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Call: Electricity, Gas, Smart Grids and CO₂ networks - Works

Programme
Acronym CEF-E
Type of Fund Direct Management
Description of programme
"Connecting Europe Facility for Energy"

The Connecting Europe Facility (CEF) for Energy is the EU funding programme to implement the Trans-European Networks for Energy policy. It aims at supporting investments in building new cross-border energy infrastructure in Europe or rehabilitating and upgrading the existing one.

A forward-looking, modern, secure and smart energy infrastructure will be key in delivering the European Green Deal. The Trans-European Networks for Energy (TEN-E) framework will be a key enabler towards the Union’s decarbonisation objectives for 2030 and 2050 while contributing to sector and market integration, security of supply and competition.

The TEN-E policy is focused on linking the energy infrastructure of EU countries. To address the energy infrastructure needs at regional and European level, nine priority corridors and three priority thematic areas have been identified in the TEN-E strategy. The Connecting Europe Facility programme supports the implementation of Projects of Common Interest (PCIs) in these priority corridors and thematic areas.

The three priority thematic areas, which relate to the entire EU, include smart grids deployment, electricity highways, and a cross-border carbon dioxide network.

Smart grids deployment: increase deployment of smart grids to help integrate renewable energy and allow consumers to better regulate their energy consumption

Electricity highways: construction of electricity highways – large grids that allow electricity to be transported over long distances across Europe (e.g. from wind farms in the North and Baltic Seas to storage facilities in Scandinavia and the Alps)

Cross-border carbon dioxide network: development of transport infrastructure for captured CO2 through dedicated thematic groups.

Link Link to Programme
Call
Electricity, Gas, Smart Grids and CO₂ networks - Works
Description of call
"Electricity, Gas, Smart Grids and CO₂ networks - Works"

Scope

This topic refers to projects for works contributing to the implementation of a PCI. Works in the meaning of CEF-Energy include the purchase, supply and deployment of components, systems and services including software, the development, construction and installation activities relating to a PCI, the acceptance of installations and the launching of a PCI.

Only projects contributing to PCIs as identified in the Commission Delegated Regulation 2022/564 shall be eligible for support through EU financial aid in the form of grants.

Pursuant to Articles 14(2) and 14(3) of the TEN-E Regulation, PCIs falling under the categories set out in Annex II.1(a) to (d) and Annex II.2 of the TEN-E Regulation, except for hydro-pumped electricity storage PCIs, are also eligible for EU financial assistance in the form of grants for works if they fulfil all of the following criteria (see also section 5 of Call document for documents to be provided…):

  • the project specific cost-benefit analysis (CBA), consistent with ENTSOG /ENTSO-E methodology and pursuant to Article 12(3)(a) of Regulation (EU) No 347/2013 provides evidence concerning the existence of significant positive externalities, such as security of supply, solidarity or innovation;
  • the PCI has received a legally valid cross-border cost allocation (CBCA) decision pursuant to Article 12 of Regulation (EU) No 347/2013; or, for PCIs falling under the category set out in Annex II.1(c) of Regulation (EU) No 347/2013 and that therefore do not receive a CBCA decision, the PCI shall aim to provide services across borders, bring technological innovation and ensure the safety of cross-border grid operation;
  • the PCI is commercially not viable according to the business plan and other assessments carried out, notably by possible investors or creditors or the national regulatory authority. The decision on incentives and its justification referred to in Article 13(2) of Regulation (EU) No 347/2013 shall be taken into account when assessing the PCI’s commercial viability. The project-specific CBA and the CBCA decision should be included in the application as standalone documents as well as the business plan. The business plan should be complemented with a separate calculation model (financial spreadsheet), as per application form B.

Pursuant to Article 14(4) of of Regulation (EU) No 347/2013, PCIs falling under the categories set out in Annex II.1(e) and 4 of of Regulation (EU) No 347/2013, i.e. "smart grids and crossborder carbon dioxide networks", are also eligible for EU financial assistance in the form of grants for works, if the concerned project promoters can clearly demonstrate the significant positive externalities generated by the PCIs and their lack of commercial viability, according to the business plan and other assessments carried out, notably by possible investors or creditors or, where applicable, a national regulatory authority.

The contents of the supporting documents and whether the proposed project demonstrates evidence concerning the existence of significant positive externalities, namely security of supply, solidarity or innovation; provides services across borders, brings technological innovation and ensures the safety of cross-border grid operation; or is commercially not viable will be assessed during the evaluation under the applicable award criteria.

The proposals requesting grants for works which fail to provide the relevant supporting documents or that provide supporting documents that are not legally valid at the time of their submission or which fail to comply with any of the eligibility criteria indicated above may not be eligible.

Expected Impact

As laid down in Regulation (EU) 347/2013 of the European Parliament and of the Council of 17 April 2013 on guidelines for trans-European energy infrastructure (TEN-E Regulation), PCIs must contribute to at least one of the energy infrastructure priority corridors and thematic areas, feature overall benefits outweighing its costs and meet general and specific criteria in relation to their cross-border impact, market integration, competition, sustainability, security of supply and contribution to the decarbonisation of the energy sector. It is considered that the EU added value of an action related to a PCI is demonstrated by the PCI status itself.

In accordance with Article 20(4) of Regulation (EU) 2021/1153, particular consideration shall be given to PCIs and related projects aimed at further integrating the internal market for energy, ending energy isolation and eliminating electricity interconnection bottlenecks with emphasis on those PCIs contributing to the achievement of the interconnection target of at least 10% by 2020 and 15% by 2030 and PCIs contributing to synchronisation of electricity systems with the EU networks. In line with article 3 (2) b) of Regulation (EU) 2021/1153, this call for proposal puts priority on technologies and PCIs contributing to the decarbonisation of the economy.

It is expected that the financial assistance contributes to further the development and the implementation of PCIs, helping to achieve the broader TEN-E energy policy objectives.

As indicated in section 4 of the Annex to the Multi-annual Work Programme, it is expected that the financial assistance contributes to the further development and implementation of PCIs in electricity, smart grids, gas and cross-border carbon dioxide networks helping to achieve the broader CEF energy policy objectives of:

  • further integration of an efficient and competitive internal energy market,
  • interoperability of networks across borders and sectors,
  • facilitating decarbonisation of the economy, promoting energy efficiency and ensuring security of supply;

In accordance with recital 5 of the CEF Regulation (EU) 2021/1153 and in line with the Multi-annual Work Programme, this call for proposals aims at financing projects contributing to the goals and objectives of the European Green Deal, as well as the Paris Agreement and the 2030 climate and enegy targets and the EU's mid-term and long-term objectives in terms of decarbonisation.

 

Link Link to Call
Thematic Focus Green Technologies & Green Deal, Energy Efficiency & Renewable Energy, Capacity Building, Cooperation Networks, Institutional Cooperation
Funding area EU Member States
Overseas Countries and Territories (OCTs)
Origin of Applicant EU Member States
Overseas Countries and Territories (OCTs)
Eligible applicants Federal State / Region / City / Municipality / Local Authority, International Organization, Small and Medium Sized Enterprises, SMEs (between 10 and 249 employees), Microenterprises (fewer than 10 employees), Public Services, Other, National Government, Start Up Company, Enterprise (more than 250 employees or not defined), Association, University, Education and Training Centres, Research Institution, Lobby Group / Professional Association / Trade Union, NGO / NPO
Applicant details In order to be eligible, the applicants (beneficiaries and affiliated entities) must:
  • be legal entities (public or private bodies)
  • be established in one of the eligible countries, i.e.:
    • EU Member States (including overseas countries and territories (OCTs))
    • non-EU countries:
      • listed EEA countries and countries associated to the CEF Programme or countries which are in ongoing negotiations for an associationagreement and where the agreement enters into force before grantsignature (list of participating countries)

Specific cases:

  • Entities from other countries are exceptionally eligible for projects of common interest in the field of transport, energyand digital and for cross-border projects in the field of renewable energy, if the granting authority considers their participation essential for the implementation of the action.
  • Natural persons are NOT eligible (with the exception of self-employed persons, i.e. sole traders, where the company does not have legalpersonality separate from that of the natural person).
  • International organisations are eligible. The rules on eligible countries do not apply to them.
  • Entities without legal personality under their national law may exceptionally participate, provided that their representatives have the capacity to undertake legal obligations on their behalf, and offer guaranteesfor the protection of the EU financial interests equivalent to that offered by legal persons.
  • EU bodies (with the exception of the European Commission Joint Research Centre) can NOT be part of the consortium.
Further info

Proposal page limits and layout:

  • Part A contains administrative information about the participants
  • Part B contains the technical description of the project
  • mandatory annexes and supporting documents
Page limit - part B: 120 pages
Type of Funding Grants
Financial details

The available call budget for calls CEF-E-2022-PCI-STUDIES and CEF-E-2022-PCI-WORKS is EUR 800,000,000.

The costs will be reimbursed at the funding rate fixed in the Grant Agreement (maximum 50% and maximum 70% for the costs of works in outermost regions).

Submission Proposals must be submitted electronically via the Funding & Tenders Portal Electronic Submission System. Paper submissions are NOTpossible.
Contact Details https://cinea.ec.europa.eu/contact-0_en

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