Rasph

Phlair and the EIC Accelerator: A CO2 Capture Plant Shrunk to 10 t

September 30, 2026970 words5 min

Phlair, which renamed itself from Carbon Atlantis in September 2024 and is based in Ismaning near Munich, captures carbon dioxide from the air using an electrochemical "pH swing": an all-electric, low-temperature process that uses salt solutions instead of heated sorbents and is designed to run on intermittent solar power. Its EIC Accelerator project, CAPTURE, receives an EU contribution of €2,494,673 and runs from November 2024 to October 2026, according to CORDIS. The award described the deliverable as a minimum viable "Gen3 stack capable of capturing 500 tonnes CO2 per year from the air".

The project's first report, now titled for a plant "capable of capturing 10 tonnes CO2 per year", says that "albeit the initial assumption to develop a 500 tCO2/year demo plant, challenges explicitly discussed in the progress meeting presentation led to deviations in plant capacity and location", according to CORDIS. Phlair built the smaller demonstration plant, Electra 00, at its Ismaning headquarters, commissioned it and ran it "over multiple hours", including on solar power, and it achieved TÜV certification. The electrolyser stack was scaled back because of membrane manufacturing limits; a stack with fewer than ten cells has been built and tested, while the 42-cell target is "still underway".

10 tDemo capacity per year, down from 500
$30.6MFrontier offtake, 47,000 t
€14.5MSeed round incl. EIC grant
-€3.0MNet loss, 2024

Company file

Legal entity
Phlair GmbH (formerly Carbon Atlantis GmbH), Ismaning
Managing directors
Malte Feucht, Steffen Garbe, Paul Teufel
Technology
Electrochemical pH-swing direct air capture
Investors
Extantia Capital, Planet A, Verve Ventures
Customers
Frontier buyers, Shopify, Stripe, Klarna, Deep Sky
Partners
Covestro, Deep Sky (Canada), ionysis, WISAG
EIC funding
Grant only, €2.49M

Where Phlair Stands Now

Commercially, Phlair has moved faster than its hardware. In February 2025, Frontier, a carbon removal buying group, agreed that its buyers would pay $30.6 million to remove 47,000 tonnes of CO₂ between 2027 and 2030, supporting a first commercial-scale plant in Alberta, Canada, according to Frontier. The German government awarded it €8.2 million from December 2025 for a project called E3CO2-SUV and a further €0.9 million in 2026, according to North Data, which also shows losses of €0.87 million in 2023 and €3.0 million in 2024.

"Challenges explicitly discussed in the progress meeting presentation led to deviations in plant capacity and location."

Phlair, EIC project report

The Technology: Capturing CO₂ Without Heat

The EIC report says incumbent direct air capture approaches are held back by high energy use, poor fit with intermittent power and degrading organic sorbents. Phlair's electrolyser changes the acidity of salt solutions to capture and release CO₂, and stores the solutions in tanks so the energy-hungry step can run only when solar power is available. Frontier says Phlair targets less than 1.5 megawatt-hours per tonne, which it estimates at about 1.3 times lower than the average of other electricity-intensive removal approaches. The commercial unit is now defined as a 1,000-tonne-a-year module, the report says.

What the EIC Award Promised, and What the Record Shows

The EIC funded a 500-tonne minimum viable product. The report describes a 10-tonne plant at a different location and an electrolyser stack still being scaled. The project ends in October 2026. Phlair did build, certify and operate a working plant and filed two patents, so the technology moved forward, but at a fiftieth of the scale in the award.

  1. 500 t/year demo plantDownsized10 t/year.
  2. Plant commissionedDeliveredElectra 00, TÜV.
  3. 42-cell stackIn progressSingle-digit stack.
  4. CustomersSignedFrontier offtake.

The Money

Phlair's €14.5 million seed, announced in September 2024, was led by Extantia Capital with Planet A and Verve Ventures and counted the €2.5 million EIC grant within its total, according to Renewable Carbon News. At the time it said the money would bring its first plants online in 2025. Phlair was founded in 2022 by Malte Feucht, Paul Teufel and Steffen Garbe. German federal grants now exceed the EIC's contribution.

What Cannot Be Checked

Questions for the EIC

What challenges forced the downsizing, whether the EIC agreed to amend the deliverables, what energy use per tonne the demo plant achieved, and when the Alberta plant will be built are not public.

Why Europe Should Care

The EIC report cites an EU need for 280 megatonnes of carbon capture by 2040, a quarter of it from direct air capture. Phlair's approach could make that cheaper if it works at scale. But its first commercial plant is planned in Canada, and its European demo is small.

What the award promised

A 500-tonne-a-year minimum viable direct air capture product.

What the record shows

A 10-tonne demo plant, big buyer commitments, stack still scaling.

The Verdict

Sold ahead, built smaller

Phlair has buyers and grants lined up. Its EIC demo shows the chemistry works, at a scale far below the promise.

Phlair and the EIC have not been asked for comment for this article. It is based entirely on public records and published statements, linked throughout.

Industry

Climate and environmentCarbon management

Focus
  • Direct air capture
Technologies
  • Electrochemistry
Keywords
  • Carbon removal credits
  • pH swing
  • Solar-powered capture

Start with the EIC Accelerator

Expert review for Step 1 and Step 2, suitability assessment and grant screening.

Eureka Network

Eureka Network offers multiple international collaborative R&D programs including Network Projects, Clusters, Eurostars, Globalstars, and Innowwide, with funding ranging from €50K to €6.75M per project depending on the specific program. The network focuses on market-driven innovation and deep-tech development across diverse technology sectors including ICT/Digital, Industrial/Manufacturing, Bio/Medical Technologies, Energy/Environment, Quantum, AI, and Circular Economy. Applicants include SMEs, large enterprises, research organizations, universities, and startups, with Eurostars specifically targeting R&D-performing SMEs.

EIC Transition

EIC Transition provides up to €2.5 million in funding to bridge the 'valley of death' between laboratory research and market deployment, focusing on technology maturation and validation. The program supports single legal entities or small consortia of 2-5 partners including SMEs, start-ups, spin-offs, and research organizations. Technology areas include Health/Medical Technologies, Green/Environmental Innovation, Digital/Microelectronics, Quantum Technologies, and AI/Robotics.

EIC STEP Scale-Up

EIC STEP Scale-Up offers substantial equity investments of €10-30 million for established deep-tech companies ready for hyper-growth and large-scale expansion. The program targets SMEs or small mid-caps with up to 499 employees who have secured pre-commitment from qualified investors. Focus areas include Digital & Deep Tech (Semiconductors, AI, Quantum), Clean Technologies for Net-Zero goals, and Biotechnologies.

EIC Pre-Accelerator

EIC Pre-Accelerator is a pilot program providing €300,000-€500,000 in funding for early-stage deep-tech development and preparation for the EIC Accelerator program. The initiative is exclusively available to single SMEs or small mid-caps from 'Widening countries' to support regional innovation development. The program covers deep-tech innovations across physical, biological, and digital domains.

EIC Advanced Innovation Challenges

EIC Advanced Innovation Challenges is a new pilot program offering €300,000 (Stage 1) and up to €2.5 million (Stage 2) for breakthrough deep-tech solutions through ARPA-style staged funding with demand-side integration. The program targets single entities or small consortia (2-3 partners) including SMEs, start-ups, and research organizations. Focus areas include Physical AI for autonomous robotics and New Approach Methodologies (NAMs) for animal-free biomedical testing, requiring TRL 4 entry with end-user commitment.

EIC Pathfinder

EIC Pathfinder offers up to €3 million for Open calls and up to €4 million for Challenge-based calls to support early-stage research and development with proof-of-principle validation. The program requires research consortia with a minimum of 3 partners from 3 different countries, including universities, research organizations, and SMEs. Technology focus areas include Health/Medical, Quantum Technologies, AI, Environmental/Energy, and Advanced Materials.

EIC Accelerator

EIC Accelerator provides flexible funding options including blended finance (€2.5M grant + €0.5M-€10M equity), grant-only (up to €2.5M), or equity-only arrangements for scale-up and market deployment of breakthrough innovations. The program targets SMEs, start-ups, and small mid-caps with up to 499 employees, with MedTech/Healthcare representing 35% of funded projects. Other technology areas include Biopharma, Energy, AI, Quantum, Aerospace, Advanced Materials, and Semiconductors.

Innovation Partnership

Innovation Partnership facilitates collaborative innovation between public and private sectors with typical funding of €1-5 million per project. The program supports cross-sectoral strategic technologies through public-private partnerships and consortia. Projects focus on addressing societal challenges through collaborative innovation approaches.

Innovation Fund

The EU Innovation Fund provides substantial funding of €7.5 million to €300 million for large-scale demonstration of innovative low-carbon technologies. The program targets clean energy, carbon capture, renewable energy, and energy storage technologies to accelerate the transition to a low-carbon economy. Applicants include large companies, consortia, and public entities capable of implementing large-scale demonstration projects.

Innovate UK

Innovate UK offers various programs with funding ranging from £25K to £10M depending on the specific initiative, supporting business-led innovation, collaborative R&D, and knowledge transfer. The organization funds projects across all sectors with particular focus on emerging technologies and supports UK-based businesses, research organizations, and universities. Programs are designed to drive economic growth through innovation and technology commercialization.

Industrial Partnership

Industrial Partnership provides €2-10 million in funding for industrial research and innovation partnerships focusing on manufacturing, industrial technologies, and digital transformation. The program supports industrial consortia and research organizations in developing collaborative solutions for industrial challenges. Projects aim to strengthen European industrial competitiveness through strategic partnerships.

Eurostars

Eurostars is a joint EU-Eureka program offering €50K-€500K for international R&D collaboration specifically led by SMEs. The program takes a bottom-up approach, accepting projects from all technology fields without predefined thematic restrictions. R&D-performing SMEs must lead the consortium and demonstrate significant R&D activities.

LIFE Programme

The LIFE Programme provides €1-10 million in funding for environmental protection, climate action, and nature conservation projects across the European Union. The program supports environmental technologies, climate adaptation strategies, and biodiversity conservation initiatives. Applicants include public authorities, private companies, NGOs, and research institutions working on environmental and climate challenges.

Neotec

Neotec is a Spanish program offering €250K-€1M in funding for technology-based business creation and development, supporting the growth of innovative Spanish SMEs and start-ups. The program covers all technology sectors and aims to strengthen Spain's technology ecosystem. Funding is specifically targeted at Spanish technology-based SMEs and start-ups to enhance their competitiveness and market presence.

Thematic Priorities

EU Thematic Priorities encompass various programs aligned with EU strategic priorities including green transition, digital transformation, health, and security initiatives. Funding amounts vary based on the specific program and call requirements, with projects designed to address key European challenges. Applicant eligibility varies by specific program and call, with different requirements for different thematic areas.
EIC AcceleratorBeneficiary Deep Dive#Phlair#Carbon Atlantis#direct air capture#carbon removal#climate tech#Germany
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