Community Energy Watch | Funds

Just Transition in the Making
Last modified: February 2025
  • The Energy Community of the Municipality of Kozani has received the first public funding of €5.4 million for the installation and operation of 7 MW self-production projects from the Just Development Transition Programme 2021-2027. The project will implement the virtual net metering scheme to cover the energy needs of its members, namely the Municipality of Kozani, the Municipal Water Supply and Sewerage Enterprise of the Municipality of Kozani, the Waste Management Company of Western Macedonia, the Managing Company of the Industrial Park of Kozani, the Municipal Enterprise for Active Urban Planning of Kozani SA and the local government development organization “Development of the Municipality of Kozani SA”.
  • The call “Supporting energy communities for the development of self-production actions” of the Special Service for Just Development Transition of €41.7 million is open for proposals until 31 December 2024.
  • Energy Communities in the Operational Programmes 2021 – 2027: the Operational Programme “Western Greece 2021 – 2027” includes an action for Energy Communities of €17 million that will support the installation and operation of 7 RES projects of Energy Communities to meet the energy needs of Local Organizations for Land Improvement, local authorities, water supply companies and legal entities in Western Greece. Also, the Operational Programme “Ionian Islands 2021 – 2027” includes a pilot action of €850,000 aimed at establishing Energy Communities in the Region of Ionian Islands.
  • The Sectoral Programme Environment and Climate Change 2021 – 2027 mentions the support of actions to develop RES projects by Energy Communities, mainly in islands, mountainous and remote areas, but no action has been taken.

Lignite Regions

Financing of energy communities in the lignite regions
Source Period Amount
(mil. €)
Amount for EnCom (mil. €)
EU ETS auctioning revenue 2018 31,41 3,06
2019 30,57 0
2020 5,07 -
2021 45,66 -
2022 14,96 -
2023 16,49 -
Subtotal 2018-2023 144,16 3,06
Just Development Transition Program 2021 - 2027 1406,89 102,11
Available 26,85
Total resources 1551,05 105,17

Especially in the lignite regions, Energy Communities have access to additional national and European resources in the context of the Just Transition.

EU ETS auctioning revenues: public revenue obtained from the auctioning of the emission allowances distributed to Greece from the EU Emissions Trading System is directed to lignite regions in order to shift the regional economies towards sustainable economic activities. For the 2018-2024 period were managed by the Green Fund, while from 2025 they will be managed by the Special Agency for the Just Development Transition .

Just Development Transition Program (PDAM) 2021 – 2027: European resources channeled via the European Just Transition Fund (JTF). The beneficiaries of the program include Energy Communities with regard to projects involving energy efficiency; self-production from RES; the installation of heat pumps for heating/cooling; the construction of residual biomass plants; and the construction of small biogas plants utilizing livestock and agricultural residues.

  • RECs, CECs and Energy Communities under Law no. 4513/2018 can be included in: the development law as a distinct form of cooperative organization; the Law on Social Cooperative Enterprises; as well as in other programs funded by national or European resources, in accordance with state aid rules.
  • The Ministry of Environment and Energy may use EU funds and National Development Program resources to support the implementation of virtual net-metering by RECs by launching programs for the installation of their photovoltaic plants and storage systems.
  • Bank loans constitute another source of funding for Energy Community projects. However, they are extremely difficult or even impossible to obtain for self-production projects; therefore, local communities that depend on these resources to support their projects are typically deprived of this possibility.
  • To date, no distinct funding instrument exists for Energy Communities, such as a development fund.