Supporting the clean energy transition of European industry and businesses

Overview

The LIFE-2025 call, part of the LIFE Clean Energy Transition program, seeks to support the clean energy transition and decarbonization of industries in Europe. It aims to bridge the gap between demand and supply of net-zero energy technologies and encourage collaborative approaches among companies located near each other. The call features two main scopes: the first is focused on collaboration between industrial sectors and technology providers for optimizing and deploying clean energy solutions. The second promotes energy cooperation among nearby industries to foster sustainable energy use. Eligible applicants include businesses, industry associations, research institutions, public sector organizations, and investors from eligible countries, likely encompassing EU member states and associated countries. Proposals must involve at least three applicants from three different eligible countries, forming a mandatory consortium. The funding is in the form of grants, with the EU contribution potentially reaching up to two million euros per project, although proposals for other amounts can be submitted. The application process is a single-stage open call, with a submission deadline of September 23, 2025. The funding rate is 95%, and while explicit co-funding requirements are not stated, leveraging additional funding is encouraged. Projects need to be ready for market uptake and should focus on validating business models and fostering collaboration initiatives. The program emphasizes quantifying outcomes such as energy savings and greenhouse gas emissions reduction. Success in this call hinges on demonstrating a clear strategy for implementation, strong stakeholder engagement, and addressing barriers to energy cooperation. Expected impacts include the deployment of sustainable energy technologies, establishment of viable business models, and improved integration of renewable energy solutions. The call aligns with broader EU climate initiatives, aiming to modernize and decarbonize the industrial sector in line with the European Green Deal and related regulations.

Highlights

The LIFE-2025 call, under the LIFE Clean Energy Transition (LIFE-2025-CET) program, aims to support the clean energy transition and decarbonization of industry by bridging the gap between the demand and supply side of net-zero energy technologies and fostering collaborative approaches among companies in physical proximity. The call is a LIFE Project Grant (LIFE-PJG) with a LIFE Action Grant Budget-Based [LIFE-AG] model. The submission deadline is September 23, 2025, at 17:00:00 Brussels time, with the call opening on April 24, 2025. The funding rate is 95% through Other Action Grants (OAGs).

The call addresses two scopes:

Scope A:Collaboration between industrial sectors and technology providers for clean energy technology optimization and deployment. This scope promotes sustainable and efficient energy use in a specific industrial sector at the European level. It encourages collaboration between industrial sectors sharing similar energy-related needs and sustainable energy technology manufacturers and providers. Sustainable energy solutions include renewable energy, heat electrification solutions using heat pumps, energy efficiency products and processes, and technologies covered by the Net-Zero Industry Act. The goal is to move towards streamlined, standardized, and turn-key solutions for industrial clients. Proposals should support concrete collaboration initiatives, their operation, and governance, addressing business model development and validation, and capacity building. A clear strategy for rolling out technical solutions, including access to finance, is expected. Involvement of relevant representative organizations is crucial. Proposals should focus on market-ready technologies and justify the choice of targeted sectors with detailed analysis. Technological demonstrations are outside the scope, and equipment costs are eligible only to a very small extent and if well justified.

Scope B:Energy Cooperation among industries in proximity to foster clean, affordable, and sustainable energy use. This scope fosters the market uptake of energy efficiency measures and renewable energy use through industrial energy cooperation among companies in physical proximity, supporting the development of green regional/local industrial areas/clusters. Energy cooperation includes sharing energy-related assets, services, implementing energy exchanges, incentivizing industrial symbiosis, and integrating industrial energy prosumers with system operators and/or energy communities. Proposals should facilitate energy cooperation mechanisms, identify viable business models, and remove barriers to energy cooperation. A pipeline of investments in local heat/power networks and energy infrastructure should be identified, engaging key stakeholders to ensure investment endorsement and alignment with local plans. Proposed approaches should be replicable, with a clear action plan to communicate experiences and results.

For both scopes, proposals must be submitted by at least 3 applicants (beneficiaries; not affiliated entities) from 3 different eligible countries. The Commission considers that proposals requesting a contribution from the EU of up to €2 million would allow the specific objectives to be addressed appropriately.

Expected impacts include:Implementation of EU legislation, viable business models, integration of sustainable energy solutions, deployment of energy-related infrastructure, sustainable energy technological products adapted to industrial demands, and accelerated identification of projects for clean energy use at the regional/local level.

Indicators for quantifying results and impacts include:Number of new installations of net-zero energy technologies, number of key actors with improved skills, number of energy cooperation plans or investment pipelines endorsed, number of companies implementing energy cooperation approaches, number of relevant stakeholders approached and mobilised, and number of standardized technological products adapted to the needs of a specific industrial sector.

Common indicators for the LIFE Clean Energy Transition sub-programme include:Primary energy savings, final energy savings, renewable energy generation, reduction of greenhouse gas emissions, and investments in sustainable energy.

Admissibility conditions include proposal page limits and layout as described in the call document and application form. Eligible countries and other eligible conditions are described in the call document. Financial and operational capacity and exclusion criteria are also detailed in the call document. Submission and evaluation processes, award criteria, scoring, thresholds, and the indicative timeline for evaluation and grant agreement are described in the call document and online manual. Legal and financial set-up of the grants are also described in the call document.

Applicants can find support from their National Contact Point (NCP) and access resources such as the Funding & Tenders Portal FAQ, IT Helpdesk, and Online Manual. Information sessions, recordings, presentations, and frequently asked questions are also available.

In summary, this EU funding opportunity aims to drive the clean energy transition within European industries by promoting collaboration, energy efficiency, and the adoption of renewable energy sources. It offers two distinct scopes, one focusing on collaboration between industrial sectors and technology providers, and the other on energy cooperation among industries in close proximity. Successful proposals will need to demonstrate a clear strategy for implementation, strong stakeholder engagement, and a commitment to quantifying the project's impact on energy savings and greenhouse gas emissions reduction. The funding is available to projects with at least three partners from three different eligible countries, with a typical EU contribution of up to €2 million. The call is a single-stage process with a deadline in September 2025.

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Breakdown

Eligible Applicant Types:The eligible applicant types are not explicitly defined in the provided text. However, the text mentions "businesses," "industrial sectors," "technology providers," "representative organisations at national/European level," "public authorities," "industry park managers," "private operators," "investors," "DSOs," and "ESCOs." This suggests that eligible applicants could include SMEs, large enterprises, industry associations, research institutions, public sector organizations, investors, and energy service companies. The text specifies that proposals must be submitted by at least 3 applicants (beneficiaries; not affiliated entities).

Funding Type:The funding type is a grant, specifically "LIFE Project Grants (LIFE-PJG)" and "Other Action Grants (OAGs)." The funding rate is 95%.

Consortium Requirement:A consortium is required. Proposals must be submitted by at least 3 applicants (beneficiaries; not affiliated entities) from 3 different eligible countries.

Beneficiary Scope (Geographic Eligibility):The geographic eligibility is tied to "eligible countries," but the specific countries are not listed in the provided text. It is implied that these are EU member states or countries associated with the LIFE program, as the call is part of the LIFE Clean Energy Transition program.

Target Sector:The target sectors are energy, industry, and climate. Specifically, the program targets the clean energy transition and decarbonization of industry, energy efficiency, renewable energy, heat electrification, and industrial energy cooperation.

Mentioned Countries:No specific countries are mentioned, but the text refers to "EU," "EU-27," and "European level," indicating a focus on the European Union.

Project Stage:The project stage is focused on market uptake, deployment, and validation of business models. The call explicitly excludes activities aiming at technological demonstration, suggesting a preference for projects that are at least at the validation or demonstration stage and ready for commercialization or scale-up.

Funding Amount:The Commission considers that proposals requesting a contribution from the EU of up to €2 million would allow the specific objectives to be addressed appropriately. Nonetheless, this does not preclude submission and selection of proposals requesting other amounts. The budget overview lists multiple topics with budgets ranging from €4 million to €15 million.

Application Type:The application type is an "open call" with a "single-stage" submission process.

Nature of Support:The beneficiaries will receive money in the form of grants.

Application Stages:The application process consists of a single stage.

Success Rates:The funding rate is 95% for Other Action Grants (OAGs).

Co-funding Requirement:The text does not explicitly state a co-funding requirement. However, it mentions that proposals should develop a clear strategy to roll out the technical solutions, including access to public and private finance, which implies that leveraging additional funding sources is encouraged.

Summary:

This opportunity is a call for proposals under the LIFE Clean Energy Transition (LIFE-2025-CET) program, specifically targeting the decarbonization of industry and the clean energy transition. The call aims to bridge the gap between the demand and supply of net-zero energy technologies and foster collaboration among companies. There are two main scopes: one focuses on collaboration between industrial sectors and technology providers for clean energy technology optimization and deployment, and the other focuses on energy cooperation among industries in proximity to promote clean, affordable, and sustainable energy use.

Eligible applicants include businesses, industry associations, research institutions, public sector organizations, investors, and energy service companies from eligible countries (likely EU member states and associated countries). A consortium of at least 3 applicants from 3 different eligible countries is required. The funding type is a grant, with the EU contribution potentially reaching up to €2 million per project, although other amounts can be requested. The application process is a single-stage open call with a deadline of September 23, 2025. The program seeks projects that are ready for market uptake and deployment, with a focus on validating business models and establishing collaboration initiatives. The funding rate is 95%, and while co-funding is not explicitly required, leveraging additional public and private finance is encouraged. The overall objective is to support the European Green Deal, the Fit-for-55 package, the REPowerEU Plan, and the Net-Zero Industry Act by modernizing and decarbonizing the business sector and enhancing the competitiveness of EU enterprises.

Short Summary

Impact

This grant aims to accelerate the clean energy transition in European industries by funding projects that address market barriers, support policy implementation, and foster innovation.

Applicant

Applicants should possess skills in project management, collaboration, and expertise in clean energy technologies and industrial processes.

Developments

Funding will support projects focused on the decarbonization of energy-intensive industries and the implementation of sustainable energy solutions.

Applicant Type

Consortia of at least 3 entities from 3 different eligible countries, including SMEs, large enterprises, industry associations, public authorities, and NGOs.

Consortium

Mandatory consortium requirement for proposals involving at least 3 applicants from 3 different eligible countries.

Funding Amount

Up to €1.75 million per project, with a total budget of €600 million for 2025.

Countries

Open to entities in EU member states, EEA countries, and EU-associated nations, focusing on EU-wide implementation.

Industry

Clean Energy Transition sub-programme targeting energy-intensive industries and businesses.

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