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Commission awards €400 million to support clean industrial heat projects

The European Commission has selected 65 projects under the Innovation Fund Heat Auction to accelerate the deployment of clean heat technologies across European industry.  

  • News article
  • 3 June 2026
  • European Climate, Infrastructure and Environment Executive Agency
  • 1 min read
Decarbonisation - Chris Leboutillier unsplash

The European Commission has selected 65 projects under the first EU-wide Innovation Fund Heat Auction, awarding around €400 million to support the decarbonisation of industrial heat production.

The selected projects are located across 10 European Economic Area countries and will use a range of clean heat technologies, including resistance heating, heat pumps, solar thermal, electromagnetic and dielectric heating, and hybrid solutions. Together, they are expected to avoid more than 6.6 million tonnes of CO2 emissions over 10 years by replacing natural gas-based heat systems. 

The projects will support industrial sectors such as pulp and paper, glass, ceramics, construction materials, iron and steel, food and beverage, textiles and pharmaceuticals. They are expected to produce around 16.3 TWh of decarbonised heat in their first five years of operation.

Funded through the EU Emissions Trading System (ETS), the Innovation Fund aims to support clean technologies, energy independence and industrial competitiveness. Grant agreements are expected to be signed in the second half of 2026.

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