De-risking renewable fuel technologies through transnational pre-commercial procurement of renewable fuel industrial value chains

The Horizon Europe opportunity titled "De-risking renewable fuel technologies through transnational pre-commercial procurement of renewable fuel industrial value chains" HORIZON-CL5 offers a significant budget of €40 million aimed at facilitating the development and commercialization of critical renewable fuel technologies. This initiative focuses on accelerating the industrial value chains of renewable fuels intended for various sectors, including energy and transport, to help meet EU climate and energy security objectives beyond 2030. This pre-commercial procurement (PCP) action targets organized consortia of public and private procurers. Eligible applicants include public authorities, such as local and regional governments, airport and port authorities, as well as private procurers like aircraft operators and energy providers. The funding mechanism is structured as an action grant, meaning the financial support is primarily used for procuring research and development services rather than granting direct funding to researchers. The opportunity encourages the formation of transnational consortia, requiring participation from procurers in multiple EU Member States or Associated Countries. A lead procurer must coordinate the consortium's activities to implement a competitive procurement process for R&D services, ultimately aiming to achieve a Technology Readiness Level (TRL) of 8 by the end of the action. Key focus areas within the project include advanced bioethanol production, biomass gasification, and innovative fuel production techniques, which are seen as essential pathways to establish domestic renewable fuel production capabilities. The initiative seeks to overcome the "valley of death," which represents the gap between successful demonstration projects and large-scale commercialization. Interested consortia will follow a single-stage application process, with the opening date set for August 4, 2026, and a submission deadline of December 1, 2026. The selection process is expected to be highly competitive, with only one grant anticipated to be awarded, likely resulting in a success rate below 10%. While explicit co-funding is not mandatory, leveraging additional funding sources is strongly encouraged. Overall, this call represents a strategic approach to innovation by integrating demand-side procurement with technology development, aiming to build competitive renewable fuel value chains in Europe and address broader EU climate goals.

This is a Horizon Europe call, specifically ENERGY (HORIZON-CL5-2026-11), focused on "De-risking renewable fuel technologies through transnational pre-commercial procurement of renewable fuel industrial value chains" with topic ID HORIZON-CL5. It is a HORIZON Pre-commercial Procurement (HORIZON-PCP) action. The Model Grant Agreement is a HORIZON Action Grant Budget-Based [HORIZON-AG]. The call is forthcoming with a single-stage deadline model. The planned opening date is 04 August 2026, and the deadline date is 01 December 2026, 17:00:00 Brussels time. The expected outcomes of the projects are: Public authorities, industry, technology providers, energy producers, and consumers profit from de-risking cost-effective essential value chains of renewable fuel technologies that can contribute to domestic commercial fuel production beyond 2030. This includes improved access to financing, exploiting synergies across funding schemes, more effective market uptake, business models, increased competitiveness, and commercialization opportunities. Energy producers, clean tech manufacturing industries, researchers, and consumers benefit from improved performance, lower environmental impact, security, and competitiveness of ad-hoc renewable fuel technologies compared to existing ones, as well as new market opportunities. Community, public authorities, and industry benefit from sharing the de-risking cost and reducing it by engaging several competing solution suppliers/technology providers in parallel, boosting transnational public and private investments in de-risking and attracting new players to tackle supplier lock-in issues. The implementation of the Strategic Energy Technology Plan (SET Plan) Action of Renewable Fuels and Bioenergy is supported and facilitated by better alignment of public and private R&I priorities and of funding mechanisms. Policy makers and regulators are provided with evidence to accelerate permitting procedures and increase the public acceptance of innovative and sustainable renewable fuel projects, improving the regulatory framework. The scope of this call is to develop, demonstrate, and de-risk essential renewable fuels technologies and establish their industrial value chains in a cost-effective way to cover EU needs where renewable fuels are the main long-term solution. Proposals should steer the development of these technologies at EU level and bring them to the market. Pre-commercial procurement (PCP) of R&D, validation, and possibly first deployment of industrial value chains of essential renewable fuel technologies is considered an effective tool to de-risk such activities and overcome the “valley of death”. The scope of this action is to design and bring industrial value chains of essential renewable fuel technologies to Technology Readiness Level (TRL) 8 by the action end. The competitive development in phases of entire industrial value chains should build upon existing knowledge on technology and value chain readiness based on existing EU projects and studies, thus speeding up the de-risking. Transnational buyers could be public plus possibly one or more private procurers, and that provide similar services of public interest. The buyers will collectively develop and implement the pre-commercial procurement of R&D services from a number of providers and designate a lead procurer to award the contracts. The procurement must be open to providers of R&D services established in any EU Member States and Associated Countries. Inclusiveness of a broad range of public and private procures across EU and Associated Countries and across national borders is encouraged, to effectively share the risk and benefit from creating in the EU market readiness of industrial value chains of essential renewable fuel technologies. Public and private EU airport and port authorities and their respective managing bodies, aircraft operators and shipping companies, other state, regional or local authorities and bodies governed by public law or their associations, are some examples of expected public and private procurers with an incentive to improve solutions in areas of public interest, such as reduction of greenhouse gas emissions from energy supply as fuels. The consortium is encouraged to plan activities during the project to raise awareness to the R&D providers that will win PCP contracts about unlocking and increasing their investment capacity in the field of renewable fuel technologies, for example by using possible combinations of the PCP procurement contract with additional support for companies from the EIC, InvestEU, regional funds or possibly other sources of Union funding. Participation of public contracting authorities and entities managing or funding such funds in the project is encouraged. In addition, the procurers should include in the proposal what will be their planned approach for deployment in case the PCP results in successful solutions; this could be through a combination of deploying a limited set of solutions already during the PCP project and/or foreseeing a deliverable that prepares follow-up procurement to purchase (larger volumes of) such type of solution(s) after the PCP. Essential value chains to de-risk should be based on identified technologies by our studies as those that can contribute essentially to domestic commercial fuel production beyond 2030, and possibly other that can be demonstrated at commercial scale by the end of the execution phase of the project: Production of advanced bioEthanol and further processing into ATJ-SPK Biomass Gasification and FT-Synthesis to produce FT-SPK Production of BioMethanol for further processing into MTJ Hydrotreatment of Lipids from marginal/contaminated lands to produce HEFA Biomass Pyrolysis and Upgrading or co-processing to produce biokerosene and bio-heavy fuel oil Biomethane from AD and Gasification and Methanation to produce biomethane for shipping or further processing into methanol (methanolysis) for shipping E-Methanol production from CO2 and renewable H2 for shipping Industrial value chains of the essential renewable fuel technologies should be developed based on domestic sustainable feedstocks across EU and Associated Countries and on also creating synergies across all end use energy and transport sectors for markets and production facilities for renewable fuels. Hydrogen production as end-product is not in scope. The general conditions include: 1. Admissibility Conditions: The proposal page limit is increased to 60 pages. 2. Eligible Countries: Described in Annex B of the Work Programme General Annexes. Some non-EU/non-Associated Countries have specific provisions for funding. 3. Other Eligible Conditions: If projects use satellite-based earth observation, positioning, navigation and/or related timing data and services, beneficiaries must make use of Copernicus and/or Galileo/EGNOS. 4. Financial and operational capacity and exclusion: Described in Annex C of the Work Programme General Annexes. 5a. Evaluation and award: Award criteria, scoring and thresholds: Described in Annex D of the Work Programme General Annexes. €5B. Evaluation and award: Submission and evaluation processes: Described in Annex F of the Work Programme General Annexes and the Online Manual. 5c. Evaluation and award: Indicative timeline for evaluation and grant agreement: Described in Annex F of the Work Programme General Annexes. 6. Legal and financial set-up of the grants: Described in Annex G of the Work Programme General Annexes. Specific conditions are described in the specific topic of the Work Programme. Application and evaluation forms and model grant agreement (MGA) information: Application form templates are available in the Submission System (Standard application form (HE PCP)). Evaluation form templates will be used with necessary adaptations (Standard evaluation form (HE PCP PPI)). Guidance is provided in the HE Programme Guide. Model Grant Agreements (MGA) use the HE MGA model. Additional documents include: HE Main Work Programme 2026-2027 – 1. General Introduction HE Main Work Programme 2026-2027 – 8. Climate, Energy and Mobility HE Main Work Programme 2026-2027 – 15. General Annexes HE Programme Guide HE Framework Programme 2021/695 HE Specific Programme Decision 2021/764 EU Financial Regulation 2024/2509 Decision authorising the use of lump sum contributions under the Horizon Europe Programme Rules for Legal Entity Validation, LEAR Appointment and Financial Capacity Assessment EU Grants AGA — Annotated Model Grant Agreement Funding & Tenders Portal Online Manual Funding & Tenders Portal Terms and Conditions Funding & Tenders Portal Privacy Statement The budget overview for 2026 includes: HORIZON-CL5 - HORIZON-PCP HORIZON Pre-commercial Procurement: €40,000,000, single-stage, with an indicative one grant. HORIZON-CL5-2026-11-D3-05 - HORIZON-IA HORIZON Innovation Actions: €13,500,000, single-stage, with an indicative two grants. HORIZON-CL5-2026-11-D3-06 - HORIZON-RIA HORIZON Research and Innovation Actions: €18,000,000, single-stage, with an indicative four grants. HORIZON-CL5-2026-11-D3-14 - HORIZON-IA HORIZON Innovation Actions: €30,000,000, single-stage, with an indicative four grants. HORIZON-CL5-2026-11-D3-23 - HORIZON-IA HORIZON Innovation Actions: €30,000,000, single-stage, with an indicative three grants. There is one partner search announcement. The submission system is planned to be opened on the date stated on the topic header. For support, applicants are encouraged to read all provisions carefully, use the Online Manual, consult the Horizon Europe Programme Guide, check the Funding & Tenders Portal FAQ, use the Research Enquiry Service, contact National Contact Points (NCPs), contact the Enterprise Europe Network, use the IT Helpdesk, consult the European IPR Helpdesk, contact CEN-CENELEC/ETSI Research Helpdesks, consult the European Charter for Researchers and the Code of Conduct for their recruitment, and use the Partner Search. In summary, this Horizon Europe call aims to de-risk renewable fuel technologies by supporting pre-commercial procurement of R&D for essential renewable fuel industrial value chains. It encourages transnational collaboration between public and private procurers to bring these technologies to TRL 8, focusing on specific renewable fuel production pathways and promoting the use of sustainable feedstocks. The call provides a significant budget and encourages applicants to leverage various support resources and partner search tools. The goal is to accelerate the market uptake of cost-effective renewable fuels and contribute to the EU's long-term energy and climate goals.

Eligible Applicant Types: The eligible applicant types for this opportunity are public and private procurers, including but not limited to public and private EU airport and port authorities and their respective managing bodies, aircraft operators and shipping companies, other state, regional or local authorities and bodies governed by public law or their associations. The call is specifically targeted towards 'transnational buyers,' which could be public plus possibly one or more private procurers, and that provide similar services of public interest. R&D providers established in any EU Member States and Associated Countries are also eligible to win PCP contracts. Funding Type: The primary financial mechanism is pre-commercial procurement (PCP) of R&D services, which is implemented through HORIZON Action Grants Budget-Based [HORIZON-AG]. Consortium Requirement: A consortium of multiple applicants is required. The call specifies that 'transnational buyers' will collectively develop and implement the pre-commercial procurement. Beneficiary Scope (Geographic Eligibility): The geographic eligibility includes EU Member States and Associated Countries. A number of non-EU/non-Associated Countries that are not automatically eligible for funding have made specific provisions for making funding available for their participants in Horizon Europe projects. Target Sector: The target sector is energy, specifically renewable fuels technologies and bioenergy. The program aims to de-risk essential renewable fuels technologies and establish their industrial value chains. It also targets the transport sector, with a focus on reducing greenhouse gas emissions from energy supply as fuels in areas like airports and ports. Mentioned Countries: The opportunity is open to EU Member States and Associated Countries. No specific countries are explicitly mentioned, but the focus is on the EU and associated countries. Project Stage: The project stage is aimed at bringing industrial value chains of essential renewable fuel technologies to Technology Readiness Level (TRL) 8 by the action end. This includes research, development, validation, and potentially first deployment. Funding Amount: The budget for the topic HORIZON-CL5 is €40,000,000. The indicative number of grants for this topic is 1. Other related topics under the same call have varying budgets and indicative numbers of grants: HORIZON-CL5-2026-11-D3-05 (€13,500,000, around 2 grants), HORIZON-CL5-2026-11-D3-06 (€18,000,000, around 4 grants), HORIZON-CL5-2026-11-D3-14 (€30,000,000, around 4 grants), and HORIZON-CL5-2026-11-D3-23 (€30,000,000, around 3 grants). Application Type: The application type is an open call, with a single-stage submission process. Nature of Support: Beneficiaries will receive money through PCP contracts for R&D services. The program also aims to unlock and increase investment capacity in the field of renewable fuel technologies, potentially through combinations with other funding sources like EIC, InvestEU, and regional funds. Application Stages: The application process is a single-stage process. Success Rates: The success rates can be inferred from the budget overview, which provides the indicative number of grants for each topic. For HORIZON-CL5, with a budget of €40,000,000 and an indicative number of 1 grant, the success rate is expected to be low, likely below 10% given the competitive nature of Horizon Europe calls. Co-funding Requirement: The information does not explicitly state a co-funding requirement from the applicant procurers. However, the encouragement of synergies with other funding schemes (EIC, InvestEU, regional funds) suggests that leveraging additional investment is viewed favorably. This Horizon Europe call, ENERGY (HORIZON-CL5-2026-11), focuses on "De-risking renewable fuel technologies through transnational pre-commercial procurement of renewable fuel industrial value chains." It aims to foster the development and deployment of essential renewable fuel technologies by providing financial support through pre-commercial procurement (PCP). The call targets public and private procurers from EU Member States and Associated Countries, encouraging them to form consortia and act as 'transnational buyers.' These buyers will collectively procure R&D services to bring renewable fuel technologies to TRL 8, effectively bridging the 'valley of death' between research and commercialization. The call emphasizes the use of sustainable domestic feedstocks and the creation of synergies across energy and transport sectors. The ultimate goal is to establish cost-effective and competitive renewable fuel value chains that contribute to the EU's long-term energy needs and greenhouse gas emission reduction targets. The call is structured as a single-stage application process with a deadline in December 2026, and it provides access to various support resources, including online manuals, national contact points, and helpdesks. The total budget for the HORIZON-CL5 topic is €40 million, with an expectation of funding one project.