducing reliance on imported fossil fuels.
