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Net-Zero Industry Act (NZIA)

Regulation (EU) 2024/1735, known as the Net-Zero Industry Act, sets a legal framework to scale up EU manufacturing of clean technologies by streamlining permitting procedures, setting capacity targets, and increasing transparency - supporting the EU’s energy transition and climate objectives.

What You Need to Know

Date of Adoption:
13-Jun-24

Targets
40% of EU deployment needs by 2030
The EU aims to produce at least 40% of the net-zero technologies it deploys annually (e.g. solar panels, batteries, heat pumps) within its own borders by 2030. This reduces reliance on imports and strengthens industrial resilience.

15% of global production by 2040
The EU wants to become a major global player in clean tech manufacturing, targeting 15% of worldwide output for key net-zero technologies by 2040.

50 Million tonnes CO₂ injection capacity by 2030
To support industrial decarbonisation, the EU will establish geological storage sites capable of injecting and storing at least 50 Mt of CO₂ per year by 2030. This includes using depleted oil/gas fields and saline aquifers.

Industry Support

  • Strategic project status for priority permitting
  • Acceleration Valleys for industrial clustering
  • Regulatory sandboxes for innovation
  • SMEs priority access and support

Scope of application
The NZIA encompasses final products, components, and machinery necessary for manufacturing net-zero technologies, including

  • Solar photovoltaic and solar thermal technologies
  • Onshore and offshore renewable technologies
  • Battery/storage technologies
  • Heat pumps and geothermal energy technologies
  • Hydrogen technologies, including electrolysers and fuel cells
  • Sustainable biogas/biomethane technologies
  • Carbon capture and storage (CCS) technologies
  • Grid technologies
  • Nuclear fission energy technologies, including nuclear fuel cycle technologies
  • Sustainable alternative fuels technologies
  • Hydropower technologies
  • Other renewable energy technologies
  • Energy system-related energy efficiency technologies, including heat grid technologies
  • Renewable fuels of non-biological origin technologies
  • Biotech climate and energy solutions
  • Other transformative industrial technologies for decarbonisation
  • CO2 transport and utilisation technologies
  • Wind propulsion and electric propulsion technologies for transport
  • Other nuclear technologies

More about this regulations

Type of Requirement
International due diligence instruments referenced
Geografical focus

Issued by

European Union

Reviewed on August 22, 2025 by

Isadora Costa

EIT RawMaterials
Senior Project Officer Responsible Sourcing at EIT RawMaterials

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