The European Commission has approved a €1.1 billion French cleantech aid scheme aimed at expanding domestic manufacturing capacity for clean technologies in line with the Clean Industrial Deal. Cleared under the Clean Industrial Deal State Aid Framework (CISAF), adopted on 25 June 2025, the measure is intended to advance the EU’s transition towards a net-zero economy. It represents the eighth initiative supporting cleantech manufacturing capacity approved since CISAF came into force, bringing the total value of such schemes to more than €10 billion.
France formally notified the €1.1 billion French cleantech aid programme to the Commission under CISAF rules. The scheme is structured to stimulate strategic investments that increase production capacity for net-zero technologies listed in Annex II of CISAF, including solar, offshore or onshore wind technologies, heat pumps and battery technologies. Support also extends to the manufacture of key components integral to these technologies and to associated critical raw materials. Financial assistance will be delivered through a tax credit mechanism. The programme applies across the entire territory of France, with aid available until 31 December 2028.
In its assessment, the Commission determined that the French cleantech aid measure complies with the conditions outlined in CISAF. The scheme will help in accelerating progress towards a net-zero economy while fostering the development of economic activities essential to implementing the Clean Industrial Deal. The approval is consistent with Article 107(3)(c) of the Treaty on the Functioning of the EU and the parameters established under the framework. On this basis, the Commission endorsed the aid under EU State aid rules.
CISAF, adopted on 25 June 2025, enables Member States to introduce targeted support measures in sectors critical to the green transition until 31 December 2030. The framework permits aid for renewable energy and low-carbon fuels, temporary electricity price relief for energy-intensive users, industrial decarbonisation initiatives, clean technology manufacturing capacity linked to the Net Zero Industry Act, and mechanisms to de-risk private investments in clean energy, infrastructure and circular economy projects. Within this structure, the French cleantech aid scheme forms part of Europe’s broader strategy to reinforce competitive and sustainable industrial growth.
