MoREEFF - Moldovan Residential EE Financing Facility

complete

Sub-projects signed under this framework The EBRD is considering establishing a new financing facility of up to €35 million to support energy efficiency investments in the Moldovan residential sector. The project will consist of credit lines to local banks for on-lending to individuals, households, groups of residents, housing associations, condominiums and cooperatives as well as housing management companies (HMCOs) and energy service companies (ESCOs) for financing eligible residential energy efficiency improvements. In addition to the EBRD financing, the facility will be supported by a grant from the EU Neighbourhood Investment Fund to fund incentives to the sub-borrowers and participating banks. The Project is expected to have three sources of transition impact: Demonstration effect and market expansion The Project will generate transition impact by demonstrating the benefits of energy conservation and promoting the expansion of energy efficiency lending to sectors where commercial financing is absent and in a country characterised by the energy inefficient economy and largely constrained market. In addition, MoREEFF will open the window for financing housing associations /condominiums as well as corporate entities (ESCOs, HMCOs, service companies) on residential energy efficiency projects. Transfer of skills The Project is expected to transfer and build expertise and skills on several levels: (i) Participating Banks, (ii) sub-borrowers and local experts and technology providers. As the first residential energy efficiency financing vehicle in Moldova, MoREEFF will address the currently untapped private housing sector and increase stakeholders’ awareness, as well as build market capacities. Strengthening the structure and extent of markets / promoting policies that support markets The Project will support the ongoing legislative changes in the area of energy efficiency of buildings and housing regulations. MoREEFF will be available to privately owned banks in Moldova (Participating Banks or PBs). €35 million. €35 million. Screened FI. PBs will be required to comply with the EBRD’s Performance Requirement 2. Technical cooperation will be funded by Swedish International Development Cooperation Agency and the European Union. EBRD will engage a project consultant to support the partner banks and sub-borrowers with project preparation and implementation.