Klima-UFK ensures the supply of future energy carriers

With the introduction of the Klima-UFK, the Federal Government is supporting transformation projects worldwide that have German participation. The Untied Loan Guarantee have so far mainly been used for raw materials. Now, this cover instrument will be expanded and also made available for projects that contribute to the supply of sustainable energy to German industry on the basis of long-term offtake contracts. In this way, the so-called “Klima-UFK” closes a gap in the supply chain by securing the availability of future energy carriers that cannot be produced in sufficient quantities in Germany itself. The instrument thus creates a specific incentive for supporting the German industry and Germany as a business location in its transformation efforts and in competition with other countries.

Previously mainly used for raw materials, the Untied Loan Guarantee instrument will be expanded to cover the following fields:

• Products and/or technologies eligible for cover in the field of climate protection and in the light of raw material supply considerations, in the case of
  • energy carriers, such as “green” hydrogen, synthetic fuels or battery technologies;
  • the chemical industry, such as “green” methanol or “green” ammonia
  • other industries, such as “green” steel or electricity/power transmission
     
• Transformation projects abroad and thus mainly projects related to energy carriers as well as energy production and energy infrastructure as well as the projects of downstream, energy-intensive industries that make a significant contribution to decarbonisation
   
• Support for a German company in international business transactions with respect to the specific individual transaction.The UFK instrument, which was previously limited to raw materials, is now being extended to the following areas:
   

Procedure

The risk assessment, the decision-making processes on the Interministerial Committee and the premium calculation are carried out in a manner similar to that applicable to the standard Untied Loan Guarantees.

Further information can be found in the product information (PDF).