The European Commission published final terms for a €1 billion auction to decarbonize industrial process heat. This initiative provides subsidies to projects replacing fossil fuels with cleaner technologies. Revenues from the EU Emissions Trading System fund the program.
The auction targets manufacturing sectors including chemicals, steel, pulp and paper, and food and beverage. Eligible technologies encompass heat pumps, solar, and geothermal sources. For the first time, the program includes nuclear technologies such as small modular reactors.\n The initiative aims to stimulate investment in homegrown clean energy and meet EU industrial goals. Officials expect to select successful bidders starting in early December 2026.