EU expands coal and steel mining research fund to accelerate steel decarbonization process
The European Council announced that it has developed a common approach to the reform of the Coal and Steel Research Fund (RFC), approving a package of two Council decisions aimed at accelerating and simplifying investments in research and innovation in the coal and steel sectors.
The program has been extended until 2034 with funding of 800 million euros.
According to the Council's position, the duration of the program will be extended until 2034, and not until 2030, as originally proposed by the European Commission. The annual financial allocation will be distributed evenly, which will allow for investments of up to 120 million euros per year.
Overall, the reform is expected to raise about 800 million euros to fund research and innovation over a long period.
Increased focus on decarbonization and competitiveness
The revised structure clarifies the fund's objectives, focusing more on improving competitiveness, supporting the decarbonization of the European steel industry, and ensuring a fair transition in coal-producing regions.
The co-financing rates will be aligned with the European Horizon Europe program. Industrial participants will be eligible to receive up to 70% of EU funding, while small and medium-sized enterprises, start-ups and academic institutions can receive up to 100% support.
The reform also aims to simplify access to EU financing and increase the attractiveness of the fund, while promoting closer integration with other EU instruments such as the Innovation Fund and Horizon Europe.
Entry into force is expected in 2027.
The final adoption of the revised legal framework requires the consent of the European Parliament on one decision and consultations on the other.
Following the completion of the procedural steps and publication in the Official Journal of the EU, the reformed coal and steel Research Fund is expected to enter into force in January 2027.
Author: SteelOrbis Editorial Team
Steelorbis.com