Düsseldorf – The Federal Ministry for Economic Affairs and Energy (BMWE) launched the 2026 bidding procedure for Carbon Contracts for Difference on 5 May 2026. Companies have until 7 September 2026 to submit their applications. The total funding volume amounts to EUR 5 billion.
Through this funding programme, the BMWE is supporting investments by energy-intensive industrial companies in low-carbon and pioneering production processes. Compared with the first bidding procedure in 2024, the funding programme has been designed to be significantly more open to different technologies and more flexible. Projects in Carbon Capture, Utilisation and Storage (CCU/CCS) in particular are eligible to participate for the first time.
In addition to allowing new technologies, the minimum requirements for greenhouse gas emission reductions have been revised and the framework conditions for the project's operational launch have been made more flexible. This is to enable companies to adapt better to technological and infrastructural conditions and to facilitate the implementation of planned projects.
The aim of Carbon Contracts for Difference is to make investment in low-carbon technologies economically viable. The Carbon Contracts for Difference offset the additional costs compared with conventional methods over a period of 15 years, thus providing long-term planning and investment certainty.
The preparatory procedure for the 2026 bidding procedure (2026 preparatory procedure), which took place from October to early December 2025, has shown that a large number of companies are interested in participating in the 2026 bidding procedure. Participation in the 2026 preparatory procedure is a prerequisite for participation in the 2026 bidding procedure.
An interdisciplinary CMS team led by Partner Dr Jürgen Frodermann and Counsel Dr Nico Hannemann provided comprehensive legal advice to the BMWE throughout the entire process of preparing for the bidding procedure, particularly on matters relating to grant, state aid, contract and energy law. The advice was provided through an interdisciplinary consortium led by Project Management Jülich in collaboration with VDI/VDE Innovation + Technik and Deloitte.
The documents required for the application as well as the current funding guideline and funding call can be found here.
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