Gothenburg-based ClimateTech startup Plagazi has received a substantial €29.5 million grant from the EU Innovation Fund. This significant funding will support the company's flagship project, the Gävle Circular Park (GCP), a pilot plant designed to transform non-recyclable waste into clean hydrogen energy using advanced plasma gasification technology. The grant is non-dilutive, meaning it won't require Plagazi to give up equity, and will aid in attracting further private investment.
The GCP project, selected from a highly competitive pool of applicants, aims to process 22,000 tons of waste annually, producing up to 4,000 tons of sustainable hydrogen. The project is expected to create over 20 jobs during construction and early operation, with an additional 30 anticipated as it scales. Plagazi's innovative process boasts a 206% greenhouse gas avoidance rate compared to traditional methods, making it a compelling solution for sustainable energy production.
The project's environmentally friendly approach also includes capturing CO₂ in liquid form, generating valuable by-products, and integrating community benefits. Surplus heat will even be fed into the local district heating network, promoting energy circularity. The financial close is projected for May 31, 2026, with plant operations commencing two years later.
Plagazi's success highlights the growing recognition of innovative waste-to-energy solutions and the EU's commitment to fostering a strong climate tech sector. The company's technology offers a significant advancement in sustainable hydrogen production, addressing a critical challenge in the global transition to clean energy.
