On Thursday 21 August 2025, Luxembourg’s Ministry of the Economy launched a call for tenders to support projects aimed at electrifying industrial production processes within Luxembourg’s manufacturing sector.
The ministry stated that this initiative reflected the country's ambition to decarbonise industry and to promote the replacement of fossil fuels with electricity in industrial processes. The objective is to reduce direct greenhouse gas emissions from the installations concerned by at least 40%.
According to the ministry, the initiative forms part of the law of 3 July 2025, which established a support scheme for the transition towards a net zero economy.
Luxembourg’s Minister of the Economy, SMEs, Energy and Tourism, Lex Delles, stated: “This call for tenders reflects our determination to support a competitive, sustainable and resilient industry. By promoting electrification, we are helping businesses in their transition towards more climate-friendly production models.”
Companies may submit their projects between Friday 22 August and Friday 31 October 2025 at 12:00 CET.
Projects will be ranked according to the amount of aid requested per tonne of CO₂ equivalent avoided, with tie-breaking criteria applied in case of equal results. The authorities will decide on the allocation of aid no later than 31 December 2025.
Eligible projects must:
• concern an industrial installation in the manufacturing sector (NACE code C10–C33);
• aim for a reduction of at least 40% in direct emissions through electrification;
• not result in an increase in production capacity of more than 2%;
• be completed within 36 months of approval.
The ministry emphasised that companies in difficulty, or those submitting projects that solely seek to comply with already applicable standards, are not eligible.
The aid will be paid in two phases:
• 45% of the investment costs at commissioning;
• the balance in ten annual instalments, subject to achieving the decarbonisation objectives.
Beneficiaries must provide annual reports and comply with the technical and environmental requirements set out in the specifications.
Companies may register for a mailing list to receive updates on the call for tenders.
Questions must be sent via email to decarbonation@eco.etat.lu no later than three weeks before the submission deadline.
Luxinnovation is available to support applicants via email at aides@luxinnovation.lu.
The application form and details of the call for tenders are available at: https://guichet.public.lu/fr/entreprises/financement-aides/aides-environnement/appel-projets-electrification/appel-offres-electrification.html
