The European Commission has launched a €35 million call for eco-innovation projects that turn environmental challenges into business opportunities to be funded under the Competitiveness and Innovation Programme. Under the 2010 CIP Eco-innovation call for proposals, funds are available for new projects in the area of materials recycling, sustainable building products, the food and drink sector and green business practices.

CIP Eco-Innovation is part of the Entrepreneurship and Innovation Programme (EIP) which seeks to support innovation and small and medium-sized enterprises (SMEs) in the EU

Applications for this call are particularly welcome from small businesses with green products or services that need backing to penetrate markets. The call opens today and runs until 9 September 2010, but it has not been published on the Official Journal of the EU yet. Some 50 projects could end up being chosen for funding.

The call covers four main areas:

• Material recycling
• Sustainable building products
• Food and drink sector
• Green business

Up to 50% of project costs covered

The call is addressed particularly to SMEs that have developed a green product, process or service that is technically proven but is still struggling to find its place in the market. The call offers direct co-financing with grants that cover up to 50% of the total project cost. The €35 million funds available for the 2010 call are expected to bring to life between 45 and 50 new projects.

The projects are selected on the basis of their innovative approach, their market replication potential and their contribution to European environmental policies, especially in terms of resource efficiency.

Some 44 projects are currently running under the scheme, and another 45 are set to launch in the course of this year. Some examples include: converting used tyres into valuable insulation materials or using bamboo plantations to purify 'grey' water.

The 2010 call for proposals will be presented during the CIP Eco-innovation Info Day taking place in the Charlemagne building in Brussels. The deadline for submissions is 9 September.