ECOFIN - Economic and Financial Affairs Council

12/15/2025 | Press release | Distributed by Public on 12/15/2025 04:10

MFF: Council adopts partial mandate on the Connecting Europe Facility (CEF III) 11:00 The Council reached a partial negotiating position on the 2028-2034 Connecting Europe[...]

The Council today reached an agreement on the operational provisions of the proposed regulation establishing the Connecting Europe Facility for the period 2028-2034 (CEF-III). The proposal is part of the next multiannual financial framework (MFF) and consists of two portfolios, CEF transport and CEF energy. It is the first agreement on a proposal of the next MFF.

The updated CEF will continue to play a central role in strengthening investments in Europe's strategic infrastructure. It will support cross-border connections in both transport and energy, including dual-use transport infrastructure for military mobility, improve security of supply and accelerate the clean energy transition. The Council's position builds on CEF's current structure while providing a flexible and agile investment framework to reflect Europe's new geopolitical context, the need to reinforce critical networks and to integrate growing shares of renewable energy.

The negotiating position is partial because it excludes financial and horizontal issues. These are currently being discussed as part of the negotiations on the next multiannual financial framework (MFF) covering the period 2028 to 2034.

Energy infrastructure is what links us together. Today's agreement provides the framework for new investments in Europe's energy infrastructure, strengthens support for cross-border projects and ensures that no member state is left isolated. A more connected EU will bring energy prices down, strengthen competitiveness and improve energy security.

Lars Aagaard, Denmark's minister for energy, climate and utilities

Over the years, the Connecting Europe Facility has been vital to developing Europe's transport infrastructure by creating a strong TEN-T network. Today, the challenges before us are significant. Our Council compromise supports the creation of a smart, safe, resilient, interoperable, and sustainable transport network, with particular emphasis on dual-use military mobility and cross-border connections.

Thomas Danielsen, Denmark's minister for transport

Main changes in the Council mandate

In its position, the Council aims at ensuring a stronger involvement of member states in the adoption of work programmes and the selection of projects that will receive funding from CEF. The Council also further framed the eligibility and award criteria applicable to receive funding, as a part of the regulation.

The Council's position also reflects that the geographical specificity of each member state, in particular island member states, should be taken into account when considering the cross-border dimension of projects eligible for funding under the CEF.

Main transport provisions

Main changes with regards to the transport provisions in the CEF proposal relate to the annex, where member states have broadened the indicative list of projects of common interest with a cross-border dimension.

In the field of military mobility, the Council streamlined certain provisions of the original proposal, confirming the importance of CEF focusing on the four EU priority military mobility corridors, identified in the document on 'military requirements for military mobility within and beyond the EU'.

At the same time, the Council stresses the need to fully respect member states' sovereignty over their national territory and national decision-making processes regarding military mobility, as well as to ensure that due consideration is paid to security and public order.

Main energy provisions

The Council introduced a number of targeted amendments to the CEF energy to clarify objectives, strengthen consideration to resilience and ensure flexibility of the investment framework with evolving EU energy policy.

The text now explicitly emphasises the importance of completing the Energy Union, through the development of projects of common interest (PCIs) and mutual interest (PMIs) as a central objective of the programme. It reinforces the focus on eliminating interconnection bottlenecks, ending energy isolation and integrating the internal market. It also stresses the protection and resilience of critical energy infrastructure, including against cyber and hybrid threats, reflecting the geopolitical context and the arising challenges to European security.

The Council position reaffirms the key role of renewable energy in driving the energy transition and securing the EU's energy supply. The text further frames the conditions for CEF support to cross-border renewables projects, emphasising cost-effectiveness, system integration and decarbonisation.

Next steps

The partial negotiating position approved today is the Council's mandate to start negotiations with the European Parliament on CEF III. The decision on the programme's budget for 2028-2034 will depend on the final agreement on the next MFF.

Background

The Connecting Europe Facility (CEF) is a key EU funding tool supporting the EU's green transition and decarbonisation objectives, with the goal of developing a high-performing, sustainable trans-European networks for transport and energy.

The Commission presented the proposal for the 2028-2034 CEF on 16 July 2025 as part of the wider package for the next MFF.

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