The Innovation Fund (InnovFund)
Overview Summary
The EU Innovation Fund (InnovFund) is one of the world’s largest funding programs for innovative low‑carbon and net‑zero technologies, financed by auctioning EU Emission Trading System (EU ETS) allowances (~€40 billion 2020–2030). It supports the deployment and demonstration of technologies that reduce greenhouse gas (GHG) emissions and accelerate EU industrial decarbonisation.
Scope of Coverage
The InnovFund spans innovative low‑carbon and net‑zero technologies across:
– Energy‑intensive industries
– Renewable energy generation
– Energy storage
– Carbon capture, utilisation and storage (CCUS)
It also includes solutions for net‑zero mobility and buildings, as well as other technologies that replace carbon‑intensive industrial processes.
Affected Entities
The InnovFund applies to:
– Large companies
– SMEs
– Technology developers
– Industrial operators
– Renewable energy developers
– CCUS project developers
– Storage providers
– Consortia seeking CAPEX/OPEX support for innovative decarbonisation projects.
Applicability & Compliance Timeline
The InnovFund is operational between 2020–2030, with regular calls for proposals (large‑scale and small‑scale) and competitive bidding rounds.
*Projects must be located in the EU/EEA.
What This Means for Companies
Companies must demonstrate innovation level, technical maturity and cost‑effectiveness. In addition, GHG‑reduction impact is mandatory, and robust data on emissions reductions and scalability are required. MCS can support companies in preparing evidence, developing MRV‑ready data, strengthening applications and aligning proposals with InnovFund evaluation criteria.
Status
Active
- Multiple calls open through 2030.
Key Links
EU Innovation Fund (European Commission): https://climate.ec.europa.eu/eu-action/eu-funding-climate-action/innovation-fund_en
Funding & Tenders Portal – Innovation Fund: https://ec.europa.eu/info/funding-tenders/opportunities/portal/screen/programmes/innovfund