European financing for energy efficiency projects

A number of 19 Romanian companies received EUR 15.9 million in European funding under the Energy Efficiency Financing Facility (EEFF), a program developed by the European Commission and the European Bank for Reconstruction and Development (EBRD) for the financing of energy efficiency projects in the private industrial sector, shows data provided to Agerpres by design and consultancy company Tractebel Engineering.

Through this program, companies in the private industrial sector can receive up to EUR 2.5 million in financing for energy efficiency investments, free technical assistance with working out the relevant bankable documentation, as well as a grant of 15 percent of the loan's value, after the implementation and verification of the investment.

According to the cited source, the 19 projects are worth an aggregate EUR 25.6 million. Eight of the projects that received funding are already operational. The bulk of the applications for financing refer to equipment.

Eligible for the Energy Efficiency Financing Facility are greenfield investments, investments in renewable energy and those with an annual internal rate of return (IRR) below 10 percent.

EEFF loans are intended for companies planning investments that result in 20 percent energy savings, such as investments in cogeneration systems (CHP), the upgrading of boilers (automation, economizers, burners, insulation systems), the replacement of boilers, of heating, ventilation or cooling systems with more energy-efficient equipment, the improvement of technological processes (that result in energy savings), the improvement of steam distribution (condensate recovery), Energy Management Systems or Building Management Systems, building insulation.

EEFF is being developed by the European Union and the European Bank for Reconstruction and Development in several countries in the region and is aimed at reducing overall energy consumption in energy intensive sectors, as well as associated greenhouse gas emissions. In Romania, EEFF is managed by design and consultancy company Tractebel Engineering which has been known so far as Trapec SA, a member of international group GDF Suez.