See all
No search result found
It looks like we couldn't find any results for your search.
Helpful links
Funding Opportunity for Industrial Heat Decarbonisation
The Innovation Fund Heat Auction supports industrial process heat decarbonisation, offering up to €1 billion to accelerate the transition from fossil-based heat to electrified and renewable solutions in hard-to-abate industries.
Industrial heat accounts for a large share of Europe’s industrial emissions. Therefore, the Heat Auction aims to accelerate the green industrial transformation and cut CO₂ emissions by funding innovative projects that replace fossil fuels with electrified heat (e.g., high-temperature heat pumps, electric boilers, resistance / induction heating, plasma heating) and direct renewable heat (e.g., industrial solar thermal, deep geothermal).
Projects must reach a minimum temperature of 80ºC or size of 3 MW th. Funding is awarded competitively based on the lowest bid for a subsidy per tonne of CO2 avoid-ed (Auction-as-Service mechanism).
IF26 Heat Auction Announced
The new draft of the Terms and Conditions introduces some simplification measures, including lower engagement requirements with electricity providers and heat off-takers, as well as a lower minimum temperature of 80ºC for large projects (>10MW) using heat pumps, direct renewables and nuclear heat.
The opening and closing dates have, however, not yet been announced, but it is expected to open in early September. This new round is also expected to be open for a short period of time. The first round was open for only 11 weeks.
More information on the IF25 Heat Auction
Key Eligibility
Projects replacing fossil-based industrial process heat with electrified or renewable alternatives may be eligible for funding. Projects must demonstrate technical maturity, scalability, verified CO₂ reductions, and the use of renewable or low-carbon electricity.
Who Can Apply
The Heat Auction is open to industrial companies in the EEA (EU Member States, Iceland, and Norway) investing in new industrial heat capacity. Excluded activities include biomass combustion, electrolysis, electric arc furnaces, space heating, and district heating.
Qualification Criteria
Companies bid based on the funding required per tonne of CO₂ reduced and expected heat output. Proposals are ranked by lowest abatement cost (€/tCO₂) and assessed on a pass/fail basis for relevance and maturity until the budget is allocated.
Get the Overview of Heat Auction
Our guide to the Innovation Fund Heat Auction gives you an overview of the scope, what the proposal must focus on and how the funding is awarded.