EU’s Innovation Fund
Funding for
innovative net-zero technologies for climate neutrality
Grant amount
EUR 2.5-100+ million
Deadline
24 April 2025
Answer
Q4 2025
What is the Innovation Fund?
The EU Innovation Fund is one of the world’s largest programmes for climate innovation, with up to €40 billionavailable between 2020 and 2030. It supports the commercial demonstration of breakthrough technologies that help decarbonise Europe’s industry, energy, and transport sectors — while boosting European competitiveness and clean tech leadership.
Grants can cover up to 60% of a project’s relevant costs, including capital and operational expenses (minus expected revenues), with the option to receive up to 40% in advance, based on milestones. If you’re preparing to scale a climate technology ahead of market launch, this Fund is for you.
In the most recent application round, 1st Mile wrote a small-scale application that has been selected for Innovation Fund funding, so we know exactly what it takes to secure grants from the Innovation Fund!
What’s new in the 2024 call?
The latest call — IF24 — was launched on 3 December 2024, offering €2.4 billion for net-zero technologies. A dedicated €1 billion call also targets battery cell manufacturing for electric vehicles, alongside an EU-wide auction for renewable hydrogen.
These initiatives are part of the EU’s broader climate strategy under the Green Deal Industrial Plan, REPowerEU, and the Net-Zero Industry Act. The call is open until 24 April 2025, with grant agreements expected in early 2026.
What kinds of projects are funded?
Projects must be highly innovative, scalable, and capable of delivering significant reductions in greenhouse gas emissions. The Fund supports technologies across a wide range of sectors, including:
- Low-carbon solutions in energy-intensive industries
- Carbon capture, storage (CCS), and utilisation (CCU)
- Renewable energy generation and energy storage
- Battery production and clean mobility
- Buildings and other sectors recently added under the revised EU ETS Directive
All projects must be mature in terms of technical readiness, planning, and financial structure.
What size projects can apply?
The Innovation Fund welcomes applications from small, medium, and large-scale projects:
- Small-scale: €2.5 million – €20 million in capital expenditure
- Medium-scale: €20 million – €100 million
- Large-scale: over €100 million
Projects are evaluated according to five key criteria: greenhouse gas avoidance, degree of innovation, maturity, replicability, and cost efficiency.
What does the application process involve?
Proposals are submitted through the EU Funding & Tenders Portal during open calls. The application is detailed — often 200–300 pages — and must include a technical description, work plan, timeline, budget, feasibility study, and a GHG emission reduction calculation.
Successful applicants may also benefit from Project Development Assistance and technical advisory support, especially if the project is in an earlier stage.
How do we know what works?
At 1st Mile, we’ve helped clients navigate this process — and win. In recent years, we supported a small-scale project that was selected for Innovation Fund funding. We know what it takes to succeed: if you’re exploring an Innovation Fund opportunity — for this round or the next — we’re here to help.
⏱️ Plan ahead! The Innovation Fund application is highly documentation-intensive. We recommend starting preparations at least 12 months in advance.
Want to know more? Contact Søren Houmøller at +45 40 44 67 14 or at soren@1stmile.dk.