The Clean Industrial Deal: A joint roadmap for competitiveness and decarbonization 

The Clean Industrial Deal (CID) represents a significant and commendable effort to tackle the challenges facing European energy-intensive industries today: unfair global competition and the urgent need for rapid decarbonization. We welcome its additional focus on scaling up the clean-tech sector, recognizing that clean/low-carbon technologies are not only key enablers of industrial decarbonization but also essential pillars of Europe’s net-zero economy.  

The CID recognizes that the Green Deal objectives are European assets to be actively leveraged rather than a burden to bear. However, to ensure the CID is truly effective in achieving its goals, certain aspects require further refinement. We outline key recommendations to strengthen its impact and deliver the necessary support for a competitive and decarbonized European industrial base, see this document for Bellona Europa’s full analysis here.

Broad Coalition Pushes for an Ambitious Clean Industrial Deal

On February 5th, a coalition of 39 industry leaders and civil society organizations called on the European Commission to advance a robust Clean Industrial Deal. A central priority in this effort is the deployment of carbon capture and storage (CCS), which is essential for reaching climate neutrality by 2050. The coalition’s letter underscores the need for targeted policy, infrastructure, and funding measures to accelerate CCS deployment and ensure a just transition for European industries.

«This letter is important as it shows support across sectors, with a varied group of signatories. This shows the strong support of efforts to ensure CCS’ inclusion and prioritization in the upcoming Clean Industrial Deal.»

Lina Strandvåg Nagell

Deputy Director & Head of Policy

Ensuring Effective State Aid for the Clean Industrial Deal

Referencing the launch of the Clean Industrial Deal, the accompanying Clean Industrial State Aid Framework (CISAF) sets out how Member States can design state aid measures to support its objectives. While Bellona Europa strongly supports the dedicated state aid measures supporting the implementation of the Clean Industrial Deal, we warn that guidelines for aid must be fit for purpose. There are still uncertainties and gaps in the current draft in need of revising to ensure effective state aid reaching the aims of the CID, and safeguarding its climate integrity,  

Specifically, Bellona Europa’s comments focus on how to best safeguard the proposed aid’s positive impact on climate change mitigation. This includes, but is not limited to, reviewing the necessity of thresholds proposed, the clear separation of CCS and CCU activity and in determining their climate impact, and added clarity throughout the document to strengthen its long-term durability. Bellona Europa outlines its recommendations in this document here.

«The Clean Industrial Deal must tackle the major EU’s investment challenge by driving decarbonization and innovation. The future European Competitiveness Fund should be the financial backbone of a green industrial strategy, scaling up domestic clean tech manufacturing in key sectors like batteries and clean fuels for aviation and shipping. Beyond the next EU budget, the CID must secure substantial new funding to close the investment gap through 2030.»

Francesco Lombardi Stocchetti

Policy Advisor, Sustainable Finance & Economy

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