BMWK opens new funding window for industrial climate protection projects

05.03.2025

Source: E & M powernews

The Federal Ministry for Economic Affairs and Energy (BMWK) has published the second call for funding for the Federal Funding Program for Industry and Climate Protection (BIK). Project ideas are expected by May 15, 2025.

The second funding round of the BIK program was published in the Federal Gazette on 28 February 2025. The call applies to sub-module 2 of module 1 and promotes investments in the electrification of industrial processes and the use of hydrogen and hydrogen-based fuels. The Competence Center for Climate Protection in Energy-Intensive Industries (KEI), which is responsible for implementation, referred to this on 4 March 2025. The KEI is a division of Zukunft-Umwelt-Gesellschaft (ZUG) gGmbH.

The funding is based on the EU Commission's Temporary Crisis and Transition Framework (TCTF), which aims to accelerate investment in green technologies. The maximum funding amount is 200 million euros per project. Industrial companies with production facilities in Germany that want to reduce their CO2 emissions by at least 40 percent are eligible to apply. Companies in the basic materials industry such as steel, chemical or cement producers are particularly targeted, but other branches of industry can also benefit.

Ideas for decarbonization in demand

The annual funding competitions call for industrial projects for decarbonization, for example through electrification or conversion to renewable hydrogen, as well as projects for the capture, storage and use of CO2 (CCU and CCS). The individual funding conditions are set out in the funding guidelines and the funding calls for the two funding modules.

In Module 1, which is managed by the KEI, decarbonization projects in sub-module 2 are eligible for funding of up to 200 million euros. In Module 2, which is managed by Project Management Jülich (PtJ), CCS/CCU projects are eligible for funding, including investment projects with up to 30 million euros and industrial research projects with up to 35 million euros. All information is available on the KEI website in the "Funding" section.

BIK funding complements the instrument of climate protection contracts and is specifically aimed at SMEs. Projects from 500,000 euros for small and medium-sized enterprises (SMEs) and from one million euros for large companies are eligible for funding. Projects with a volume of more than 15 million euros require 30 percent co-financing from the federal states.

Application workshop on April 9

To support applicants, the KEI is offering a digital information event on April 9, 2025. Companies will receive detailed information on the funding process, requirements and how to apply.
The BMWK is also planning further calls for funding for the remaining BIK sub-modules. Following the evaluation of the first funding round, possible adjustments will be made in order to make the funding even more targeted. The current funding round is based on the TCTF requirements under state aid law, according to which funds must be approved by December 31, 2025 at the latest.

The BIK call for funding is available for download as a PDF.

Author: Susanne Harmsen