Description

Strategic Focus

• Focus on three priority sectors – energy, transport, and industry – while also supporting cross-sectoral projects linked to one of these priority sectors.
• Continued emphasis on the implementation of ambitious Nationally Determined Contributions (NDCs) in the context of NDCs 3.0, as well as on long-term strategies (LTS), the United Nations Framework Convention on Climate Change (UNFCCC) processes, and global cooperation (e.g.,
  through the NDC Partnership).
• As before, the ambition level of NDCs will be taken into consideration in the selection process.

Funding Approach

• Provision of grant-based funding for projects that combine both TA and FC for market-based, sustainable and scalable Ƽnancial mechanisms.
• Overall funding volume of the Call: up to EUR 100 million.
• Maximum funding per project: up to EUR 25 million

Introduction of Lighthouse Pilot Projects

• The Lighthouse Pilot Projects are an optional modality in addition to the established main mode of delivery of Mitigation Action Facility projects. It builds on and replaces the former Piloting modality from previous Calls.
• Pioneering projects that act as visible beacons, test bold solutions, and chart new pathways for ambitious climate action will be identified as setting the Lighthouse Pilot Projects.
• While all Mitigation Action Facility projects aim at transformation and scalability, the Lighthouse Pilot Projects add distinct value by highlighting a first-of-its-kind aspect or novel technological solution for a particular sector transition in a particular country context and demonstrating its potential, systematising the dissemination of learning to strengthen the Mitigation Action Facility’s role as a knowledge and learning hub, and boosting visibility and leadership through the positioning of selected projects as global reference points for ambitious climate action.
• Lighthouse Pilot Projects place novel technologies and systematic knowledge management at their core. Innovation is understood in a broad sense; the technology, solution or pathway may be novel globally or within the specific country context in which the project operates.
• Lighthouse Pilot Projects:
  » Test innovative technologies such as tidal stream energy generation for harnessing renewable marine resources, green hydrogen-based production for decarbonised industrial processes, locally manufactured lithium-ion batteries for custom-built e-mobility solutions, reactive power compensation systems for enhanced grid stability, etc.
  » Apply a structured approach to capturing and sharing lessons across countries and sectors.
  » Take calculated risks and demonstrate what is possible beyond the current state of practice.
  » Act as front-runners illuminating opportunities for replication and inspiring broader sectoral transformation.
• Lighthouse Pilot Projects will be identified from the Concept Phase onwards and will follow the same application and selection process as other projects. Expectations under the ambition criteria will be adapted to reƽect their innovation-focused nature. While potential for transformational change, GHG mitigation and Ƽnancial leverage will be assessed, greater emphasis will be placed on technological innovation, demonstration effect, and the project’s ability to generate and disseminate insights for
  future replication and scaling.