Grant

Demonstration of solid biofuel supply and conversion to high efficiency CHP from fully sustainable regional value chains

Funding of demonstration projects for regional raw material supply with solid fuels and their highly efficient implementation in CHP plants. Focus: sustainable, regionalized value chains. Submission deadline: 01.12.2026.

Energy Efficiency & Renewable Energies Climate Action Business Financing

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Grant criteria

Application Deadline:
04.08. - 01.12.2026
Application level: Complex
Region: EU
Company size: SMEs and large enterprises
Funding amount: €6,750,000
Funding rate: 70%
Project start from: 04.08.2026
Project duration: 36 months

Funding objective

Demonstration of a sustainable regional value chain for locally to regionally sourced solid biofuels from upgraded biogenic residues and waste, as well as their efficient conversion in high-performance CHP plants (10–30 MWe) under conditions of long-term socioeconomic and ecological sustainability.

Eligible expenses

  • Personnel expenses
  • Material costs
  • Subcontractor costs

Non-eligible expenses

  • Retroactive costs
  • Debt settlement
  • Acquisition of real estate

Eligible to apply

  • Companies
  • Educational Institutions
  • Public Institutions
  • Non-profit Organizations

Funding requirements

  • Participation of at least three independent partners from EU Member States or Associated Countries
  • Project consortium with lead partner in the EU
  • Project start not before 04.08.2026
  • No funding for activities prior to the submission deadline

Documents required for application

  1. Application form (Part A & B)
  2. Project description
  3. Financing plan/Budget tables
  4. Consortium agreement
  5. Ethics self-assessment

Evaluation criteria

  • Level of innovation and scientific excellence
  • Expected impact and exploitation strategy
  • Quality and efficiency of implementation

Description

The funding program aims at the practical testing of fully sustainable, regional value chains for solid fuels derived from biogenic residues and waste. The focus is on demonstrating continuous local raw material supply through to highly efficient electricity and heat generation in small to medium combined heat and power (CHP) plants (10–30 MWe). Project consortia consisting of at least three independent partners from EU member states or associated countries are eligible for funding, for example energy suppliers, industrial and municipal partners, as well as operators of CHP plants and technology providers. The grant covers up to 70% of eligible costs (personnel costs, material costs, subcontractor costs), with a maximum funding amount of €6,750,000 and a project duration of 36 months. A lead partner within the EU will coordinate the project; the project start must not be before 04.08.2026, and the submission deadline is 01.12.2026. A comprehensive socio-economic and ecological sustainability analysis, life cycle assessments, involvement of SSH experts, and a gender-sensitive approach are essential.

A consistent implementation of modular preprocessing and upgrading technologies for biofuels, realistic demonstration under continuous operation, and achievement of significant greenhouse gas and air pollutant reductions are expected. Application documents include the application form (Part A & B), a detailed project description, budget tables, consortium agreement, and ethics self-assessment. Accompanying exploitation and communication strategies must be submitted, addressing scalability and commercialization prospects as well as potential follow-up financing (e.g., Innovation Fund). The competitive evaluation is based on the level of innovation, expected impact, and quality of implementation. The program lays the foundation to strengthen regional bioenergy cycles, increase value creation in rural areas, and sustainably promote European energy and supply security.

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