Objectives

  • Promote innovative and sustainable EV battery cell production processes.
  • Reduce GHG emissions across the battery manufacturing lifecycle.
  • Enhance the EU’s industrial capacity and reduce dependency on external suppliers.
  • Contribute to the EU’s climate neutrality target by 2050.

Eligible Activities

Manufacturing of EV battery cells.

Optionally, integration of upstream component production, such as: 

  1. Cathode precursor material (pCAM),
  2. Cathode active material (CAM),
  3. Anode active material (AAM),
  4. Electrolyte and separator.
  5. Battery or battery material recycling

Ineligible activities include battery assembly, mining, and battery application production (e.g., vehicle manufacturing).

Funding Details

  • Total Budget: €1 billion.
  • Grants: Cover up to 60% of eligible costs.
  • Payments: 
    • Up to 40% pre-operational funding,
    • Remaining payments linked to GHG savings and operational milestones.

Eligibility

  1. Applicants: Legal entities in EU Member States, Norway, Iceland, and Liechtenstein.
  2. Projects must:
    • Be located in eligible countries,
    • Achieve financial close within 4 years of grant signature,
    • Have CAPEX exceeding €2.5 million,
    • Align with the call’s objectives and methodologies.

Evaluation Criteria

  1. Degree of Innovation: Breakthrough technologies or significant improvements.
  2. GHG Emission Avoidance Potential:
    • At least 50% relative GHG avoidance for most projects,
    • At least 75% relative GHG avoidance for pilot projects.
  3. Cost Efficiency: Grants per ton of CO₂ avoided must align with the call’s benchmarks.
  4. Project Maturity: Demonstration of technical, financial, and operational readiness.
  5. Replicability and Scalability: Projects must demonstrate potential for deployment across regions or sectors.
  6. Security of Supply: Reduce reliance on external raw material sources.

Timeline

  1. Call Launch: December 2024.
  2. Application Deadline: April 2025.
  3. Evaluation Period: April–September 2025.
  4. Grant Signature: September 2025–January 2026.

Expected Impact

  1. Strengthen Europe’s leadership in sustainable battery production and recycling.
  2. Create high-quality jobs and stimulate economic growth in green technology sectors.
  3. Enhance supply chain resilience by reducing reliance on non-European materials.
  4. Deliver significant GHG emission reductions across the battery lifecycle.