Yesterday, the European Commission released its long-awaited proposal for the next Multiannual Financial Framework (MFF), which will run from 2028. The Commission’s proposal to merge the LIFE fund into a broader Competitiveness fund is facing opposition from REScoop.eu, the European association of energy communities. The association believes this threatens the continued growth of the citizen energy movement.
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The LIFE Clean Energy Transition programme has been instrumental in the creation of new energy communities and the development of services such as flexibility, housing renovations, and heating and cooling, REScoop.eu argues. Without a specific budget in the new Competitiveness fund, this essential support risks disappearing. The association is therefore calling for dedicated, earmarked funding for energy communities in the next EU budget.
Widen participation also to co-manage EU funds
Energy communities should be explicitly eligible in all public funding calls, including the Cohesion Funds and the proposed Competitiveness Fund, with clear social criteria. Now that most EU funds will be concentrated into “National and Regional Partnership Plans,” REScoop.eu calls on Member States to earmark dedicated funding streams for community energy projects and citizen energy initiatives, as outlined in REScoop.eu’s vision for the next EU budget.
Local electricity production “crucial in times of crisis”
Social economy networks, including national federations of energy communities, should play a greater role in co-managing EU funds. There are already successful examples in the current EU budget. In France, several regions partnered with the French community energy federation Énergie Partagée to raise awareness around the European Regional Development Fund’s opportunities. In Belgium, the region of Wallonia provided three years of structural funding to the regional federation of energy communities, REScoop Wallonia, to promote citizen energy and the social economy. Similarly, Energie Samen, the Dutch federation of energy cooperatives, manages a national heat fund for the development of community-led heating and cooling.
Allocate 50 percent of the EU budget for environmental goals
More broadly, REScoop.eu continues to call for the EU budget to double to at least EUR 2 trillion, including a new round of joint borrowing. With the continent facing multiple and overlapping crises – including geopolitical pressures, climate change, and growing socio-economic inequalities – the budget must rise to the challenge and serve a transformative purpose. This can be achieved through new joint borrowing, corresponding new own resources, and higher Gross National Income contributions from Member States to strengthen the EU’s common capacity to respond to current and future crises.
Integrating energy communities into sector coupling
At least 50% of the EU budget should be allocated to activities that contribute to one or more of the EU’s environmental goals under the EU Taxonomy (up from the 35% currently proposed). Just Transition and social economy objectives should also be mainstreamed across all EU funds, while maintaining a stand-alone fund dedicated to such purposes – including funding for energy communities.
Mark Luntley, REScoop.eu President, said: “There is strong public support for action in the face of potential climate breakdown, but we also need to take citizens along with us in making the necessary changes.” (hcn)
REScoop.eu’s vision for the next EU budget can be found here.