Flemish government extends energy support for industry to additional sectors

29/05/2026

The Flemish government is extending its energy support for industry. Last week, it reached an agreement in principle on how it will use federal funds to support businesses in energy-intensive sectors.

Last year, the federal government had earmarked 944 million euros to help the energy-intensive industry, partly using funds from the European Emissions Trading System. However, the Council of State partially rejected the federal plans. The government had intended to implement the direct bill discount scheme via the European Clean Industrial Deal State Aid Framework (CISAF), but according to the Council of State, this falls within regional competence. Consequently, 45 per cent of the plans will be implemented via the regions.

The Flemish government will use its budget to extend existing energy support for businesses to additional sectors, announced minister president Matthias Diependaele and Energy minister Hans Bonte. This will be on the condition that the businesses receiving the support reinvest a portion in, for example, energy efficiency or the production of renewable energy. The new sectors include organic chemistry, certain ceramic activities, wood processing and parts of the food sector.

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In concrete terms, around 70 companies will be added to the 37 that are already receiving support from Flanders. They will be eligible for funding from the 2026 emissions year (with payments starting from the 2027 financial year). However, as long as there is no agreement between Belgium’s different governments, the European funds from emissions trading remains blocked.

Criticism green party

The Flemish green party Groen has reacted critically. “It is said that industry must invest part of this support in, for example, green energy, but exactly what proportion that should be is highly unclear,” stated Flemish MP Eva Platteau of Groen. “For us, this really is not acceptable without firm guarantees. No more blank cheques for polluting companies like ExxonMobil and Total Energies.”

^{#FlandersNewsService | Total Energies oil refinery at the Port of Antwerp © PHOTO BELGIAN_FREELANCE / Werner Lerooy}

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