Crowding in private finance

The main goal of this opportunity is to create innovative financing schemes that attract private investment for energy efficiency projects, with the potential to include renewable energy and energy storage. The initiative aims to help achieve the European Green Deal's targets, reduce reliance on fossil fuel imports, and support national strategies for energy efficiency and building renovations by 2030. Focus areas include adapting financing models to the needs of buildings, small and medium-sized enterprises (SMEs), district heating, and other sectors. The opportunity encourages collaboration between financial institutions and energy service providers, using public funds to unlock larger private investments. Eligible activities must take place in at least one country participating in the LIFE programme.

• Projects must follow the official page limits and formatting rules in the application guidelines.
• Applications can come from a single organization or multiple organizations from one eligible country.
• Applicants must show strong financial and operational ability to carry out the project.
• Projects must set up innovative financing schemes that leverage private finance for energy efficiency, possibly including renewables and storage, and must be operational and pilot-tested by the end of the project.
• Proposals should be complementary to existing funding, innovative, and tailored to specific regions or sectors.
• Applicants must clearly describe and measure expected results, such as energy savings and reduced emissions.

Examples:

• An energy services company partners with banks to create a loan scheme for building renovations in a specific region.
• An SME-focused fund is set up to help small businesses invest in energy-efficient equipment, with private investors contributing capital.
• A district heating operator pilots a financing model that combines public and private funds to upgrade infrastructure and integrate renewable energy sources.

• Staff costs directly related to the project
• Subcontracting of technical or financial expertise
• Costs for developing and testing financing schemes
• Expenses for stakeholder engagement and partnership building
• Communication, dissemination, and promotional activities
• Travel and accommodation for project activities
• Purchase or rental of equipment necessary for pilot schemes
• Costs for monitoring, measuring, and reporting project impacts
• Workshops, training sessions, and capacity building events
• Administrative and overhead costs related to the project

Restrictions: Only costs directly related to the project and incurred during its duration are eligible. Some expenses may have limits or require prior approval.

• Co-financing rate: 95%
• Budget for this Call: 7,000,000€
• Maximum value per project: 1,500,000€

• Applicants must follow page limits and formatting as described in the official application guidelines.
• Only applicants from eligible countries may apply (refer to the call document for the list).
• Applications can be submitted by a single applicant or several applicants from one eligible country.
• Applicants must show they have the financial and operational capacity to deliver the project.
• All other conditions described in the call document must be met.
• Projects must be relevant to the objectives of leveraging private finance for energy efficiency and renewables.