Investing in green and energy-efficient technologies is a smart way to not only contribute to the environment but also to reduce energy costs for your business. Although the market is full of green technologies, some of them can be quite expensive, which can be a significant obstacle for many companies. To encourage and accelerate the energy transition, the Flemish government has launched several energy subsidies. These subsidies are designed to help companies finance their green and energy-efficient investments.
In this article, we will provide you with a comprehensive overview of the co-funding opportunities available through VLAIO (the Flemish Agency for Innovation and Entrepreneurship) to help you finance your next ecological investment.
The Ecology Premium Plus (EP+)
We recommend starting your search for subsidies with the EP+ program. This program is aimed at supporting companies that invest in technologies related to cooling, transport, lighting, heat, water, and other ecological themes.
The ecology premium is only granted to technologies that are on a limitative technology list, which contains about 30 technologies. The subsidy ranges from 15% to 55% of the ecological additional costs of essential investment components, depending on the technology and the size of the enterprise.
It’s important to note that not all technologies that lead to greening or energy savings are included in the list. Additionally, large enterprises cannot apply for every technology on the list, and non-profit organizations are not eligible for EP+.
If you have a different technology in mind or your company does not qualify for EP+, there are however still other complementary options available:
GREEN Investment Subsidy
The GREEN Investment Subsidy is aimed at companies that plan to switch from fossil fuels (such as natural gas, diesel, fuel oil, etc.) to green energy (such as biogas, green or blue hydrogen). This subsidy is also available for companies that want to electrify their business processes to reduce CO2 emissions or reduce their total energy consumption.
The total project costs to realize your investment must be at least €50,000 to be eligible. Not all of these costs will be accepted. Accepted costs are limited to only invoiced (external) costs related to engineering, investment, or installation. Preliminary studies, operational costs, or infrastructure works are not accepted.
The subsidy is calculated based on the ecological additional cost of the investment necessary to achieve the project’s environmental objectives. The additional cost is calculated by comparing the ecology investment with a conventional investment that is technically comparable, but with which the same level of environmental protection cannot be achieved.
The rate of subsidy depends on the size of the corporation and the cost-effectiveness of the project, and ranges between 20% and 40%.
Strategic Environmental Support (STRES)
Lastly, the STRES program aims to support highly innovative and larger investment projects that go beyond the current state-of-the-art. Moreover, only projects with a minimum investment amount of €3 million are accepted under the initiative.
In addition, the project must meet specific conditions, such as offering a global environmental or energy solution at the enterprise level with closed energy and material cycles and process-integrated solutions. The project should also be part of the company’s overall vision regarding the environment or sustainable energy use in the company, and it should pursue generic environmental or energy policy objectives.
The rate of subsidy varies from 20% to 40% of eligible investment components, depending on the technology and the size of the enterprise. Please note that this support does not apply to agriculture, public authorities, and non-profit organizations.
Conclusion
Investing in green and energy-efficient technologies not only helps the environment but can also provide financial benefits to your company. By leveraging the subsidies offered by the government, your organization can significantly reduce the initial investment costs and achieve long-term energy savings.
To make the most of these opportunities, it’s essential to understand the specific eligibility requirements and application procedures for each subsidy program. At Leyton, we specialize in helping businesses identify and secure the funding they need to pursue their sustainability goals. Our team of experts can guide you through the process, from initial assessment to final submission, ensuring your application stands out and maximizing your chances of success.
Don’t miss out on the chance to receive a subsidy for your next ecological investment. Contact Leyton today to see how we can help you secure the subsidies you need to make a positive impact on the planet and your bottom line.
