France 2030: launch of a major aid mechanism to support very large industrial decarbonization projects

This call for tenders aims to support very large industrial projects for the decarbonization of sites subject to the ETS (European Emissions Trading System), which are the largest emitters of greenhouse gases. For example, it will enable the launch of the first French carbon capture and storage (CCS) projects, in accordance with the national strategy published this summer.

France has made the decarbonization of the economy one of the priorities of the France 2030 investment plan. This ambition is part of a European and international dynamic with the Paris Agreement and the Fit for 55 legislative package, the objective of which is to reduce the emissions of the Member States of the European Union by 55% in 2030 compared to their 1990 level.

In this context, the call for tenders for major industrial decarbonization projects (AO GPID), operated on behalf of the State by ADEME, was designed to support the deep decarbonization of industrial sites while making them more resilient in the long term, in particular by limiting their exposure to the price of fossil fuels or that of carbon.

This system has just been validated by the European Commission and is backed by the Guidelines on State aid for climate, environmental protection and energy (LDACEE), which required a prior public consultation. An AMI was organized for this purpose over the period from June to September 2024, which made it possible to identify the projects that could be submitted to the GPID AO.

The targeted decarbonization projects consist of the implementation of one or more technological levers of sufficient maturity to reduce GHG emissions from the industrial sites concerned, in particular electrification, improvement of energy efficiency, modification of the energy mix or the material mix, and carbon capture and storage (CCS) or capture and utilization (CCU). To be eligible, a project must represent a total aid amount greater than or equal to 20 million euros.

The subsidies granted make it possible to cover over a period of 15 years the additional costs of major deep decarbonization projects, which are virtuous but not profitable in the short and medium term. The selection consists of putting the projects in competition via an auction mechanism based in particular on the effectiveness of public aid in reducing GHG emissions.

The closing of the system (the auction phase) will take place on May 15, 2025 (14:00 p.m.). The specifications of the AO GPID system are available at the following link:

https://agirpourlatransition.ademe.fr/entreprises/aides-financieres/20241219/appel-doffres-grands-projets-industriels-decarbonation-2024

Applications must be submitted on the ADEME AGIR platform.

Other calls for projects have just been launched or are to come

Another mechanism, complementary to the GPID call for proposals, has just been published: the DECARB IND 2025 call for projects. Operated on behalf of the State by ADEME, this mechanism aims to reduce GHG emissions from industrial sites via the following themes: energy efficiency, modification of the energy and material mix, carbon capture, recovery and storage. It is aimed at any industrial site and medium-sized projects, allowing a reduction in GHG emissions of more than 1.000 tCO₂eq per year. Projects must present investments greater than 3 million euros, and a request for aid of less than 30 million euros.

Other calls for projects will also be relaunched to support the pace of investment by manufacturers.