“We want to make enterprises operating in Lithuanian regions less polluting. So we will allocate the bulk of the call in the amount of EUR 39.9 million to SMEs in Kaunas, Šiauliai and Telšiai regions. The remaining amount of EUR 2.1 million has been planned for large enterprises operating in these regions. This will help our businesses modernise, become more competitive and contribute to achieving our sustainability goals,” says Aušrinė Armonaitė, Minister of the Economy and Innovation.
The new call will allow industrial enterprises to replace fossil fuel boilers with heat pumps using renewable energy sources (RES) or solar collectors for hot water production. Enterprises aiming to reduce the use of fossil fuels will be able to finance the deployment of RES solutions, and the deployment of RES solutions in the production process will be financed as long as it does not involve the substitution of solid fuels with biofuels. In addition, the call can finance CHP plants, electricity generators using steam or hot water, as well as the installation of heat pumps and heat storage facilities for water storage and heat accumulation when natural gas is used for heat generation. This call may also finance investment costs for the production of electricity from RES to ensure the operation of the facilities covered by the call.
“The call is open to both large and micro, small and medium-sized industrial enterprises (SMEs) seeking to reduce their dependence on fossil fuels. The funding will not only allow enterprises to install equipment that meets high environmental standards and uses renewable energy sources, but will also finance the costs of site preparation, equipment installation, commissioning and testing. All of these solutions will help reduce the use of polluting fuels such as gas, oil or fuel oil and contribute to a more sustainable Lithuania,” says Vaida Lapinskienė, Head of the Public Investment Division of the Innovation Agency.
A total of EUR 42 million has been allocated for the projects. The maximum amount of funding available for a project is EUR 2 million and the minimum is EUR 20 000. A maximum of 85 per cent of eligible costs can be financed.
Eligible applicants under this measure are industrial enterprises operating in Kaunas, Šiauliai and Telšiai regions for at least 3 years, with the annual revenue from their own production in the last 2 financial years prior to the submission of the application amounting to at least EUR 300 000 for large enterprises and EUR 145 000 for SMEs. Industrial enterprises submitting project implementation plans cannot be the participants in the EU Emission Trading Scheme, and project partners are also not possible.
Industrial enterprises will have to start project activities within 6 months and complete them within 30 months from the date of signature of the project contract.
“Enterprises submitting project implementation plans will be required to have had an energy audit carried out no earlier than 2 years before the date of the application. The audit is an excellent opportunity for enterprises to accurately assess their greenhouse gas emissions and the environmental impact of their economic activities, to calculate how much they will be able to reduce these emissions and to save money in the long run by modernising their production processes,” comments Ms Lapinskienė.
The applications can be submitted to the Innovation Agency by 18 September 2023.
The call and its terms are described in detail on the European Union Investment website, and the experts of the Innovation Agency are ready to advise on all aspects of the call.
Representatives of all interested enterprises are also invited to register for a distance training on 18 August 2023 at 10:00 a.m., during which experts from the Innovation Agency will present the possibilities of the new measure and answer any questions.
To strengthen the Lithuanian economy, the Ministry of the Economy and Innovation will launch calls totalling almost EUR 1 billion by the end of 2023, of which EUR 165.2 million has been earmarked for the industrial transition towards a climate-neutral economy.
The “Deployment of alternative fuels in industrial enterprises in Kaunas, Šiauliai and Telšiai regions” measure is implemented within the framework of the Just Transition Fund under the Programme for the European Union Funds’ Investments 2021–2027.
