Modernisation Fund in Practice: Governance, Management and Control Systems for High-Impact Climate Investments

The Modernisation Fund has rapidly become one of the EU’s flagship instruments for financing the clean energy transition in 13 beneficiary Member States, with billions of euro already disbursed to modernise energy systems and improve energy efficiency. At the same time, it operates under a governance model that is different from “classic” shared-management funds, combining strong responsibility for Member States with a central role for the EIB and the Investment Committee.

This 2-day training  is a hands-on lab on how to organise management and control systems for the Modernisation Fund as a lever for results. Starting from the EU-level rules (ETS Directive and Implementing Regulation 2020/1001) and the core governance triangle – beneficiary Member States, European Commission and EIB – we will unpack the full investment cycle: from project pipelines and calls/schemes, to appraisal, disbursement, monitoring, reporting and audit.

Using Romania’s experience as a central case study – including the Ministry of Energy as national authority, the Supervisory Committee and technical working groups, delegated bodies in transport and agriculture, implementation partners, financial flows and the planned shift from grants to financial instruments – participants will work through concrete governance and control questions: Where to locate functions? How to coordinate with Ministries of Finance, energy regulators and promotional banks? How to design calls and schemes that are fast, compliant and result-oriented?

The seminar is designed for practitioners: professionals already managing Modernisation Fund operations, colleagues from Managing Authorities and Intermediate Bodies for Cohesion Policy and RRF, promotional banks and potential scheme managers, as well as future beneficiaries (public and private) interested in understanding how systems work “behind the scenes”. Through peer exchange, case clinics, and small-group exercises, participants will compare national set-ups, identify bottlenecks, and sketch concrete improvements or action plans for their own institutions – so that the Modernisation Fund becomes not only a source of money, but also a model for efficient and robust management and control of EU-funded climate investments.

Participants will explore the Modernisation Fund from two complementary angles:

1. The macro-governance layer

We unpack how the Modernisation Fund is steered at EU level:

• ETS Directive & Implementing Regulation
• the roles of the EC, EIB and Investment Committee
• the investment cycle and decision flow
• how Member States prepare, justify and negotiate investments

2. The national operational layer

Using real examples from Member States (including Romania), we explore:

• institutional design and assignment of functions
• internal committees and working groups
• pipeline and project selection processes
• how to design schemes and calls that are fast, compliant and focused on impact
• cooperation with energy authorities, environmental authorities, finance ministries and financial intermediaries
• models for delegating functions to banks, agencies or sectoral bodies

3. Controls, assurance & risk management

Participants will work through:

• key risks and required control measures
• verification, monitoring and reporting obligations
• coordination with audit bodies
• alignment with State aid, DNSH and double-funding safeguards
• preparing for EIB/EC oversight and Investment Committee scrutiny

4. Hands-on exercises & peer exchange

The workshop includes:

• system-mapping exercises
• governance and control “stress tests”
• case clinics on scheme design and institutional coordination
• drafting operational improvements for national systems

The format is highly interactive: short expert inputs, group work, peer feedback, and targeted discussion. Participants leave with a clearer governance model, practical solutions to common bottlenecks, and actionable improvements for their own institutions.

The Agenda will be available shortly