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Letter: speeding up the decarbonisation of industry’s heat

Letter: speeding up the decarbonisation of industry’s heat

29 Apr 2026

Industrial heat decarbonisation can be sped up via a regular Innovation Fund Heat Auction with a bigger budget, eight organisations say.

In 2025, the EU Commission launched a €1 billion pilot initiative to accelerate the decarbonisation of industrial process heat. This is the ‘Innovation Fund pilot Heat Auction’, and is funded by revenues from the EU’s Emissions Trading System.

But due to the tight timeline to develop and launch the Auction, many companies did not participate.

As eight organisations write in an open letter to the European Commission, it’s essential to immediately announce a regular call with a higher budget, so the Auction can be used to support meaningful industrial decarbonisation across Europe.

This can be done under the forthcoming EU electrification action plan, which is expected in June. 

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