EIB Launches €3 Billion Facility to Speed Energy Upgrades Ahead of ETS2 Rollout

Eligible projects include upgrades such as energy-efficient heating and cooling systems, which are expected to ease household bills and strengthen Europe’s long-term energy resilience.

The European Investment Bank (EIB) has approved a €3 billion financing initiative to fast-track energy efficiency upgrades for low- and middle-income households and small businesses across Europe, supporting a fair transition as the European Union prepares to deploy the new Emissions Trading System for buildings and road transport (ETS2).

The initiative, developed in partnership with the European Commission, will help Member States expand access to affordable heating, cooling, and sustainable transport solutions, with the financing envelope expected to increase depending on market demand.

“Frontloading Facility” Targets Affordable Energy Solutions

Under the newly approved Frontloading Facility, the EIB stands ready to support EU countries in scaling up investments that reduce energy costs and improve efficiency, particularly for:

• Low- and middle-income households

• Micro, small and medium-sized enterprises (MSMEs)

Eligible projects include upgrades such as energy-efficient heating and cooling systems, which are expected to ease household bills and strengthen Europe’s long-term energy resilience.

Sustainable Transport Included in Eligible Investments

In addition to building efficiency improvements, the facility also allows countries to support sustainable transport measures, including:

• Electric bikes

• Public transport solutions

• Electric vehicle charging infrastructure

The EIB said this flexibility will help ensure that the transition under ETS2 supports both cleaner mobility and affordability.

Supporting Climate Action and Energy Security

The initiative is aligned with the EIB Group’s Climate Bank Roadmap Phase 2, reinforcing the bank’s role as the EU’s climate finance arm.

The EIB said the facility will:

• Lower energy costs for households and businesses

• Boost EU energy security

• Accelerate climate action goals

• Support an inclusive transition under ETS2

EIB Group Approves Gender Action Plan 2026–2030

Alongside the financing facility, the Boards of the EIB and the European Investment Fund (EIF) approved the third Gender Action Plan for the 2026–2030 period.

The plan aims to strengthen gender equality and women’s economic empowerment through initiatives that expand:

• Access to capital

• Leadership opportunities

• Employment pathways

• Skills development for women

• Inclusive infrastructure and health solutions

The EIB Group reaffirmed its commitment to inclusive economic growth across Europe and beyond.

€12.4 Billion in New Financing to Boost Competitiveness

The EIB Group’s Boards also endorsed €12.4 billion in new financing to strengthen Europe’s competitiveness, prosperity, and technological leadership.

New investments will support:

• Urban development in Estonia

• Bioeconomy and sustainable transport in France

• Business competitiveness in Greece and Slovenia

• Digitalisation and environmental sustainability in Italy

• University infrastructure in Poland

• Water management in Portugal

• Sustainable transport in Spain

EIF Expands Support for European Tech Champions

The EIF approved new projects under the European Tech Champions Initiative, aimed at helping Europe’s top companies scale up and remain headquartered in Europe.

So far, the initiative has:

• Anchored 12 venture capital mega funds

• Supported 38 scale-ups

• Increased its unicorn count from 9 to 11 this month

Global Gateway Projects Beyond the EU

Beyond Europe, the EIB Group backed projects aligned with the EU’s Global Gateway strategy, including:

• Electricity networks in Burundi

• Climate adaptation in Rwanda

• Water management in Togo

• Business finance support in Ukraine

These investments reinforce EU partnerships and promote sustainable development internationally.

Record €100 Billion Financing Impact in 2025

The EIB Board also reviewed the Group’s 2025 performance, noting a historic milestone of €100 billion in new financing.

The Board welcomed the EIB Group’s strengthened strategic focus on investments that advance competitiveness, security, shared prosperity, and democratic values worldwide.