Recommendations on the proposed new EU funding architecture under the MFF (2028-2034)

Europe’s industrial transition requires a clear and predictable EU funding framework that both overcomes structural financing challenges and mobilises the large-scale investment needed to drive decarbonisation and safeguard industrial competitiveness – as highlighted in both the Draghi and Letta Reports.

Today, the complexity and fragmentation of EU funding programmes – together with prescriptive technological requirements, insufficient funding, and unclear governance – risk slowing the decarbonisation of European industry.

This complexity erodes investor confidence and delays the development of critical, cost-effective solutions such as CCS, low-carbon hydrogen and supporting infrastructure, all essential to achieving EU climate goals.

The EU must establish a pragmatic, technology-neutral, and flexible funding architecture that will accelerate large-scale decarbonisation projects, enhance investor confidence, and strengthen Europe’s industrial competitiveness.

In this context, IOGP Europe welcomes the European Commission’s proposal for a European Competitiveness Fund (ECF) in the post-2027 Multiannual Financial Framework (MFF) and encourages the new funding framework to prioritise clarity of scope, reliance on proven technologies and effective de-risking.

Establishing a coherent funding architecture – built on the principles of technology neutrality, maximisation of the opportunities for blending of different funding instruments, and competitive delivery tools – is essential to crowd in private capital and enable industrial decarbonisation at the scale and pace required.

IOGP Europe calls to strengthen the EU funding architecture proposed under MF.