Translated with DeepL.com
On 27 February ALTUM will start accepting applications for the 4th round of the European Union Recovery Fund programme for energy efficiency, renewable energy technologies and electric cars. The programme has been significantly extended to include wholesale and retail traders, and all eligible sectors will be able to purchase electric cars. Applications for this round will be open until 26 March. An information seminar for entrepreneurs will be held on 1 March to explain the conditions of the programme and the procedure for preparing and processing applications.
The programme provides support in the form of a capital-reduced loan and is now open to micro, small, medium-sized and large entrepreneurs whose sector of activity is not primary production of agricultural products, fisheries, manufacture of tobacco products, gambling or transport.
The expansion of the range of businesses and areas to be supported makes the programme even more attractive and we can already see that this is a welcome step. I therefore encourage entrepreneurs to be proactive, not to postpone their applications to the last minute and, if necessary, to consult ALTUM experts when preparing their projects. Experience from previous rounds has shown that it is important to include realistic deliverables in projects, as it will not be possible to reduce or change these indicators during implementation. It is better to choose more conservative targets rather than targets that later turn out to be unattainable," says Līga Mellēna, Head of ALTUM's Corporate Energy Efficiency Department.
The amendments approved by the Cabinet of Ministers on 20 February provide for a number of improvements in the range of supported activities. Among other things, companies will now be able to invest in green roofs, digitalisation of building equipment, charging infrastructure, equipment and equipment for storing the energy produced as part of energy efficiency measures. For the introduction of renewable energy technologies (RES) in enterprises, the activities to be supported have been extended to renewable hydrogen production technologies, biofuels, bioliquids, biomethane and biomass fuels/fuels production technologies, high-efficiency cogeneration technologies, as well as equipment for the accumulation or storage of energy produced for self-consumption.
With the 4th round of the programme, the approach to opening the subsequent rounds has also changed.
The submission period for the new round will run for four weeks, from 27 February at 12:00 to 26 March at 12:00, with the next round, Round 5, opening the week after this round closes, on 2 April. The amount of funding available for the next round will depend on the amount of funding reserved for Round 4. The results of the rounds will be announced within a month after the closure of the current round. New rounds will be opened at one week intervals from the closure of the previous round until the funding for the programme is exhausted," explains Līga Mellēna.
The total funding available for Round 4 projects is €25.25 million, of which €8.58 million is for energy efficiency, €15 million for renewable energy technologies and €1.66 million for zero-emission vehicles.
As in the past, the projects submitted by companies will be compared against each other in a selection process, with the highest scores being awarded to those that deliver the biggest greenhouse gas emission reductions or primary energy savings per €1,000 of support. The projects eligible for the capital rebate loan will be announced within one month after the closure of each round.
Support for energy efficiency improvements and the increased use of renewable energy technologies by businesses is available as an ALTUM loan or as a parallel loan with a capital rebate on the principal repayment. The maximum loan amount is EUR 5 million with a loan term of up to 15 years. The support is granted in the form of a capital rebate, which means that ALTUM will reduce the principal amount of the loan once the project is completed and the project objectives are met. A capital rebate of up to 30% of the project cost can be claimed, up to a maximum of EUR 1.5 million for a group of related companies in total.
Support for electric cars is now available to all eligible sectors. The aid is available for the purchase of new M1 electric cars (with a maximum of eight additional seats for the driver and no space for standing passengers) and N1 electric cars (trucks up to 3.5 tonnes GVW). The amount of the capital allowance is up to 30%, subject to a maximum of EUR 5 000 per M1 vehicle and EUR 10 000 per N1 vehicle. A group of related companies may together apply for a maximum of EUR 180 000 in this aid area. When purchasing an electric car, the entrepreneur will receive a guarantee from ALTUM for the financial leasing. After one year of use, a capital rebate will be applied if the project's mileage target of at least 20 000 km is reached.