For food & beverage producers, chemical processors, and any industrial company that relies on heat, the SDE++ subsidy round is one of the most important financial instruments available in the Netherlands right now.
If your production process runs on steam, hot water, or process heat between 120°C and 475°C, there is a realistic path to replacing that fossil fuel demand with renewable heat, and having a significant portion of the economics underwritten by the Dutch government.
What SDE++ pays for:
SDE++ is not a one-off capital grant. It is a production subsidy paid over 12 to 15 years, compensating the difference between the cost of producing renewable heat and the avoided fossil fuel price. For industrial heat applications, the scheme currently supports:
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- Solar thermal heat generation (including concentrated solar thermal systems reaching process temperatures up to 475°C).
- Power-to-Heat via electric heaters combined with thermal storage.
The subsidy is calculated per GJ of renewable heat delivered. Over a multi-year contract, this creates a predictable, bankable revenue stream, which is what makes project financing and Heat Purchase Agreement structures viable.
Why food & beverage and chemicals are strong candidates
Not every industrial site qualifies equally. The sectors with the strongest SDE++ business cases share a common profile:
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- Stable temperature requirements in the 120°C to 400°C range.
- Large enough heat volumes to justify system scale.
- Large enough electrical capacity.
- Existing steam infrastructure that can integrate a new heat source.
Dairy processing, confectionery, beverages, industrial drying, chemical reactions, and distillation, for example, all fit this profile closely. If your site runs a gas-fired boiler for process steam, hot oil, or hot air five, six, or seven days a week, you are likely in the right segment.
Working principle: how SDE++ functions in practice
The working principle of SDE++ for industrial heat is straightforward. The scheme pays a fixed subsidy per GJ of renewable heat produced and delivered to your process, over the full subsidy period. The subsidy rate is set at the time of application and does not change, giving both the operator and the project financier long-term cost certainty.
The system must meet defined technical standards, be metered independently, and deliver heat within the approved temperature range specified in the application. For integrated systems combining solar thermal, power-to-heat, and thermal storage, each component’s contribution is accounted for within a single project submission.
This working principle is what makes the Heat Purchase Agreement model possible: the subsidy revenue is predictable enough to underpin project finance, which means the industrial operator does not need to put capital on the table.
The SDE++ application process: what it actually involves
Many companies assume the application is straightforward. In practice, it requires careful preparation across three areas:
- Technical documentation: heat demand profile by temperature and time of year, existing infrastructure, available roof or land area for solar thermal, grid connection details.
- Economic modelling: projected renewable heat output, subsidy calculation, avoided fossil fuel costs, total cost of ownership.
- Building permit status: this is a step many applicants underestimate. A valid building permit is required before the SDE++ application can be completed. For installations on existing industrial sites, this typically involves a zoning check, structural assessment, and in some cases environmental permit alignment. Starting the permitting process early is not optional, it sits on the critical path.
Incomplete or poorly substantiated applications are regularly rejected or scored too low to receive funding. Budget allocation is competitive. The projects that succeed are the ones that arrive well-prepared.
From Suncom Energy, we can do the applications for you. From technical documentation and economic modelling to building permit coordination and submission, our team manages the full SDE++ application process on behalf of industrial clients. You focus on your production. We handle the paperwork.
Timeline: what to plan for
This is where most companies lose their window. The SDE++ process has multiple sequential steps, and the timeline is less forgiving than it appears:
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- Months 1–2: Site assessment, heat demand mapping, feasibility study.
- Months 2–4: Building permit application and technical design.
- Months 3–5: SDE++ application preparation and submission.
- Months 5–9: RVO review and subsidy award decision (RVO’s standard review period is 13 weeks, with a possible extension of an additional 13 weeks).
- Months 9–21: Engineering, procurement, and installation (typically approximately one year of construction time).
- Month 21+: System commissioning and start of renewable heat delivery.
Companies that begin the process after the subsidy round opens are typically too late to submit a complete, competitive application in the same round. The companies that secure SDE++ funding are the ones that started their feasibility work 6 months in advance.
If you are reading this now, the timeline still works in your favour, but the window is narrowing.
The Heat Purchase Agreement model (HAAS) : no capital required
Under a Heat Purchase Agreement, Suncom Energy owns, finances, and operates the renewable heat system on your site. You purchase the heat delivered at a pre-agreed price, typically below your current gas-based cost. The SDE++ subsidy flows to the project vehicle, making the investment bankable for infrastructure financiers.
For the industrial operator, this means:
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- No capital expenditure on the balance sheet.
- Predictable heat costs with protection against gas price increases.
- Immediate and verifiable CO₂ reduction.
- No operational responsibility for the system.
Talk to our team
Suncom Energy is actively developing SDE++ projects across the Netherlands. We assess site eligibility, structure the financing, manage the building permit process, and submit the SDE++ application, end to end.
If you want to know whether your site qualifies and what a project could look like, our business developers in the Netherlands are available for an initial conversation. No obligation. No complexity on your side.
Contact our team today. Suncom Energy can do the applications for you, and turn your heat demand into a funded decarbonization project.



