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State support for investment in production for a zero-emission economy

26. 3. 2025

Newsletter

bpv BRAUN PARTNERS

On 18 March 2025, the European Commission approved the Czech state aid programme for investments in strategic production sectors in the amount of EUR 960 million (CZK 24 billion), which aims to facilitate the transition to a climate-neutral economy. The programme is one of the Czech state’s responses to the opportunities provided by the temporary crisis and transition framework and, according to the Commission, it is an appropriate and proportionate step to accelerate the environmental transition and facilitate the development of certain economic activities that are important for the implementation of the Clean Industrial Deal.

State aid will therefore be directed towards supporting investments in the production of batteries, windmills, heat-pumps, solar, electrolysers, carbon capture and storage technologies, as well as key components designed and primarily used as direct inputs in the production of these devices or for the production of related critical raw materials necessary for their production.

Support in the case of this scheme will be in the form of direct subsidies; the provider will be the Ministry of Industry and Trade. The subsidies will be addressed to enterprises of all sizes. The MIT will, of course, must comply with maximum financial limits when granting support, to verify that the support will incentivise the production of appropriate equipment for the transition to a climate-neutral economy. The support is time-bound till the end of this year.

The Commission concludes that the Czech scheme is necessary, appropriate and proportionate to accelerate the Green Deal and facilitate the development of certain economic activities that are relevant to the implementation of the Clean Industrial Deal. The European Commission decision can be found here.

As soon as the grant call is published, we will inform you further.

This material is for general information on current topics only, it is not advice. It does not take into account any special circumstances, financial situations or special requirements of the addressees. Recipients should therefore always seek appropriate professional services for the information provided. Notwithstanding the careful compilation of this material, bpv Braun Partners s.r.o. advokáti, its partners, associates or co-operating solicitors and tax advisers cannot guarantee the accuracy or completeness of the information contained herein and accepts no responsibility for acting or refraining from acting on the basis of the information contained in this material.

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