{"id":4304,"date":"2026-10-06T10:15:29","date_gmt":"2026-10-06T08:15:29","guid":{"rendered":"https:\/\/ibsh.hu\/?page_id=4304"},"modified":"2026-10-06T10:17:28","modified_gmt":"2026-10-06T08:17:28","slug":"innovation-fund-2026-heat-auction","status":"publish","type":"page","link":"https:\/\/ibsh.hu\/en\/innovation-fund-2026-heat-auction\/","title":{"rendered":"Innovation Fund 2026 Heat Auction"},"content":{"rendered":"
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EUR 1 Billion for the Decarbonisation of Industrial Heat<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/p>\n\n

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Innovation Fund
2026 Heat Auction<\/h1>\n\n

Planning to reduce fossil fuel use in industrial heat production? The Innovation Fund 2026 Heat Auction may provide EUR 100\u2013250 million in funding per project<\/strong> for electrified, direct renewable or innovative nuclear heat generation investments.<\/p>\n\nMegn\u00e9zem nekem sz\u00f3l-e<\/strong><\/a>\n<\/div>\n<\/div>

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Innovation Fund 2026 Heat Auction<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/h2>\n\n
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Companies planning to decarbonise industrial heat production<\/strong> may have access to a significant new EU funding opportunity under the Innovation Fund 2026 Heat Auction (IF26 Heat Auction)<\/strong>. With a planned budget of EUR 1 billion<\/strong>, the scheme is particularly relevant for industrial companies considering investments to replace fossil fuel-based heat generation with electrified technologies, direct renewable heat or eligible innovative nuclear solutions.<\/p>\n\n

For potential applicants, the Innovation Fund 2026 Heat Auction<\/strong> can support sizeable industrial investments: projects must have a minimum CAPEX of EUR 2.5 million<\/strong>, while maximum support can reach EUR 100\u2013250 million per project<\/strong>, depending on the applicable temperature category. The programme is open to industrial sectors across the European Economic Area, subject to the relevant technological, geographical, capacity and project maturity requirements.<\/p>\n\n

Unlike conventional investment grants, however, securing support will depend not only on project eligibility and technical readiness. The scheme operates through a competitive auction mechanism<\/strong>, under which applicants determine their requested support premium in EUR\/MWhth. Projects are then ranked primarily according to the resulting EUR\/tCO\u2082 emission reduction cost<\/strong>, taking into account any applicable 25% bid bonus.<\/p>\n\n

This makes early financial and technical preparation particularly important. Companies considering an application should assess not only whether their planned technology and capacity are eligible, but also whether the project can achieve the required level of maturity and support a competitive yet financially sustainable bid<\/strong>.<\/p>\n\n

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Call information<\/strong><\/strong><\/strong><\/td>Key details<\/strong><\/strong><\/strong><\/td><\/tr>
Programme<\/strong><\/strong><\/strong><\/td>Innovation Fund 2026 Heat Auction (IF26 Heat Auction)<\/td><\/tr>
Objective<\/strong><\/strong><\/strong><\/td>Decarbonisation of industrial heat production<\/td><\/tr>
Planned budget<\/strong><\/strong><\/strong><\/td>EUR 1 billion<\/strong><\/td><\/tr>
Project location<\/strong><\/strong><\/strong><\/td>European Economic Area (EEA)<\/td><\/tr>
Form of support<\/strong><\/strong><\/td>Non-repayable, output-based fixed premium<\/td><\/tr>
Support period<\/strong><\/strong><\/td>Up to 5 years following Entry into Operation<\/td><\/tr>
Minimum CAPEX<\/strong><\/strong><\/td>EUR 2.5 million<\/strong><\/td><\/tr>
Minimum new heat capacity<\/strong><\/strong><\/td>3 or 5 MWth depending on the temperature category<\/td><\/tr>
Maximum support<\/strong><\/strong><\/td>EUR 100\u2013250 million per project depending on the category<\/td><\/tr>
Planned opening of the call<\/strong><\/strong><\/td>December 2026<\/strong><\/td><\/tr>
Planned application deadline<\/strong><\/strong><\/td>February 2027 \u2013 the exact date will be determined by the official Call for Proposals<\/td><\/tr><\/tbody><\/table><\/div>\n<\/div>\n<\/div>\n\n
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<\/path><\/svg><\/span>Objective of the Innovation Fund 2026 Heat Auction<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/h4>\n<\/div>\n\n

The programme aims to achieve the cost-effective reduction of direct greenhouse gas emissions resulting from the generation of industrial process heat<\/strong>, i.e. heat required for industrial production processes.<\/p>\n\n

Support may be available for the decarbonisation of heat used in industrial processes such as drying and evaporation, steam generation, heating of raw materials or products, melting, heat treatment and chemical reactions<\/strong>. The scheme may therefore be relevant to production processes in industries including plastics, glass, metals, paper, food and chemicals.<\/p>\n\n

The call is open to all industrial sectors, provided that the project meets the applicable technological, geographical and minimum project size requirements.<\/p>\n\n

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<\/path><\/svg><\/span>Who can apply and what types of projects are eligible?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/h4>\n<\/div>\n\n

Projects must be implemented within the European Economic Area (EEA)<\/strong>. Support can be requested for the installation of new eligible industrial heat generation capacity.<\/p>\n\n

The new heat generation capacity must be installed at a single physical location<\/strong>. The capacities of multiple units located at the same site may be aggregated, but virtual aggregation of capacities across different sites is not permitted.<\/p>\n\n

The project’s total investment cost, or CAPEX, must amount to at least EUR 2.5 million<\/strong>.<\/p>\n\n

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<\/path><\/svg><\/span>Which technologies are eligible?<\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/strong><\/span><\/h4>\n\n

The Innovation Fund 2026 Heat Auction<\/strong> supports three main groups of technologies.<\/p>\n\n

Electrification of industrial heat production<\/strong><\/strong><\/h5>\n\n

Eligible technologies may include:<\/p>\n\n