European Commission to provide EUR1.2bn for 23 renewable energy demonstration projects
The European Commission has agreed to provide funds to the tune of €1.2bn to 23 renewable energy demonstration projects under the NER300 funding program.
The objective of these projects is to successfully demonstrate innovative technologies to scale-up power generation across the continent.
The program is aimed at increasing the share of Europe's power generation from renewable sources advanced biofuels, concentrated solar power, geothermal, wind, ocean energy and smart grids by 10TWh.
Projects under the initiative will be co-financed with the revenues derived from the sale of 200 million emission allowances from the new entrants' reserve (NER) of the EU Emissions Trading System.
Climate Action commissioner Connie Hedegaard termed the initative to be a 'Robin Hood' mechanism, making polluters foot the bill for the development of low-carbon demonstration projects.
"The €1.2 billion of grants - paid by the polluters - will leverage a further €2 billion of private investment in the 23 selected low-carbon demonstration projects.
"This will help the EU keep its frontrunner position on renewables and create jobs here and now, in the EU," said Hedegaard.
The NER300 funding program is implemented by the European Commission in association with the European Investment Bank (EIB) that helps in project selection and the sale of 300 million carbon allowances from the EU Emissions Trading System.