👉Read our full Q2 2025 Briefing:

🔭Looking ahead.For Europe, unlocking growth-stage debt at scale is crucial to achieve clean industrial leadership. Without bankable business models, blended finance structures and public guarantees sending positive signals to private investors, we cannot win this race.

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🇺🇸In comparison, €16.8 billion of debt investment across 29 deals were recorded in the US in Q2 2025 – a result of their deeper credit markets for cleantech innovators, withstanding political turbulences.

🚀Who is leading?.Both debt investment and deal figures are below records we have seen in the last two years, highlighting the lingering challenge of debt-financing cleantech projects in the EU.

🔎Zooming in on Cleantech Q2 2025 Debt Funding🔎. In our latest Quarterly Briefing, we saw a slight upwards trend in EU cleantech debt investment, reaching €1.7 billion in Q2 2025. Also deal volume increased, climbing from 12 to 20 deals in the last quarter.🧵

Ultimately, echoing again Draghi, the challenge for Europe is going to be to act with determination and decisiveness not only during emergencies, but also in ordinary times. Only bold and strategic solutions can take us to clean industrial leadership.🧭.

🇪🇺We believe that this choice should be based on key requirements such as resilience, sustainability, and explicit EU preference criteria in some cases. The upcoming Industrial Decarbonisation Accelerator Act (IDAA) represents a unique opportunity here.

🎯This scale-up will require a unified and focused approach. As Draghi rightly points out, governments must determine which technologies to focus their industrial policy on and remove barriers in the single market.

💪Cleantech ‘Made in Europe’ can strengthen our industrial competitiveness, provide energy security and resilience, and help us achieve a sustainable future for the continent. We have the innovation and the technologies in Europe – we just need to scale them.

❗One year on from Draghi’s report, it seems that the necessary urgency around the precarity of the situation is still lacking among some policymakers. A crucial step to take is to not get left behind in the race for critical technologies.

🛡️Whether it’s the newly imposed tariffs from the EU-US trade deal or China’s grip on our supply of critical raw materials – Europe needs to shift from acting as a spectator to being the lead actor.

🚀Scaling up European cleantech will require bold choices🚀. Last Friday, Mario Draghi delivered an impactful speech at the Rimini Meeting in Italy, reflecting on Europe’s trajectory ahead.🧵

Learn more about the progress and challenges of industrial heat electrification in our dedicated Cleantech Reality Check, developed in partnership with @Breakthrough and featuring analyses by @SYSTEMIQ_Ltd:

🔹Include commitments to support local value chains and adhere to EU cybersecurity frameworks, strengthening Europe’s economic resilience and strategic autonomy

🔹Lower the cap on grant amount and project size for broader access to funding, notably for key industrial segments .🔹Enable the participation of SMEs through a specific @EIB guarantee instrument to unlock project pipelines currently held back by financing barriers.

Our recommendations are to:.🔹Support innovative solutions for system flexibility and industrial resilience, such as electrothermal energy storage.🔹Introduce a threshold of minimum GHG emission reduction to ensure deep decarbonisation.

To accelerate this transition, we recently took part in the @EU_Commission's stakeholder consultation on the Draft Terms & Conditions for the 2025 Innovation Fund auction for industrial process heat decarbonisation, under the newly proposed Industrial Decarbonisation Bank (IDB).

🏭Yet, less than 10% of industrial process heat is currently electrified. Decarbonising this sector and supporting the market uptake of electrified and direct renewable process heat technologies is crucial for Europe’s clean industrial transition.

⚡Advancing decarbonisation of industrial heat through electrification⚡. Industrial process heat is the single largest source of energy consumption in Europe’s industrial sector – mostly powered by fossil fuels. It accounts for around 75% of industry’s overall GHG emissions.🧵

Europe needs to double down and focus on putting in place measures aimed at building industrial leadership in cleantech – the time to act is now. ⏰. Read our full briefing: