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Call key data
Electricity, Gas, Smart Grids, Hydrogen and CO₂ networks - Works
Funding Program
Connecting Europe Facility for Energy
Call number
CEF-E-2024-PCI-PMI-WORKS
deadlines
Opening
30.04.2024
Deadline
22.10.2024 17:00
Funding rate
50-75%
Call budget
€ 850,000,000.00
Link to the call
Link to the submission
Call content
short description
The objective is to support and contribute to the implementation of PCIs and PMIs.
Call objectives
This topic refers to projects for works contributing to the implementation of a PCI or a PMI. 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 the eligible infrastructure items of a given PCI or PMI, the acceptance of installations and the launching of a project.
In particular, specific provisions apply in relation to, inter alia, the existence of significant positive externalities, a cross-border cost allocation decision, and the project’s inability to be financed by the market or through the regulatory framework. Specific co-funding rates may also apply according to the level of demonstrated positive externalities of the action.
Only projects contributing to PCIs and PMIs as identified in the Commission Delegated Regulation 2022/564 (the PCI and PMI list) shall be eligible for support through EU financial aid in the form of grants.
Pursuant to Article 18(2) and (3) of the TEN-E Regulation (EU) 2022/869, PCIs/PMIs falling under the categories set out in Article 24 (derogation for gas interconnections in Cyprus and Malta) and in Annex II, point (1)(a), (b), (c), (d) and (f) (electricity projects, except for smart electricity grids) and point (3) (hydrogen projects), are also eligible for Union financial assistance in the form of grants for works if they fulfil all of the following criteria:
- the project specific cost-benefit analysis drawn up pursuant to Article 16(4), point (a), of the TEN-E Regulation provides evidence concerning the existence of significant positive externalities, such as security of supply, system flexibility, solidarity or innovation;
- the project has received a cross-border cost allocation decision pursuant to Article 16 of the TEN-E Regulation or, as regards projects of common interest falling under the energy infrastructure category set out in point (3) of Annex II (hydrogen projects), where they do not fall under the competence of national regulatory authorities and therefore they do not receive a cross-border cost allocation decision, the project aims to provide services across borders, brings technological innovation and ensures the safety of cross-border grid operation;
- the project cannot be financed by the market or through the regulatory framework in accordance with the business plan and other assessments, in particular those carried out by possible investors, creditors or the national regulatory authority, taking into account any decision on incentives and reasons referred to in Article 17(2) of the TEN-E Regulation when assessing the project’s need for Union financial assistance.
Pursuant to Article 18(4) of the TEN-E Regulation, PCIs/PMIs falling under the energy infrastructure categories set out in Annex II, point (1)(e) (smart electricity grids) and points (2) (smart gas grids) and (5) (carbon dioxide projects), are also eligible for Union financial assistance in the form of grants for works, where the concerned project promoters, in an evaluation carried out by the relevant national authority or, where applicable, the national regulatory authority, can clearly demonstrate significant positive externalities generated by the projects, such as security of supply, system flexibility, solidarity or innovation, and provide clear evidence of their lack of commercial viability, in accordance with the cost-benefit analysis, the business plan and assessments carried out, in particular by possible investors or creditors or, where applicable, a national regulatory authority.
For projects of common interest falling under Article 24 of the TEN-E Regulation (Cyprus and Malta derogation), in addition to the specific criteria set out in Article 19 for Union financial assistance, the interconnections referred in paragraph 1 of the Article shall be designed in view of ensuring access to future energy markets, including hydrogen, shall not lead to a prolongation of the lifetime of natural gas assets and shall ensure the interoperability of neighbouring networks across borders. Any eligibility for Union financial assistance under Article 18 shall end on 31 December 2027. Any request for Union financial assistance for works shall clearly demonstrate the aim to convert the asset into a dedicated hydrogen asset by 2036 if market conditions allow, by means of a roadmap with a precise timeline. The derogation set out in paragraph 1 of the Article shall apply until Cyprus or Malta, respectively, is directly interconnected to the trans-European gas network or until 31 December 2029, whichever is the earlier. 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.
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Expected effects and impacts
As indicated in section 4 of the Annex to the Multi-annual Work Programme (Commission Implementing Decision C(2024) 482), it is expected that the financial assistance contributes to the further development and implementation of PCIs and PMIs helping to achieve the broader TEN-E policy objectives and the 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 energy targets and the EU's mid-term and long-term objectives in terms of decarbonisation.
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Expected results
This topic aims to enable Projects of Common Interest (PCIs) and Projects of Mutual Interest (PMis) to be implemented within the framework of the deployment of trans-European networks in the energy sector. In particular, the call shall contribute to supporting energy infrastructure PCIs and PMIs that have significant socio-economic benefits and ensure greater solidarity among Member States, but which do not receive adequate financing from the market.
Projects supported by this call pursue the goals and objectives of the European Green Deal, as well as the Paris Agreement and the 2030 climate and energy targets and long-term decarbonisation objectives. Therefore, financial assistance provided under this call for proposals should maximise its added value towards decarbonisation of the energy sector. The EU Grid Action Plan underlines the critical importance of electricity grids in the energy transition.
Eligibility Criteria
Regions / countries for funding
Moldova (Moldova), Ukraine (Україна)
eligible entities
Education and training institution, International organization, Non-Profit Organisation (NPO) / Non-Governmental Organisation (NGO), Other, Private institution, incl. private company (private for profit), Public Body (national, regional and local; incl. EGTCs), Research Institution incl. University, Small and medium-sized enterprise (SME)
Mandatory partnership
No
Project Partnership
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))
- third countries associated to the CEF (list of partipating 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.
Financial support to third parties is not allowed.
other eligibility criteria
The costs will be reimbursed at the funding rates fixed in the Grant Agreement (maximum 50% for the costs of studies and works, maximum 70% for the costs of works in outermost regions).
You can apply for a higher project funding rate if your project provides a high degree of regional or EU wide security of supply, strengthens the solidarity of the EU or comprises highly innovative solutions, based on the evidence referred to in Article 14(2) of the TEN-E Regulation (‘security of supply/solidarity/innovation’): 75%
Additional information
Topics
Relevance for EU Macro-Region
EUSAIR - EU Strategy for the Adriatic and Ionian Region, EUSALP - EU Strategy for the Alpine Space, EUSBSR - EU Strategy for the Baltic Sea Region, EUSDR - EU Strategy for the Danube Region
UN Sustainable Development Goals (UN-SDGs)
Additional Information
Proposal page limits and layout:
- Part A to be filled in directly online: contains administrative information about the participants (future coordinator, beneficiaries and affiliated entities) and the summarised budget for the project
- Part B to be downloaded from the Portal submission system, completed and re-uploaded as a PDF in the system (technical description of project)
- mandatory annexes and supporting documents (to be uploaded):
- detailed budget table per Work Package (template available in the Submission System)
- CVs of core project team: not applicable
- Annual activity reports (see call document section 7 for applicability)
- Timetable/Gantt chart
- Agreement by the concerned Member States (Letter of support)
- Environmental compliance file (template available in the Submission System)
- List of previous projects (key projects from the last 4 years) (see call document section 7 for applicability)
- TEN-E compliance form (template available in the Submission System)
- Applicable for works proposals (pursuant to Article 18 of TEN-E Regulation):
- For PCIs and PMIs falling under the categories set out in Article 24 and in point (1)(a), (b), (c), (d) and (f) of Annex II and point (3) of Annex II of the TEN-E Regulation:
- Full project specific cost-benefit analysis (CBA): up-to-date CBA, consistent with ENTSOG/ENTSO-E methodology and pursuant to Article 16(4) point (a) and Article 18(2) point (a) of the TEN-E Regulation;
- Project specific legally valid cross-border cost allocation (CBCA) decision pursuant to Article 16 of the TEN-E Regulation. Applicants should consider as appropriate the CBCA guidance that is already available, for instance the ACER Recommendation No 02/2023 of 22 June 2023 on good practices for the treatment of the investment requests, including Cross Border Cost Allocation requests for PCIs7. As regards hydrogen projects, where they do not fall under the competence of national regulatory authorities and therefore they do not receive a CBCA decision, applicants could submit a confirmation by the relevant National Regulatory Authority (NRA) or any other authority that hydrogen is not regulated in their respective jurisdiction (if a project involves more than one Member State, the confirmation of the one NRA or other authority of the jurisdiction where hydrogen is not regulated is sufficient);
- Business plan and other assessments showing that the project cannot be financed by the market or through the regulatory framework (the business plan could be complemented with a separate financial spreadsheet template provided).
- For PCIs and PMIs falling under the categories set out in point (1)(e) and points (2) and (5) of Annex II of the TEN-E Regulation:
- an evaluation carried out by the relevant national authority or, where applicable, the national regulatory authority by which the project promoter can clearly demonstrate significant positive externalities, such as security of supply, system flexibility, solidarity or innovation, generated by the projects and provide clear evidence of their lack of commercial viability, in accordance with the cost-benefit analysis, the business plan and assessments carried out, in particular by possible investors or creditors or, where applicable, a national regulatory authority;
- Business plan and other assessments carried out and clear evidence of lack of commercial viability (the business plan could be complemented with a separate financial spreadsheet template provided).
- For PCIs and PMIs falling under the categories set out in Article 24 and in point (1)(a), (b), (c), (d) and (f) of Annex II and point (3) of Annex II of the TEN-E Regulation:
Page limit - part B: 120 pages
Call documents
CEF-E-2024-PCI-PMI Works and studies call documentCEF-E-2024-PCI-PMI Works and studies call document(597kB)
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