The European Commission has adopted a new state aid framework supporting the Clean Industry Agreement (CISAF), aimed at accelerating the green transition and supporting strategic clean energy and technology investments. The framework, which replaces the Temporary Crisis and Transition Framework (2022), will be in place until 31 December 2030, providing long-term predictability to Member States and businesses.
CISAF sets out simplified procedures for the approval of national aid schemes concerning, inter alia, renewable energy, decarbonisation of industrial installations, clean technology production and support for energy-intensive industries.
The new framework allows support in five pillars:
- Development of renewables and low-emission fuels
- Reinforcement of power mechanisms and stability in supply
- Reducing energy costs for energy-intensive industries
- Investing in clean technologies and critical raw materials
- Incentives for private investment and tax incentives
Member States will be able to provide aid through fixed amounts, subsidies, competitive procedures or combined guarantee and equity mechanisms. Particular emphasis is placed on strengthening less favoured regions of the EU and preventing investment from moving out of Europe.
The Commission's aim is to ensure the competitiveness of European industry at a global level, while strengthening energy security and decarbonisation.