Financial support is available through various EU programmes and instruments aimed at assisting Member States in supporting EU policy implementation and initiating associated investments.
European Energy Efficiency Fund (EEE F)
The Fund was launched on 1st July 2011 with a global volume of EUR 265 million, providing tailor-made debt and equity instruments to local, regional and (if justified) national public authorities or public or private entities acting on their behalf. EEE F aims at financing bankable projects in energy efficiency (70%), renewable energy (20%) and clean urban transport (10%) through innovative instruments and in particular promoting the application of the EPC. A technical assistance grant support (EUR 20 million) is available for project development services (technical, financial) linked to the investments financed by the Fund.
Intelligent Energy – Europe
The Intelligent Energy – Europe Programme II (IEE II) focuses on removal of non-technological barriers to energy efficiency and renewable energy market uptake26. Under the 2007-2013 programming period, EUR 730 million is available. The IEE helps creating favourable market conditions, shaping policy development and implementation, preparing the ground for investments, building capacity and skills, informing stakeholders and fostering commitment. This also includes projects on financing energy efficiency in public buildings.
Launched in 2009 under IEE II, this initiative provides technical assistance grants (of up to 90% of eligible costs) to local and regional authorities for development and launch of sustainable energy investments over their territories. The EU support is conditional to investments induced with a minimum leverage of 1:20. It consists of 4 operational windows with the EIB, KfW, CEB and EBRD. So far, some EUR 31 million assigned to 17 projects should trigger investments nearing EUR 1.6 billion, within the 3-year duration of ELENA contracts. About a third of these investments addresses the buildings sector and EPC and a third is allocated to urban transport projects. ELENA Facility enables the financing of investments both by private and public sources and facilitates connection with financial instruments (such as Jessica).
Mobilising Local Energy Investments (MLEI)
MLEI is also a Project development assistance addressing projects between EUR 6 million and EUR 50 million, run through annual call for proposals managed by the Executive Agency for Competitiveness and Innovation (EACI).
Under the current financing period (2007-2013), EU Cohesion policy funding has increasingly focused on investments in energy efficiency and renewables, in line with the Europe 2020 Strategy for smart, sustainable and inclusive growth and the 20% energy efficiency target. The planned funding allocations in the 2007-2013 Cohesion Policy programmes for sustainable energy investments amounts to about EUR 9.4 billion, of which approximately EUR 5.1 billion is targeted at improving energy efficiency.
Under the Joint European Support for Sustainable Investment in City Areas (JESSICA) initiative, Member States are offered the possibility to invest some of their Structural Funds allocations in financial engineering instruments (revolving funds) supporting urban development. These financial instruments (so-called Urban Development Funds) invest in public-private partnerships and other projects included in integrated plans for sustainable urban development.
Under the current EU Research & Development Framework Programme (FP7 2007- 2013), about EUR 2.3 billion is dedicated to energy-related research. Most of this budget is used to support research, technological development and demonstration projects through the annual Calls for Proposals.