The European Commission and the European Investment Bank have allocated an additional €2.7 billion from emissions trading revenues to implement cleaner energy systems.
This was reported on the European Commission's website.
These funds will be used to implement 39 investment projects in 8 EU member states. Funding will be provided through the Modernization Fund, which is replenished with revenues from the EU Emissions Trading System (EU ETS). Since its launch in 2021, it has already provided €15.45 billion in investments to support clean energy transition projects.
The new support, announced on December 19, complements the nearly €2.97 billion in investments announced in June for another 38 projects. This brings the total disbursements from the Modernization Fund to €5.67 billion in 2024, covering 77 projects in 11 countries.
These projects focus on:
- electricity generation from renewable sources
- modernization of energy networks;
- energy efficiency;
- replacement of coal generation with less carbon-intensive fuels.
The European Commission claims that these programs will help low-income EU countries “strengthen their cleaner industrial sector and achieve their climate and energy targets for 2030 by reducing greenhouse gas emissions and improving energy efficiency.”
As EcoPolitic previously reported, Deloitte experts gave Ukraine recommendations on the ETS and carbon pricing. We also talked about which Ukrainian businesses can receive grants for energy efficiency.
