What does the Strategic Ecology Support entail?
A subsidy for enterprises that want to invest in ecological technologies not mentioned on the limitative technologies list of the EP-Plus.
Before reading further about the possibilities of strategic ecological support, it is best to check whether:
- You are not eligible for support for your technology under the Ecologiepremie+ technology list, as published at the time of submission. If your project is eligible, apply for support via Ecolopremie+ (and not via strategic ecological support). To do so, consult the technology list and filter by theme.
- Your investments are not legally required. Investments that are legally required are not eligible for VLAIO ecological support. This includes investments needed to comply with:
- European or Flemish standards (e.g. VLAREM, RED III). The performance of the investments must also always exceed the required standard. Anticipating standards that will enter into force at a later date is possible if the investment is implemented and completed at least 18 months before the date on which the relevant standard enters into force.
- Obligations under Flemish energy policy (e.g. energy plan, energy audit, energy balance, energy performance regulations)
- Conditions included in any environmental permit
- You have not yet started the investments. To ensure the incentive effect of the support, a project may only start on the first day of the month following the month in which the support application was submitted. The start of the project is understood to mean:
- the date of the engineering invoice or the first purchase invoice;
- the date of signing a financial leasing agreement.
For example: if you submit the support application on 15 April, the investment may start no earlier than 1 May of that same year. If you submit on 8 May, the investment may start no earlier than 1 June. This is independent of the date on which the support is approved, if applicable.
- The project costs amount to at least €1,500,000.
- It is not allowed to combine strategic ecological support with other aid. This means that a company may not apply for support for the same eligible investment costs. For example, there may be no overlap with other support from VLAIO, grants from VEKA (Flemish Energy and Climate Agency), the increased investment deduction (energy, environment, transport), the Ecoboost Loan, grants from Fluvius, etc.
This measure provides a financial incentive to companies that are going to make ecological investments in the Flemish Region. In this way, the Flemish government wants to encourage companies to invest in cutting-edge green technology (technology that by its unique business-specific character cannot be standardised).
The ecological investment must be ‘strategic’. This strategic character will be tested against the following conditions:
- the project offers a broad environmental or energy solution at company level with closed energy and material cycles and process-integrated solutions. The project is placed within a broad vision of the company regarding the environment or the sustainable use of energy in the company;
- the project strives for generic environmental or energy objectives.
NB The support scheme is an addition to the already existing Ecology Premium Plus scheme (EP-Plus). In contrast to the Ecology Premium Plus scheme, whereby a company must make a choice from technologies that are on the limitative technology list (LTL), the Strategic Ecology Support satisfies specific and greater investment projects that, due to their unique business-specific character, cannot be standardised.
Which investments are eligible?
Strategic ecological support is aimed exclusively at large-scale projects with a clearly innovative character, a substantial environmental benefit, and significant strategic advantages for both the company and the Flemish region. It is strongly recommended to submit a preliminary notification (which can be requested by sending an email to stres@vlaio.be) and/or to request a meeting with a project adviser before preparing a full support application.
Investment projects may be eligible for strategic ecological support if they fit within one of the eight themes below.
- Transition to a circular economy: high-grade recycling of waste materials, raw material efficiency, circular water use, etc.
- Energy efficiency measures and electrification of business processes
Please note: investments in installations using fossil fuels are not eligible for support. - Renewable energy
Please note: support rates differ for the generation of renewable energy compared with the storage or distribution of renewable energy, and compared with electrification. - Capture and use of CO₂:
The use of captured CO₂ may be eligible if the captured CO₂ is re-used in the production processes of the applicant company (at an establishment in Flanders) in order to close the carbon cycle. The company must demonstrate that the origin of the CO₂ cannot be avoided through alternative mitigation measures (e.g. moving away from the combustion of fossil fuels). For CCU or CCS projects, we strongly recommend submitting a preliminary notification.
Please note: when submitting the support application, you must demonstrate that the NPV (net positive value / net present value) of the investment over its lifetime is negative. - Heat networks
Please note: demolition of the old installation and adjustments to existing heat or water pipes are not eligible for support. New pipes are accepted as eligible investments up until the distribution network (the distribution network itself is not eligible). - Shore-power electricity installations
- Environmental protection
This is a more general category under which ecological investments may fall if they generate significant environmental benefits and cannot be classified under one of the categories listed above.
Please note: support is not possible for investments in new installations that still use fossil fuels. - Environmental studies
The following studies are not eligible:- studies that are mandatory;
- energy audits;
- drafts for general climate plans;
- engineering of a technology that has already been chosen to invest in.
Eligible costs must amount to at least €50,000:- If the environmental study is carried out by an external service provider, the total invoiced amount excluding VAT counts as the eligible cost.
- If the environmental study is carried out by the applicant company itself, only actual salary costs of internal staff members carrying out the study count as eligible costs.