Selection criteria
1. Member States shall recognise as net-zero strategic projects net-zero technology manufacturing projects located in the Union that contribute to achieving the objectives set out in Article 1, including contributing to the Union’s climate or energy targets, and fulfil at least one of the following criteria:
(a)
the net-zero technology manufacturing project contributes to the technological and industrial resilience of the Union’s net-zero technologies by increasing the manufacturing capacity of a component or a segment of the net-zero technology supply chain by:
(i)
adding manufacturing capacity in the Union for a net-zero technology, for which the Union depends for more than 50 % on imports coming from third countries;
(ii)
adding significant manufacturing capacity by making a substantive contribution to the 2030 climate or energy objectives of the Union; or
(iii)
adding manufacturing capacity or updating existing manufacturing capacity in the Union for a net-zero technology, of which the Union’s manufacturing capacity represents a significant share of world production and which plays a crucial role in the resilience of the Union;
(b)
the net-zero technology manufacturing project has a clear positive impact on the Union’s net-zero industry supply chain or downstream sectors by providing European net-zero industries with access to the best available net-zero technology or to products produced in a first-of-a-kind manufacturing facility, and fulfils at least one of the following criteria:
(i)
putting into place measures to attract, retain, upskill or reskill a workforce required for net-zero technologies, including through apprenticeships, traineeships, continuing education and training in close cooperation with regional and local authorities, education and training institutions, and social partners including trade unions;
(ii)
contributing to the competitiveness of SMEs as part of the supply chain of net-zero technologies;
(c)
the project contributes to reaching the Union’s climate or energy objectives by manufacturing net-zero technologies through practices that implement improved environmental sustainability and performance or circularity features, including comprehensive low-carbon, energy, water or material efficiency and practices that significantly and permanently reduce emission rates of CO 2 -eq.
2. By 1 March 2025, the Commission shall adopt an implementing act setting out guidelines ensuring uniform conditions for the implementation of the criteria laid down in this Article. Those guidelines shall at least include specific guidance on the criteria to be used to assess:
(a)
whether added manufacturing capacity concerns first-of-a-kind or best available technology manufacturing capacity;
(b)
whether the additional manufacturing capacity can be considered to be significant.
That implementing act shall be adopted in accordance with the examination procedure referred to in Article 45(2).
3. Member States shall recognise as net-zero strategic projects CO 2 storage projects that meet all of the following criteria:
(a)
the CO 2 storage site is located in the territory of the Union, its exclusive economic zones or on its continental shelf within the meaning of the United Nations Convention on the Law of the Sea (UNCLOS);
(b)
the CO 2 storage project contributes to reaching the objective set out in Article 20;
(c)
the CO 2 storage project has applied for a permit for the safe and permanent geological storage of CO 2, in accordance with Directive 2009/31/EC.
Any CO 2 capture project related to a CO 2 storage project that fulfils the criteria referred to in the first subparagraph, and any related CO 2 infrastructure project necessary for the transport of captured CO 2 shall also be recognised as a net-zero strategic project.
4. Net-zero technology manufacturing projects corresponding to a net-zero technology, located in ‘less developed and transition regions’ and Just Transition Fund territories and eligible for funding under cohesion policy rules shall be, after the award procedure has been completed, recognised by Member States as net-zero strategic projects under Article 14(3) upon the written request of the project promoter without the project promoter having to submit a formal application under Article 14(2).
5. A net-zero technology manufacturing project located in the Union that contributes to achieving the objectives set out in Article 1(1) and that benefits from the ETS Innovation Fund or is part of Important Projects of Common European Interest, of European Hydrogen Valleys or of the Hydrogen Bank, where the funds support investment in manufacturing capacities, shall be recognised by Member States as a net-zero strategic project under Article 14(3) upon the written request of the project promoter without the project promoter having to submit a formal application under Article 14(2).
6. Where a net-zero strategic project contributes to a value chain for a technology that a Member State does not accept as part of the general structure of its energy supply, that Member State may refuse to recognise that project as a strategic project. If there are net-zero technologies for which a Member State intends not to recognise projects as strategic projects, that Member State shall communicate that as soon as possible and publicly.
Application and recognition
1. Applications for recognition of net-zero technology manufacturing projects as net-zero strategic projects shall be submitted by the project promoter to the relevant Member State.
2. The application referred to in paragraph 1 shall contain the following:
(a)
relevant evidence related to the fulfilment of the criteria laid down in Article 13(1) or (3);
(b)
a business plan evaluating the financial viability of the project consistent with the objective of creating quality jobs; and
(c)
a first draft timetable for the project estimating when the project would be able to contribute to the Union’s manufacturing capacity benchmark referred to in Article 5 or the Union level objective of CO 2 injection capacity referred to in Article 20.
The Commission shall provide a pre-set form to submit the applications referred to in paragraph 1.
3. Member States shall assess the application referred to in paragraph 1 through a fair and transparent process within one month of the receipt of the complete application. If the project promoter has not sent all the relevant and complete information required to process an application, the Member State shall request, once only, that the project promoter submit complementary information without undue delay, in order to obtain a complete application. The date of the acknowledgement of the completeness of the submission shall serve as the start of the assessment process. The decision resulting from this process shall be reasoned and shall be communicated to the project promoter and to the Platform referred to in Articles 38 and 39.
4. If there is no decision within the timeframe referred to in paragraph 3, the project promoter may notify the Member State and request without undue delay that the Member State provide the project promoter with an updated deadline, which shall not be later than 30 days from the original deadline.
5. The Commission may provide its opinion on the approved net-zero strategic projects. Where a Member State rejects the application, the applicant shall have the right to submit the application to the Commission, which shall assess the application within 20 working days. The Commission’s assessment is without prejudice to the Member State’s decision.
6. Where the Commission, following its assessment in accordance with paragraph 5 of this Article, confirms the rejection of the application by the Member State, it shall notify the applicant of its conclusion in the form of a letter. Where the Commission differs in its assessment from the Member State, the Platform referred to in Articles 38 and 39 shall discuss the project in question.
7. Where the Commission or a Member State finds that a net-zero strategic project has undergone substantial changes or that it no longer fulfils the criteria laid down in Article 13, or where its recognition as a net-zero strategic project was based on an application containing incorrect information, it shall inform the project promoter concerned. After hearing the project promoter, the Member State may repeal the decision recognising a project as a net-zero strategic project.
8. A project which is no longer recognised as a net-zero strategic project shall lose all rights connected to that status under this Regulation.
9. The Commission shall set up and maintain an openly available registry of net-zero strategic projects.
Priority status of net-zero strategic projects
1. Project promoters and all authorities concerned shall ensure that for net-zero strategic projects the relevant processes are treated in the most rapid way possible in accordance with Union and national law.
2. Without prejudice to obligations provided for in Union law, where a project is recognised as a net-zero strategic project, Member States shall grant that net-zero strategic project the status of the highest national significance possible, where such a status exists in national law, and that net-zero strategic project shall be treated accordingly in the permit-granting processes, including those relating to environmental assessments and, where data is available, to spatial planning.
3. Net-zero strategic projects shall be considered to contribute to the security of supply of net-zero technologies in the Union and, therefore, to be in the public interest. With regard to the environmental impacts or obligations referred to in Article 4(7) of Directive 2000/60/EC, Article 9(1), point (a), of Directive 2009/147/EC, Articles 6(4) and 16(1) of Directive 92/43/EEC and in Union legislative acts on nature restoration, net-zero strategic projects in the Union shall be considered to be of public interest and may be considered to have an overriding public interest and to serve the interests of public health and safety provided that all the conditions set out in those acts are fulfilled.
4. All dispute resolution procedures, litigation, appeals and judicial remedies related to net-zero strategic projects before any national courts, tribunals or panels, including with regard to mediation or arbitration, where they exist in national law, shall be treated as urgent if and to the extent to which national law concerning permit-granting processes provides for such urgency procedures and provided that the usually applicable rights of defence of individuals or of local communities are respected. Project promoters of net-zero strategic projects shall participate in such urgency procedures, where applicable.
Duration of the permit-granting process for net-zero strategic projects
1. The permit-granting process for net-zero strategic projects shall not exceed:
(a)
9 months for the construction or expansion of net-zero strategic projects with a yearly manufacturing capacity of less than 1 GW;
(b)
12 months for the construction or expansion of net-zero strategic projects with a yearly manufacturing capacity of 1 GW or more;
(c)
18 months for all necessary permits to operate a storage site in accordance with Directive 2009/31/EC.
2. For net-zero strategic projects for which a yearly manufacturing capacity is not measured in GW, the permit-granting process shall not exceed 12 months.
3. Where an environmental impact assessment is required pursuant to Directive 2011/92/EU, the step of the assessment referred to in Article 1(2), point (g)(i), of that Directive shall not be included in the duration for the permit-granting process referred to in paragraphs 1 and 2 of this Article.
Net-zero Acceleration Valleys
1. Member States may decide to designate net-zero Acceleration Valleys (the ‘Valleys’) as specific areas to accelerate net-zero industrial activities, in particular to accelerate the implementation of net-zero technology manufacturing projects, including net-zero strategic projects or clusters thereof, or to test innovative net-zero technologies. The objectives of the Valleys shall be to create clusters of net-zero industrial activity and to further streamline administrative procedures.
2. The decision referred to in paragraph 1 shall:
(a)
define a clear geographic and technology scope for the Valleys;
(b)
take into account areas that include artificial and built surfaces, industrial sites, and brownfield sites;
(c)
be subject to an environmental assessment pursuant to Directive 2001/42/EC, and, where applicable, to an assessment pursuant to Article 6(3) of Directive 92/43/EEC; to the extent possible, the results of those assessments shall facilitate the preparation of net-zero technology manufacturing projects or net-zero strategic projects with a view to meeting the objectives of this Regulation and avoiding duplication of assessments; this provision is without prejudice to the compliance of individual projects with applicable Union environmental law;
(d)
ensure synergies, where possible, with the designation of renewables acceleration areas as established by Directive (EU) 2023/2413 of the European Parliament and of the Council ( 54 ) .
3. A decision by a Member State to designate a Valley shall be accompanied by a plan setting out concrete national measures to increase its attractiveness as a location for manufacturing activities, including at least the following economic and administrative support schemes to:
(a)
facilitate the development of the necessary infrastructure in the Valley;
(b)
support private investments in the Valley;
(c)
achieve the adequate reskilling and upskilling of the local workforce;
(d)
make information about the Valley accessible online in accordance with Article 7.
4. Public investments with the aim of setting up Valleys, equipping them with appropriate infrastructure, converting brownfield sites and developing the adequacy of the local skills pool may benefit, where appropriate, from the maximum co-financing rates under Regulations (EU) 2021/1058, (EU) 2021/1056 and (EU) 2021/1057.
Permitting under Valleys
1. Sections II and III shall apply to individual projects in Valleys. A single point of contact, shall be designated for each Valley.
2. With a view to avoiding duplication of assessments, when issuing the opinion referred to in Article 10(1), the competent authority shall take into account the results of the assessments carried out pursuant to Article 17(2), point (c).
3. The single point of contact shall make available to project promoters templates indicating the specific permits needed for projects in Valleys. Those templates shall include information on any features of the project and measures envisaged to avoid or prevent significant adverse effects on the environment in order to ensure that only projects with significant environmental impacts are subject to an assessment pursuant to Directive 2011/92/EU and to facilitate the determination by a competent authority as to whether the project is to be made subject to an assessment pursuant to Article 4(2) to (6) of that Directive.
4. Net-zero technology manufacturing projects in Valleys shall be considered to contribute to the security of supply of net-zero technologies in the Union and, therefore, to be in the public interest. With regard to the environmental impacts or obligations referred to in Article 4(7) of Directive 2000/60/EC, Article 9(1), point (a), of Directive 2009/147/EC, Articles 6(4) and 16(1) of Directive 92/43/EEC and in Union legislative acts on nature restoration, net-zero technology manufacturing projects in Valleys in the Union shall be considered to be of public interest and may be considered to have an overriding public interest and to serve the interests of public health and safety provided that all the conditions set out in those acts are fulfilled.
Coordination of financing
1. The Platform as established in Article 38 shall examine the bottlenecks and Union-wide financial needs of net-zero strategic projects, advise on ways of coordinating Union and national financing with regard to those financial needs, and collect potential best practices, inter alia, for the purpose of developing Union cross-border supply chains, in particular on the basis of regular exchanges and recommendations of the net-zero Industry Group and with the relevant industrial alliances.
2. The Platform shall, at the request of the net-zero strategic project promoter, discuss and advise on how the financing of the project can be completed, taking into account the funding already secured and considering at least the following elements:
(a)
additional private sources of financing;
(b)
support through resources from the EIB Group or other international financial institutions including the European Bank for Reconstruction and Development;
(c)
existing Member State instruments and programmes, including from national promotional banks, institutions and Export Credit Agencies;
(d)
relevant Union funding and financing programmes.
3. By 30 September 2024 and every two years thereafter, the Platform shall provide recommendations to the Commission on ways to ensure sufficient funding, including through the Union budget, to pursue the objectives of this Regulation.
4. Member States and, where appropriate, the Commission shall undertake activities to accelerate public investments in net-zero technology manufacturing projects. Such activities may, without prejudice to Articles 107 and 108 TFEU, include advising on and coordinating support for net-zero technology manufacturing projects which are facing difficulties in accessing finance.
Source: EUR-Lex (Publications Office of the EU), © European Union, reuse permitted under Commission Decision 2011/833/EU.
