This is the largest disbursement to date via the Modernisation Fund, bringing the total spending to €12.65 billion since January 2021. These investments help Member States to meet their climate and energy targets and contribute to the EU's long-term target of reaching climate neutrality by 2050.

The Member States benefitting from the first disbursement of 2024 are Romania (€1.095 billion), Bulgaria (€65.2 million), Croatia (€52 million), Czechia (€835.2 million), Estonia (€24.1 million), Hungary (€76.8 million), Latvia (€26.8 million), Lithuania (€59 million), Poland (€697.5 million) and Slovakia (€35 million). The projects supported today focus on renewable electricity generation, use and deployment of renewable energy sources, modernisation of energy networks and energy efficiency.

Examples of proposals that have received funding today include:

  • reinforcement of the electricity transmission grid to support renewables integration in Bulgaria;
  • deployment of photovoltaic and energy storage capacity for public water service providers in Croatia;
  • support to households for the acquisition and installation of new photovoltaic systems in Czechia;
  • improving energy efficiency and promoting renewable energy use in public sector buildings in Estonia;
  • modernisation and development of renewable energy-based district heating systems in Hungary;
  • use of renewable energy sources in multi-apartment buildings, public buildings, and energy communities in Latvia;
  • development of storage capacities to balance energy systems in Lithuania;
  • upgrading of heavy-duty transport charging infrastructure in Poland;
  • contract-for-difference support schemes for the production of electricity from renewable sources in Romania;
  • production of renewable hydrogen and highly efficient co-generation in Slovakia.

The next deadlines for Member States to submit investment proposals for potential support by the Modernisation Fund are 13 August 2024 for non-priority proposals, and 10 September 2024  for priority proposals.

Funded by revenues from the auctioning of emission allowances under the EU's Emissions Trading System, the Modernisation Fund aims to support thirteen lower-income Member States in their transition to climate neutrality. The beneficiary Member States are Bulgaria, Croatia, Czechia, Estonia, Hungary, Latvia, Lithuania, Poland, Romania and Slovakia, as well as Greece, Portugal and Slovenia which became eligible for Modernisation Fund support as of January 2024, under the revised EU Emissions Trading System (EU ETS).

The Modernisation Fund supports investments in the generation and use of energy from renewable sources, energy efficiency, energy storage, modernisation of energy networks, including district heating, pipelines and grids, and just transition in carbon-dependent regions.