The fund supports projects to reduce industrial greenhouse gas emissions.
Jean-Michel Gaudron
Luxinnovation is the national contact point for the European Innovation Fund, which supports projects to reduce industrial greenhouse gas emission.
Created in 2020, the European Innovation Fund (EIF) has an overall budget of €40 billion covering the period 2020-2030. This makes it, to date, one of the most important financial instruments in the world dedicated to projects to decarbonise industry through innovative technologies.
The programme focuses on innovation and reducing greenhouse gas emissions, but it also takes into account the technical, financial and operational maturity of the projects, as well as the replicability and cost-effectiveness of the projects.
"Beyond climate and environmental considerations, the energy transition and decarbonisation have become essential conditions for the long-term competitiveness and resilience of companies," said Thomas Schoos, Government Councillor and General and International Affairs Coordinator at the Luxembourg Ministry of the Environment, Climate and Biodiversity, during the EIF Information Day organised by Luxinnovation on 12 November 2024.
In May 2024, the national innovation agency Luxinnovation was designated by the Luxembourg Ministry of the Environment as the National Contact Point for the EIF. Consequently, the agency has set up a support system for Luxembourg companies applying for financing.
Furthermore, a representative of the Ministry of the Economy and another from the Ministry of the Environment, Climate and Biodiversity have joined the Fund's group of experts, making it possible to follow-up on the progress of the programme and future directly from the source.
Beyond climate and environmental considerations, the energy transition and decarbonisation have become essential conditions for the long-term competitiveness and resilience of companies.
Thomas Schoos, Luxembourg Ministry of the Environment, Climate and Biodiversity.
"In addition to direct funding, the European Innovation Fund offers several financial advantages to companies," explained Mario Grotz, Director General for Industry, New Technologies and Research at the Ministry of the Economy. “These include improving access to private investment as projects supported by the EIF gain in credibility, and providing regulatory and technical support to project leaders.”
Projects eligible for the European Innovation Fund can also benefit from Project Development Assistance (PDA) from the European Investment Bank to improve their technical or financial maturity. This assistance also helps projects increase the likelihood of reaching financial close and going into operation. Companies can apply directly to this PDA, without first going through the EIF.
As the national contact point, Luxinnovation provides interested companies with guidance and support with their application to a call for projects. "Thanks to the support of the two ministries, the meetings and the training programme offered by the European Commission with the help of the European Climate, Infrastructure and Environment Executive Agency, we have strengthened our capacity and knowledge about the programme and we can provide up-to-date and comprehensive support to the applicants," said Sanna Alaranta, Senior Advisor – European Funding at Luxinnovation.
For the time being, Luxembourg has not yet received funding through the European Innovation Fund. There is also no shortage of expressions of interest and the feedback from companies that have been able to benefit from financial support from the EIF is particularly positive.
This is the case of the French company Heliup, based in Savoie, which specialises in the development and production of photovoltaic solutions for large roofs of buildings (commercial, industrial, logistics, local authorities, etc.). This spin-off of the French Atomic Energy Commission (CEA), created in 2022, has developed a unique technology based on ultra-thin glass (less than 1mm thick) and an innovative installation concept by gluing the panel directly to a waterproofing membrane.
In addition to direct funding, the European Innovation Fund offers several financial advantages to companies.
Mario Grotz, Ministry of the Economy
"The process of participating in the European Innovation Fund is quite complex when it is first approached," says Julie Regeon, Business Developer at HeliUp. "That's why a consulting medium is useful. But engaging in such a project requires good internal organization and also good preparation. It is important that the project is well defined prior to submission, as any subsequent substantial changes will result in a further revalidation process. So, it is better to build a realistic and achievable project than to attempt to make the objectives more ambitious than reality."
According to Regeon, this comprehensive review is the most difficult part of the process. It takes into account all aspects of the project: production, construction, obtaining permits, technology, marketing and funding. "Adapting to the format and process required by the Commission takes time and requires flexibility and an understanding of their rules," she acknowledges. But it can also be seen as a good challenge to improve."
Heliup's preparation exercise lasted three months before the file was finalised. "The Commission's requirements can sometimes be seen as cumbersome and administrative, but this cannot be changed," Regeon warns. "So it's best to try to adapt to the requirements as much as possible in order to progress. And it is also preferable to appoint, or hire, a dedicated full-time coordinator to manage this project."
