Germany — Bundesförderung Industrie und Klimaschutz (BIK): EUR 3.3 billion federal decarbonisation and CCS/CCU funding programme

Mechanism

The BIK guideline (Förderrichtlinie), published in the Bundesanzeiger and via BMWE press release on 23 August 2024, replaced and consolidated Germany's prior fragmented industrial- decarbonisation grant instruments into a single programme with two modules:

• Module 1 — Decarbonisation projects: investment and applied R&D grants for switching

industrial processes to electrification or renewable hydrogen, capped at EUR 200 million per project.

• Module 2 — CCU/CCS: grants for carbon capture, utilisation and storage investment

(up to EUR 30 million) and research (up to EUR 35 million) projects.

The programme is financed out of the Klima- und Transformationsfonds (KTF) — the same off-budget vehicle whose 2024 Wirtschaftsplan is already in the register — and is budgeted at approximately EUR 3.3 billion for the full 2024-2030 programme life, with annual competitive funding calls. The first call (deadline 30 November 2024) made just over EUR 1 billion available and was targeted primarily at small and medium-sized industrial enterprises (minimum project size EUR 500,000 for SMEs, EUR 1 million for large companies). A second funding call opened in January 2026 covering further decarbonisation and CCU/CCS tranches.

Global Trade Alert's tracking dossier for the programme (state-act 95802) lists 14 individual grant interventions disbursed under BIK, the largest being a EUR 140 million award to Hüttenwerke Krupp Mannesmann GmbH for the EAF2HKM project — converting a blast- furnace steel line to electric-arc-furnace (EAF) green-steel production — logged with an announced/implemented date of 22 December 2025.

Downstream implications

• Steel-sector decarbonisation subsidy channel: BIK is emerging as one of the primary

vehicles funding Germany's EAF conversion wave (alongside the EU CISAF framework and IPCEI instruments already in the register), directly subsidising the capital cost of converting integrated steelworks to lower-emission production.

• KTF fiscal exposure: BIK draws on the KTF, which is itself funded via the EUR 100

billion Sondervermögen Infrastruktur und Klimaneutralität (SVIKG) since 2025 — any future KTF budget-plan disputes (a recurring feature of German coalition politics) are a direct risk to BIK's EUR 3.3 billion multi-year commitment.

• Comparator scale: at EUR 3.3 billion program-wide, BIK is roughly comparable in

magnitude to the EU-approved CISAF German cleantech-manufacturing scheme (SA.121215, EUR 3 billion) but is a purely national-budget instrument rather than an EU state-aid approval — the two run in parallel and may co-fund overlapping beneficiaries.

Open questions

• Has the German government published a full beneficiary register for BIK awards beyond

the Global Trade Alert-logged subset? BMWE has not published a consolidated public list as of this filing.

• What share of the EUR 3.3 billion has been committed after the second (January 2026)

funding call, and how much headroom remains through the 2030 programme end date?