The European Commission has unveiled the Clean Industrial Deal Framework (CISAF), a long-term state aid strategy designed to accelerate clean energy, industrial decarbonisation, and net-zero tech manufacturing across the EU. Replacing the Temporary Crisis and Transition Framework, CISAF will remain in force through 2030, offering regulatory stability to businesses and Member States pursuing ESG and carbon neutral strategy objectives. 

CISAF simplifies and expedites aid approvals for clean energy deployment, low-carbon fuels like green hydrogen, and grid flexibility solutions. It supports renewable expansion by streamlining procedures for renewable, hydrogen, and decarbonisation projects—especially in sectors that are difficult to abate. 

To ensure EU competitiveness, energy-intensive industries facing global market pressure will be eligible for electricity cost relief—but only if they reinvest savings into decarbonisation efforts, reinforcing the bloc’s environmental priorities. 

The framework is also technology-neutral, allowing aid for electrification, biomass, hydrogen, and carbon capture initiatives. Funding can come via predefined aid ceilings (€200 million), funding gap approaches, or competitive bidding processes. Clean tech manufacturing under the Net-Zero Industry Act—such as solar, batteries, and critical raw materials—will be prioritized, with support mechanisms to prevent offshoring. 

CISAF includes provisions for regional equity, enabling enhanced aid for projects in economically disadvantaged regions. Tax incentives, such as accelerated depreciation for green tech investments, further incentivize business participation. 

To unlock private capital, the framework permits public financial tools like equity, loans, and guarantees to de-risk investments in sustainable infrastructure and circular economy projects. These instruments can be managed via funds or dedicated special purpose vehicles (SPVs). 

By aligning EU state aid rules with its climate ambitions, CISAF reinforces the continent’s leadership in sustainable industry and clean energy—delivering a significant boost to ESG integration and the EU’s carbon neutral strategy through 2030. 

Source : 

https://esgnews.com/eu-adopts-new-state-aid-framework-to-accelerate-clean-industrial-development-through-2030/