EU catalyst partnership.
Date: 2021-11-02
Institutions: Directorate-General for Research and Innovation
Subjects: biogas, financing method, green economy, innovation, new technology, supply chain, sustainable development

2 November 2021

JOINING FORCES FOR AN INNOVATIVE GREEN FUTURE

The EU-Catalyst partnership will support innovative green technologies, drive down the 
cost of green alternatives, and create markets and supply chains for sustainable solutions.

FOUR AREAS

Clean hydrogen 

CO2

Direct air capture

Production of hydrogen using 
methods that substantially reduce
carbon emissions

Reducing overall CO2 by capturing CO2 
directly from the ambient air and storing 
it permanently

Sustainable  
aviation fuels

Long-duration 
energy storage

Production of low-carbon jet fuel,
for example by using bio-food waste,
wood waste, or algae

Storage of energy in a system that 
can discharge electricity over time for 
extended durations 

In all four areas, the partnership will help to accelerate deployment of large-scale, innovative first-
of-a-kind solutions. Projects are to develop, test and operate the installations at industrial scale.

KEY FIGURES

1:1 risk sharing

$1bn / €820m mobilised

1:3 leverage

The EU and Breakthrough 
Energy Catalyst share the risk. 
Grants and investments will be 
matched 1:1.

The EU and Breakthrough 
Energy Catalyst will together 
mobilise $1bn / €820m for a 
minority stake in the project.

Projects will at least match that 
with their own contribution.

The EU-Catalyst partnership will 
provide up to 50% of the 
required financing. The projects 
need to raise at least 50% 
themselves. 

So for each euro from the EU 
budget, the partners will raise 
at least 3 euros themselves.

WHAT WILL BE FUNDED AND HOW?

The  EU-Catalyst  partnership  offers  different  forms  of  finance  to  close  the  financing  gap  of  a 
project. This includes grants and other types of investments, such as quasi-equity, equity and 
contract subsidies, for example companies committing to purchase the resulting green products.

This will reduce the costs, for both producer and consumer, for the green technology.

Examples

Context
An airline buys sustainable 
aviation fuel, which meets the 
desired safety and quality 
standards.

Challenge
These fuels are more expensive 
than conventional fuels.

Benefits
By paying more for the fuel, the 
airline:
• reduces its carbon footprint;
• can test sustainable aviation 
  fuel performance in real-life 
  situations;
• attract green-conscious 
  customers;
• respect emission targets.

Context
Steel production requires 
a lot of energy.

Challenge
Hydrogen is more 
expensive than coal.

Benefits
By using renewable hydrogen, 
the producer:
• reduces the carbon footprint;
• acquires critical knowledge for
  a low-carbon operation;
• meets customer  demand;
• ensures long-term viability of 
  site operations;
• improves environmental profile 
  of operations.

HOW TO APPLY

During  2022-26,  Breakthrough  Energy  Catalyst  will  launch  requests  for  proposals  in  the  four 
focus areas. Proposals will be evaluated against ambitious criteria, including: scalability, impact 
and path to economic viability. 

Breakthrough Energy Catalyst will select and propose potential projects to the EIB. The EIB will 
assess those based on agreed processes and rules, in relation to the Horizon Europe and the 
Innovation Fund funding contributions. The assessment and the decision to use EU funds will be 
independent from that of Breakthrough Energy Catalyst.

© European Union, 2021
Reuse is authorised provided the source is acknowledged. The reuse policy of European Commission documents is regulated by Decision 
2011/833/EU (OJ L 330, 14.12.2011, p. 39). For any use or reproductionof elements that are not owned by the European Union, permission 
may need to be sought directly from the respective rightholders. 
All images © European Union unless otherwise stated. 

PDF

ISBN 978-92-76-42838-1

doi:10.2777/130762

KI-07-21-046-EN-N