Training seminar: LIFE Programme: Financing for Circular Economy, Climate and Environment Projects

Programa LIFE

Family photo: CINEA team led by Manuel Montero Ramírez, CINEA Project Advisor, and the Delegation team with Pilar Ruiz Huélamo and Keka Torres de Paz, Director and Deputy Director of the Delegation to the EU respectively.

Brussels, 23/02/2024.- The Delegation of the Spanish Chamber of Commerce to the European Union (EU) held the training seminar: ‘This is the LIFE programme: European action to finance projects in the circular economy, climate and environment”. 

The LIFE Programme is the only EU financial instrument dedicated exclusively to the environment and climate action (CINEA). It is one of its flagship programmes with a total budget of EUR 5.4 billion and one of the main tools to implement the European Green Deal that will lead to climate neutrality by 2050.

In 2022 he turned 30, and Spain has been one of its main supporters with more than 900 projects approved with a budget of more than EUR 1.5 billion, in total. These data demonstrate our country’s commitment and innovation capacity in this particular area. Pilar Ruiz Huélamo, Director of the Delegation of the Spanish Chamber of Commerce to the EU. 

The director highlighted two recent projects funded by the LIFE Programme: 

  • The Life Reward Project, circular economy for the manufacture of organic, vegan and 100 % recycled footwear.
  • The Pyrenees 4ClimaProject, which aims to implement one of the first cross-border climate change strategies, encompassing the regions of Aragon, Catalonia, the Basque Country and Navarre, in Spain; New Aquitaine and Occitania, in France; and the country of Andorra. 

There was a presentation by Don Manuel Montero Ramírez, Project Advisor of the Climate, Infrastructure and Environment Executive Agency (CINEA), who carefully explained the structure and functioning of the LIFE Programme.

Following the adoption of the Multiannual Financial Framework (MFF) 2021-2027, the LIFE Programme is transferred from the Executive Agency for Small and Medium-sized Enterprises (former EISMEA) to the newly created European Executive Agency for Climate, Infrastructure and Environment (CINEA, former INEA). The Agency manages six programmes: the Maritime, Fisheries and Aquaculture Fund (FEMPA); the Connecting Europe Facility (CEF); the Renewable Energy Finance Facility (RENEWFM); the Just Transition Facility (JTM); the Horizon Europe Programme (Pillar 2 cluster 5); the Innovation Fund (IF); and finally the LIFE Programme.

The LIFE Programme aims to act as a bridge between all major EU development and infrastructure programmes, such as cohesion funds or structural funds. The objective of the Programme is therefore to try to bridge the gap between large-scale research and implementation. It involves a great job of testing and demonstrating innovative solutions. Mr Manuel Montero Ramírez, Project Advisor of CINEA.

The new LIFE Programme 2021-2027, recast in Regulation 2021/783,is the only European programme that constitutes a 100% contribution to the objectives and targets of the European Green Deal currently, we are in the implementation phase of the implementation of the Multiannual Work Programme for the implementationof the LIFE Programme for the years 2021-2024, and the last call of the LIFE Programme will be published on 18 April. 

The Programme is in turn divided into different sub-programmes: 

Without the backing of programs like LIFE, the fight for the survival of endangered species, such as the Iberian lynx, would face insurmountable obstacles. Mr Manuel Montero Ramírez, Project Advisor of CINEA.

The rapporteur made particular mention of the second sub-programme, which aims to facilitate the transition to a sustainable, circular, toxic-free, energy-efficient and climate-resilient economy, as well as to protect, restore and improve the quality of the environment, either through direct interventions or by supporting the integration of these objectives into other policies such as:

  • The new European Bauhaus, an environmental, economic and cultural project combining design, sustainability, accessibility and affordability in order to contribute to the achievement of the European Green Deal;
  • Or, specific policies for start-ups, since the LIFE programme favors innovation and marketing carried out by these start-ups. It represents a risk-free incubation context, which allows the company to safely place its product on the market with adequate support. 

Within this subporgam, there is a specific support for the so-called close to market projects, which launch innovative and demonstrative solutions that offer clear environmental or climatic benefits. These projects also have a high level of technical and business preparation. This means that the solutions could be implemented under conditions close to those of the market (on an industrial or commercial scale) during the course of the project or shortly after their completion. The support is manifested through CINEA, which provides various services: 

  • Advice on the development of the business plan.
  • Business coaching: project strategy and business configuration with emphasis on commercial development and project sustainability after LIFE funding.
  • Guidance for the presentation: training on how to communicate with potential investors.
  • Expert connections, for example, connecting projects with specialists in intellectual property rights (IPR).
  • Financing of external debt: identification of debt financing options (loans, guarantees) and financial institutions.

Projects funded under the LIFE programme are categorised into specific categories, summarised as follows:

  • Standard Action Projects (SAP): They focus on the implementation of best practices, demonstrations, capacity building, investment mobilisation, and the implementation of relevant EU policies.
  • Strategic Projects (SP): They include two subtypes:
    • Strategic Nature Projects (SNAP): They support the achievement of EU nature and biodiversity objectives by integrating these objectives and priorities into other funding policies and tools, through coherent action programmes in the Member States.
    • Integrated Strategic Projects (IPS): They favour the implementation at regional, multi-regional, national or international level of environmental, climate or energy strategies or action plans, required by specific EU legislation or policies.

Under the circular economy sub-programme of the LIFE programme, the Douro Hydrographic Confederation has received funding for a pioneering project aimed at addressing the overexploitation of the largest aquifer in the basin. This project exemplifies the capacity of the LIFE programme to promote sustainability in the agricultural sector, offering innovative solutions that balance environmental and economic needs. Mr Manuel Montero Ramírez, Project Advisor of CINEA.

Finally, the seminar concluded with a reference to the structure of the project proposals, which consists of three parts: 

  • Part A: the administrative forms, generated directly from the information included by the applicant in the Application Portal.
  • Part B: the technical description, which is attached as PDF documents (+Annexes) in the Application Portal. 
  • Part C: key Performance Indicators (KPIs).

The seminar was attended by 21 attendees, including the Territorial Chambers of Commerce of Badajoz, Cáceres, Fuerteventura, Ibiza and Formentera, Lanzarote and La Graciosa, Murcia, Navarra and Seville; and the Permanent Offices of Navarre and the Basque Country to the EU. 

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