Overview
- Germany’s scheme won European Commission approval on Thursday, allowing funding for cleaner production in high‑emitting sectors.
- Support will run through CO2‑difference contracts that cover the extra cost of low‑carbon methods for up to 15 years to reduce investment risk.
- Projects must cut emissions by at least 50% within four years and by at least 85% by the end of the contract period.
- Awards will be made through open tenders that rank bids by the requested funding per tonne of CO2 avoided.
- The program targets energy‑intensive industries such as paper, chemicals, metals, glass and cement, and lets companies choose options like electrification, hydrogen, carbon capture, biomethane or waste‑heat use.