European Commission Presents Investment Plan for Climate-Neutral Transport

With a comprehensive transport package adopted in early November, the European Commission has set a new course for climate-neutral mobility in Europe. At its core is the Sustainable Transport Investment Plan (STIP), which aims to boost investment in renewable and low-carbon fuels, particularly for the aviation and maritime sectors. The initiative is designed to bring the EU closer to its goal of a climate-neutral economy while strengthening its global competitiveness.

According to the Commission, around 20 million tonnes of sustainable fuels — including biofuels and e-fuels — will be needed by 2035 to meet the targets of the ReFuelEU Aviation and FuelEU Maritime programs. The STIP foresees total investments of around €100 billion to achieve this. By 2027 alone, at least €2.9 billion will be mobilised through EU instruments, including:

• €2 billion via InvestEU for sustainable alternative fuels,
• €300 million through the European Hydrogen Bank to support hydrogen-based fuels,
• €446 million from the Innovation Fund for synthetic aviation and maritime fuels, and
• €133.5 million under Horizon Europe for research and development in alternative energy carriers.

In addition, an eSAF Early Movers Coalition is to be launched by the end of 2025, expected to mobilise at least €500 million for projects producing synthetic aviation fuels. The Commission also plans to establish a market mechanism to connect producers and buyers of climate-neutral fuels, providing revenue certainty and reducing investment risks.

“This package strengthens Europe’s competitiveness while taking a decisive step towards a net-zero future,” emphasized EU Commissioner Apostolos Tzitzikostas. By expanding high-speed rail and investing in renewable and low-carbon fuels, Europe’s transport system will become cleaner, more resilient, and more affordable for citizens.

The plan highlights that decarbonising the transport sector is a key pillar on the path to climate neutrality. Investments in green molecules such as hydrogen and e-fuels play an essential role in reducing dependence on fossil energy sources and positioning Europe as a technology hub for sustainable mobility.