New financing facility to support investments in green technologies in cooperation with local banks (Erjon Luçi, Deputy Minister of Finance and Economy in Albania)
Citizens living in private and communal buildings in Albania will benefit from wider access to finance for energy saving projects thanks to a Green Economy Financing Facility (GEFF), launched by the EBRD today.
GEFF in Albania aims to decrease energy consumption in the housing sector, reduce air pollution and improve the comfort of living by extending loans through partner banks to support investments in green technologies. Union Bank and Fondi BESA have signed up as the first two local partner financial institutions, with credit lines worth in total €9 million.
Albanian households can select the technologies they wish to invest in by using the Technology Selector, an on-line catalogue of pre-approved energy-efficient equipment available on the Albanian market. The catalogue includes items such as thermal insulation, double-glazed windows, high-efficiency boilers, heat pumps, solar collectors/solar water heaters and photovoltaic systems.
By investing in these measures, households will be eligible to apply for a European Union (EU) grant of up to 20 per cent of their investment. EU has allocated over €1.8 million for incentives for GEFF Programme. Vendors and producers of energy efficient solutions for the residential sector can also access financing under the GEFF programme. In addition, the programme will provide technical assistance funded by Austria’s Federal Ministry of Finance, including energy audits for the renovation of apartment buildings.
A launch event in Tirana today brought together GEFF stakeholders, including Matteo Colangeli, EBRD Head of Albania, Luigi Soreca, EU Ambassador to Albania, Erjon Luçi, Deputy Minister of Finance and Economy in Albania, Erion Veliaj, Mayor of Tirana, Leander Treppel, EBRD Board Director for Austria, local state officials, local partner financial institutions, suppliers and producers of green technologies for the residential sector.
GEFF in Albania is part of the EBRD’s €85 million Western Balkans Green Economy Financing Facility. The programme is a joint initiative of the European Union (EU), the Austrian Federal Ministry of Finance and beneficiary countries cooperating under the Western Balkans Investment Framework (WBIF). It is implemented under the umbrella of the Regional Energy Efficiency Programme for the Western Balkans (REEP Plus), funded by the EU and implemented in partnership with the Energy Community Secretariat. REEP Plus has also delivered policy support for harmonising the country’s law on energy efficiency and regulations for energy efficiency in buildings with the relevant European Directives.
The EBRD’s support for green energy investments underscores its commitment to the goals of the 2015 Paris Agreement. As its contribution to these goals, the EBRD aims to dedicate 40 per cent of its annual investments to the green economy by 2020. The EBRD is a leading international investor in Albania. To date, the Bank has invested € 1.288 billion through 87 projects in the country.
For more information on GEFF in Albania, see ebrdgeff.com/albania
Matteo Colangeli, EBRD Head of Albania Luigi Soreca, EU Ambassador to Albania Erion Veliaj, Mayor of Tirana