On Monday 5 February, the European Commission announced that it had authorised a €325 million French aid scheme to support the production of heat from “sustainable” biomass for use in manufacturing and industrial production processes.
The aid will take the form of direct annual grants, over a period of 15 years, to eligible heat-producing, industrial or energy-supplying companies that establish new heat production capacities using biomass, for an energy output of more than 12 GWh/year.
The aid is intended to cover the difference in cost between the biomass project receiving the aid and a scenario where the heat production would be generated using fossil fuels.
The Commission concluded that the measure complied with European State aid rules, in particular the 2022 guidelines on State aid for climate, environmental protection and energy. (Émilie Vanderhulst)