On 24 April, the submission period closed for the two flagship calls under the 2024 Innovation Fund, one of the European Commission’s most ambitious initiatives to finance clean and breakthrough technologies. With a total budget of up to €3.4 billion, this year’s edition has generated strong interest from industrial players across Europe committed to decarbonisation.
What is the Innovation Fund?
The Innovation Fund is one of the EU’s key financial instruments for supporting highly innovative projects that can deliver significant reductions in greenhouse gas emissions. Financed through revenues from the EU Emissions Trading System (EU ETS), the fund reinvests proceeds from the auctioning of emission allowances into sustainable industrial innovation. It offers non-repayable grants that can cover up to 60% of relevant project costs, making it particularly attractive for capital-intensive or high-risk ventures.
IF24 Calls: Scope and opportunities
The IF24 Call – Net-Zero Technologies, with a budget of €2.4 billion, targeted small-scale (between €2.5m and €20m), medium-scale (€20m to €100m) and large-scale (over €100m) projects. The call aimed to support decarbonisation in energy-intensive industries, renewable energy, renewable hydrogen, energy storage, heat pumps, and the manufacturing of strategic components for the green transition.
In parallel, the IF24 Battery Call, worth €1 billion, was the Fund’s first dedicated call focused exclusively on developing industrial capacity for the production of battery cells for electric vehicles. The call prioritised mature, scalable technologies ready for near-term deployment, with a clear objective to strengthen the EU’s industrial sovereignty in this strategic sector.
Strong response across Europe
The Fund attracted a high number of applications, with a total of 373 proposals submitted: 359 under the Net-Zero Technologies Call and 14 under the Battery Call. These figures underscore the Fund’s pivotal role in mobilising private investment towards clean technologies and its alignment with the goals of the European Green Deal and the Net-Zero Industry Act.
Evaluation and next steps
The European Commission, via the European Climate, Infrastructure and Environment Executive Agency (CINEA), will assess the proposals based on their technical, financial, and environmental merit. Evaluation results are expected to be published in the fourth quarter of 2025, with grant agreements due to be signed in the first quarter of 2026.
What about future calls?
Although no official announcement has yet been made regarding a 2025 edition of the Innovation Fund, it is widely expected to continue playing a central role in EU climate finance policy. The lessons learned from this year’s edition — including the outcomes of the hydrogen auction — are likely to inform the design of future calls, potentially introducing new financing mechanisms or blended finance models.
Do you have a breakthrough sustainability project? Now is the time to start preparing
Applying to the Innovation Fund requires rigorous preparation and strategic planning. A promising concept is not enough — projects must demonstrate technological and financial maturity, verifiable emissions reduction potential, and a credible path to market deployment. The proposal development process — which includes technical, financial, and environmental documentation — typically spans several months.
That is why now is the right time to start preparing for the next call. At Inneürope, we support companies through every stage of the process: from feasibility analysis and consortium building to proposal design and final submission.
Curious whether your project could be a fit for the Innovation Fund? Get in touch — we’ll be happy to guide you with no strings attached!
