EU-Wide Advantages & Opportunities under the CEF-E-2025-PCI-PMI-WORKS Call

1. Single Market Access (450+ million consumers)

• Building or upgrading cross-border electricity, hydrogen, gas & CO₂ infrastructure is the physical pre-condition for a truly integrated EU energy market; it removes national bottlenecks, enables price convergence, reinforces security of supply and opens a customer base far beyond the promoter’s home country.

• Access to the EU Internal Market for Energy increases utilisation factors and therefore revenue streams, improving the project’s bankability and long-term sustainability.

2. Cross-Border Collaboration & Knowledge Exchange

• CEF exclusively supports PCIs/PMIs that involve at least two Member States; beneficiaries gain formalised cooperation with TSOs, DSOs, regulators and technology vendors across Europe.

• Joint ventures created under CEF benefit from ENTSO-E/ENTSOG data, ACER market monitoring, and established project coordination platforms (e.g., North-Sea Energy Cooperation, Baltic Energy Market Interconnection Plan).

• Shared best practices in permitting (“one-stop shop” under TEN-E) and stakeholder engagement reduce lead times by up to 30 % compared with purely national works.

3. Alignment with EU Flagship Policies

• Direct contribution to the Green Deal, REPowerEU, Fit-for-55, the EU Grid Action Plan and the Hydrogen Bank by accelerating infrastructure that enables renewables uptake and system flexibility.

• Supports the Paris Agreement and 2030/2050 climate targets by facilitating sector coupling (electricity ↔ hydrogen ↔ CO₂ networks) and electrification of end-uses.

• Complements the Digital Europe agenda through eligibility of smart-grid components (advanced sensors, AI-enabled congestion management, cybersecurity-by-design).

4. Regulatory Harmonisation & De-Risking

• Projects are assessed under the revised TEN-E Regulation, providing a harmonised CBCA (Cross-Border Cost Allocation) procedure and predictable tariff treatment across Member States.

• ACER coordination and common network codes (e.g., CACM, FCA, NC RfG) minimise regulatory fragmentation, lowering compliance costs and expediting financial close.

• Eligibility for higher co-funding rates (up to 50 %/75 % for priority externalities) offsets commercial risk that private investors alone will not bear.

5. Access to Europe’s Innovation Ecosystem

• Interface with Horizon Europe clusters, Clean Hydrogen Joint Undertaking, European Battery & Solar Alliances and the Net-Zero Industry Act value chains.

• Opportunity to pilot cutting-edge solutions (e.g., HVDC multi-terminal nodes, interoperable electrolyser standards, CO₂ compression hubs) at real-grid scale, backed by CEF-funded CAPEX.

• Fosters talent mobility through collaboration with leading RTOs (Fraunhofer, VTT, TNO, SINTEF, RSE, CEA) and European Universities Alliance.

6. Funding Synergies & Blending Opportunities

• CEF grants can be blended with:

– Innovation Fund (CAPEX & OPEX support for first-of-a-kind hydrogen/CCUS assets).

– InvestEU guarantees to crowd-in institutional investors.

– Recovery & Resilience Facility and Cohesion Funds for complementary downstream investments (e.g., distribution grids, demand-side electrification).

– EIB Green Loan or Green Bond issuance benefiting from PCI status (streamlined due diligence).

• Synergies maximise leverage; every €1 of CEF grant historically mobilises €5–€10 of additional public & private finance.

7. EU-Scale Deployment & Impact

• Large geographical reach amplifies GHG reduction potential (e.g., 1 GW interconnector ≈ 3 Mt CO₂/year avoided by integrating surplus offshore wind).

• Supports resilience against external shocks (gas supply disruption, extreme weather) by expanding cross-zonal capacity and diversified hydrogen corridors.

• Creates an EU-wide procurement market for high-voltage equipment, digital twins and electrolyser stacks, driving down unit costs via economies of scale.

• PCI/PMI label provides strong political visibility and social licence, facilitating permitting and public acceptance across multiple jurisdictions.

8. Strategic Value Unique to EU-Level Operation

• Only the EU can internalise positive externalities (solidarity, security, flexibility) that transcend national borders—hence the dedicated CEF budget envelope and preferential co-funding rates.

• Harmonised sustainability taxonomy and Do-No-Significant-Harm (DNSH) criteria ensure that investments are future-proof and ESG-compliant, simplifying green-finance certification.

• Contributes to EU geopolitical objectives by reducing import dependence and positioning Europe as a global standards-setter for hydrogen and smart-grid interoperability.

9. Actionable Opportunities for Applicants

• Optimise scoring under “European Added Value” by quantifying cross-border welfare gains in the TEN-E CBA template (ENTSO methodology)—include sensitivity scenarios for hydrogen conversion by 2036 if relevant.

• Leverage CBCA decisions early; regulators’ endorsement significantly increases the evaluation score for “Maturity & Readiness”.

• Embed a blending plan in the Business-Plan Spreadsheet: outline complementary Innovation Fund application or EIB Green Loan to demonstrate financial leverage.

• Highlight compliance with the EU Grid Action Plan (digital & cybersecurity layers) to score under “Contribution to Policy Objectives”.

• Engage at least two TSOs/DSOs from different Member States plus one research partner to exploit the innovation and dissemination criteria fully.

> Bottom line: Competing at EU scale through the CEF-E-2025-PCI-PMI-WORKS call unlocks unique regulatory, financial and market advantages unattainable via national schemes—dramatically enhancing project viability, impact and visibility while accelerating Europe’s path to a climate-neutral, integrated energy system.