At the climate meeting in February 2020, the Government announced the establishment of a climate fund based on the State Business Development Company Vake. During the budget session in September, the Government transformed Vake into the Climate Fund and control of the company was transferred to the Ministry of Economic Affairs and Employment.
The fund’s main investments are industrial scale projects, such as projects related to the demonstration phase of a new climate technology or a pilot plant. The average size of these projects is EUR 10-50 million.
The Climate Fund will fund its activities with the returns on its capital. It will have approximately EUR 90 million in disposable funds at the start of its operations. An additional EUR 300 million will be allocated from the state budget as per the 7th supplementary budget for 2020.