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Policy Department A: Economic and Scientific Policy ____________________________________________________________________________________________ The potential of new renewable technologies will not be realised without the grid and decisions on where to deploy or test those technologies may also be suboptimal without the appropriate infrastructures. In addition to the funding by the EU budget, the EIB has facilities that are being offered to deploy renewable energy systems. As a banking institution, it does not fund grants for research into new long term future technologies, but is able to provide loans at competitive interest rates for projects which have a considerable risk factor and would not be funded by private financial institutions. These are for example the loans or guarantees mechanisms provided through the Risk Sharing Financing Facility (RSFF) or the Marguerite fund. Those funds could be of particular importance at the point of the deployment of new technologies where there is still a risk factor on their profitability. The EU also lends to SMEs which undertake R&D operations through its European Investment Fund (EIF) facility. The EIF supports the EU’s competitiveness and innovation programme for investments in technological development, innovation (including eco-innovation), technology transfer, and the cross border expansion of business activities. It is venture capital to promote research and development, but this funding is not limited to the area of energy. Nevertheless, the EIF can be used to incentivise the development and adoption of low carbon technologies. There is a need over the next two years, before the next financial perspectives are negotiated, to develop clear policy lines for EU funding, how to “climate proof” interventions so they are in line with EU objectives, and how to ensure that there is a continuous feedback between the technological development in the SET-Plan and the deployment through the different EU support mechanisms. This report also pinpoints the need of green procurement as an important driver in this respect. IP/A/ITRE/ST/2009-11 & 12 116 PE 440.278PDF Image | Policy Department Renewable Technologies
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