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Factsheet for measure CZ-2021-1/3908 – measures in Czechia

Modernization Fund program

Programy Modernizačního fond

Country Czechia , applies nationwide
Time period Temporary, 01 January 2021 – 31 December 2030
Context Green Transition
Type Other initiatives or policies
Category Promoting the economic, labour market and social recovery into a green future
– Financing the green transition
Author Soňa Veverková (Research Institute for Labour and Social Affairs) and Eurofound
Measure added 31 July 2025 (updated 26 September 2025)

Background information

The State Environmental Fund of the Czech Republic (SEF) was designated by the Emissions Trading Act as the recipient of funds from the Modernisation Fund. The SEF thus plays the role of an intermediary for subsidies for this financial mechanism. Financing of individual measures from the Modernisation Fund is carried out through eight programmes and sub-programmes, which set out specific forms and conditions of support. The total amount available to the Czech Republic depends on the prices on the emission allowance market. The current estimate for the years 2021 - 2030 is CZK 380 billion.

Content of measure

Support programs from the Modernization Fund

  1. RES+ – New renewable energy sources Support for projects of new non-fuel renewable energy sources. 20% of the total Modernisation Fund resources are allocated for this programme.

  2. HEAT – Modernization of heat supply systems Support for projects for the use of RES and low-carbon sources intended for heating, such as changing the fuel base and modernization of heat energy distribution. 26% of the total Modernisation Fund resources are allocated for this programme.

  3. ENERG – Energy efficiency and reduction of energy consumption Support for measures to increase energy efficiency and reduce greenhouse gas production in industry, business, public buildings and the residential sector. 34% of the total Modernisation Fund resources are allocated for this programme.

  4. TRANSPORT – Modernization of transport Support for the acquisition of zero-emission vehicles and the construction of the necessary infrastructure. 10% of the total Modernisation Fund resources are allocated for this programme.

  5. GREENGAS – Renewable gaseous and liquid fuels Support for the production and use of gaseous and liquid fuels produced from renewable sources. 3% of the total Modernisation Fund resources are allocated for this programme.

  6. SMARTNET – Modernization of energy systems The program is focused on the modernization of public energy systems and increasing the resilience of the electricity system. 2.2% of the total Modernisation Fund resources are allocated for this programme.

  7. KOMUNERG – Community Energy Support for energy communities established to meet their energy needs where the main purpose is not to generate profit. 2.8% of the total Modernisation Fund resources are allocated for this programme.

  8. I+ – Innovative and Complex (Individual) Projects Support for projects supported by the Innovation Fund and complex projects whose focus goes beyond individual programs of the Modernization Fund. 2% of the total Modernisation Fund resources are allocated for this programme.

Use of measure

Data not yet known

Target groups

Workers Businesses Citizens
Does not apply to workers Sector specific set of companies
Other businesses
Does not apply to citizens

Actors and funding

Actors Funding
Other social actors (e.g. NGOs)
EU (Council, EC, EP)
European Funds
National funds

Social partners

Social partners' role in designing the measure and form of involvement:

Trade unions Employers' organisations
Role No involvement No involvement
Form Not applicable Not applicable

Social partners' role in the implementation, monitoring and assessment phase:

  • No involvement
  • Main level of involvement: N/A

Involvement

no involvement

Views and reactions

no information

Sectors and occupations

    • Economic area Sector (NACE level 2)
      H - Transportation And Storage H49 Land transport and transport via pipelines
      H52 Warehousing and support activities for transportation

This case is not occupation-specific.

Sources

Citation

Eurofound (2025), Modernization Fund program, measure CZ-2021-1/3908 (measures in Czechia), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/CZ-2021-1_3908.html

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Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.