EU ETS: €2.5 Bn disbursed to modernise clean energy in 11 member states through the Modernisation Fund

On 2 July 2026, the European Commission and the European Investment Bank (EIB) announced a €2.5 billion disbursement from the EU's Modernisation Fund, financing 51 clean energy projects across 11 EU member states.

The money, raised from EU Emissions Trading System (ETS) revenues, will help modernise energy systems, expand renewable generation and storage capacity, and support innovation in Czechia, Estonia, Greece, Croatia, Latvia, Lithuania, Hungary, Poland, Portugal, Romania and Slovenia.

The disbursement brings total Modernisation Fund support to €23.2 billion since the fund was launched, in January 2021. It forms part of a broader EU effort to help lower-income member states cut greenhouse gas emissions, meet their climate and energy targets, and implement their National Energy and Climate Plans, while also strengthening industrial competitiveness and reducing EU’s imports of fossil fuels.

Recipients and amounts

Romania received the largest allocation at €636.9 million, followed by Hungary (€552.3 million) and Czechia (€516.8 million). Other recipients include Greece (€233.9…