Emission Trading Scheme in support of low-carbon transition of the EU energy system and industry
A reduction of greenhouse gas emissions in the EU by at least 40% by 2030 (compared to 1990 levels) is one of the targets agreed by the European Council. The European Union is already a front-runner in innovative renewable energy technologies, with 30 % of the world’s patents. Funding first-of-the-kind innovative technologies remains a key challenge as they entail a high risk for the private sector.
The European NER 300 programme has been one of the world's largest funding programmes for the demonstration of innovative low carbon technologies on a commercial scale. Its continuity and expansion to energy intensive industry is ensured by the Innovation Fund, established by the ETS Directive (EU) 2018/410.