Joint Letter Urges Ring-Fence for Horizon Europe Clean Tech Call for Renewables and Storage

Europe has made remarkable progress in renewable energy. In 2024, nearly half of the continent’s electricity came from renewables. But despite this milestone, the pace of growth still isn’t fast enough to meet Europe’s climate, competitiveness, and energy security ambitions.

That’s why leading voices in Europe’s renewable energy and storage industries have signed a joint letter urging the European Commission to ring-fence Horizon Europe’s upcoming “Clean Tech for Climate” call. Their message is clear: if Europe wants to lead the clean energy race, it must back its innovators with targeted funding.

What’s New: The Horizon Europe 2026–27 Work Programme

The European Commission’s Horizon Europe programme for 2026–27 will include a dedicated “Clean Tech for Climate” call. The aim? To bring “fit-for-deployment” clean energy innovations to market and help startups and scaleups cross the infamous “valley of death” between R&D and commercialization.

The joint letter welcomes this step but insists on a safeguard:
The call should be ring-fenced exclusively for renewable energy and storage technologies.

Without this focus, funding risks being spread too thin across other technologies—leaving Europe’s most competitive sectors underfunded.

Why Renewables and Storage Deserve a Ring-Fence

1. Closing the Innovation Gap

Reports like the Draghi Report and the Clean Industrial Deal have highlighted a worrying truth: Europe is falling behind international competitors in renewable and storage innovation. Without targeted funding, Europe risks losing both technological leadership and energy independence.

2. Building a Competitive Clean Industrial Deal

Europe’s Clean Industrial Deal sets bold goals, but they cannot be achieved without a strong renewable and storage industry. By prioritizing funding, Horizon Europe can directly fuel:

• New industrial capacity in Europe.

• More resilient energy systems.

• Jobs in manufacturing, research, and deployment.

3. Addressing the Funding Gap

Right now, less than 5% of Innovation Fund support goes to renewable energy and storage demonstration projects. The bulk of funding has instead been absorbed by Carbon Capture and Storage (CCS) projects. The result? A funding gap that holds back Europe’s most scalable and cost-competitive technologies.

Linking Research to Deployment: From Horizon Europe to the Innovation Fund

One of the most important aspects of the “Clean Tech for Climate” call is that it creates a pipeline from research and innovation to deployment. By linking Horizon Europe projects to the Innovation Fund, Europe can accelerate the commercialization of promising technologies—ensuring breakthroughs don’t remain trapped in labs.

This approach could transform Europe’s research strength into industrial strength. But only if renewables and storage get the funding priority they need.

The Case for Urgency

• Europe is already generating 50% of its electricity from renewables, but fossil fuels still dominate heating, transport, and industrial energy use.

• International competition, especially from the U.S. Inflation Reduction Act and China’s state-led investments, is intensifying.

• Without focused EU investment, Europe risks becoming dependent on imported technologies instead of exporting them.

The joint letter argues that ring-fencing Horizon Europe calls for renewables and storage is not protectionism—it’s strategic foresight.

Conclusion:

The joint letter closes with a simple but powerful appeal:
Ring-fence Horizon Europe’s Clean Tech for Climate call for renewable energy and storage.

This isn’t just about technology. It’s about Europe’s economic competitiveness, climate leadership, and energy security.

Q1: What is the Horizon Europe “Clean Tech for Climate” call?
It’s part of the Horizon Europe 2026–27 Work Programme, designed to support advanced clean energy technologies ready for market deployment.

Q2: Why is ring-fencing funding necessary?
Because renewables and storage risk being underfunded when competing with other technologies like CCS.

Q3: What is the innovation gap in renewable energy?
Europe leads in research but lags in turning innovations into commercial projects compared to the U.S. and China.

Q4: How much Innovation Fund support goes to renewables today?
Less than 5% has gone to renewable or storage demonstration projects, according to industry data.

Q5: How does this impact European citizens?
Stronger renewables and storage industries mean lower energy bills, fewer imports, and more local jobs.