The European Commission on Wednesday adopted a new State aid framework aimed at accelerating investment in clean energy and low-carbon technologies across the EU, replacing temporary crisis-era measures with long-term support aligned with the bloc’s climate goals.
The Clean Industrial Solutions Aid Framework (CISAF) will be in effect until 31 December 2030, offering Member States greater flexibility to roll out targeted support for sectors contributing to decarbonisation.
“This framework gives Member States the tools they need to support our green transition while maintaining fair competition in the single market,” the Commission said in a statement.
CISAF simplifies aid rules across five core areas: the deployment of renewable energy and low-carbon fuels, decarbonisation of industrial processes, electricity price relief for energy-intensive sectors, scaling up clean tech manufacturing, and de-risking private investment in green infrastructure.
Fast-track approval processes will apply to aid for renewable and low-carbon fuels, including green and blue hydrogen, which are considered key to reducing emissions in hard-to-abate sectors.
Member States will be able to grant cost relief to energy-intensive companies exposed to global competition, with conditions requiring reinvestment in emissions-reducing measures. The framework also permits support for capacity mechanisms and grid flexibility tools to help integrate variable renewable energy sources.
Public support for decarbonisation can be provided via fixed-amount grants up to €200 million, competitive bidding processes, or gap-funding based on investment needs. Clean tech manufacturing, including the processing of critical raw materials, is eligible for assistance under the revised rules.
To address regional disparities, CISAF allows higher aid intensity in economically less developed areas, following the EU’s regional aid maps. It also opens the door for tax incentives aimed at stimulating clean tech demand.
The framework includes provisions for Member States to offer equity, loans, and guarantees through dedicated investment vehicles in order to leverage private capital.
CISAF complements the existing Climate, Environmental Protection and Energy Aid Guidelines (CEEAG) and the General Block Exemption Regulation (GBER), and was finalised after consultations with Member States and stakeholders, including a review of the Temporary Crisis and Transition Framework introduced in 2022.
