Energy Efficiency for Competitive Industry Financing Facility

Overview
Project Summary Document
Environmental and Social Documentation
Procurement
Complaints

Project ID 41045

Status Complete

Location

Bulgaria

Business Sector

Financial Institutions

Notice Type

Private

Sub-projects

Project timeline

Exploratory
Passed Concept Review
Passed Structure Review
Passed Final Review
Board Approved
Signed
Implementing
Completed

Project ID 41045

Status Complete

Location

Bulgaria

Business Sector

Financial Institutions

Notice Type

Private

Environmental Category

Approval Date

13 Mar 2012

Disclosure date

27 Feb 2012

As per section 1.4.2 (iii) of the Directive on Access to Information: "For Projects approved by Bank management where the Board of Directors has delegated the approval authority, the PSD shall be disclosed at the start of the relevant no-objection notification period to a member country of the Bank in accordance with Article 13 (iii) of the Agreement Establishing the EBRD."

Project Description

The EBRD is considering an energy efficiency credit line of up to €150 million (‘the Facility”) to be provided to commercial banks in Bulgaria for on-lending to privately-owned small and medium-sized enterprises (SMEs) registered and operating in Bulgaria.

The Project will support sustainable energy investments by Bulgarian SMEs, helping to improving their competitiveness.

Eligible sub-projects must improve rational energy utilisation and will include:

energy efficiency sub-projects undertaken by SMEs – investments in machinery, equipment, systems and processes that enable energy saving and/or reduction per unit of production/service versus the baseline situation;
small renewable energy sub-projects designed for SMEs’ own operational needs – projects involving purchase and installation of equipment, systems and processes utilizing renewable energy sources for generation of heat and/or cooling.

Transition Impact

The Project generates transition impact by scaling up sustainable energy investments in the SME sector in Bulgaria for improving SME competitiveness in the light of high energy costs.

The proposed Facility is deepening the impact of the existing energy efficiency programmes in Bulgaria by explicitly targeting investments by SMEs. Crucially, in the crisis recovery environment, the Facility will provide medium-term funding to Bulgarian financial institutions for on-lending to SMEs to finance energy efficiency investments. By providing dedicated funding to SMEs to invest in energy efficient technologies, the Facility will enable the companies to remain or become more competitive in the enlarged EU market. The SMEs that will invest in energy efficiency will be better prepared for the impact of further rises in the energy prices which is especially difficult in the crisis environment.

The Facility will form part of the “Energy Efficiency and Green Economy Programme” (“the Programme”) to be launched by the Ministry of Economy, Energy and Tourism (“the Ministry”). The Programme is part of the Operational Programme “Development of the Competitiveness of the Bulgarian Economy” 2007-2013 under which approximately €200 million from the European Regional Development Fund (“the Structural Funds”) and national co-financing have been earmarked for providing support to increase the efficiency and productivity of the SME sector through the promotion of energy efficiency and renewable energy investments by Bulgarian enterprises.

The Client

The clients will be Bulgarian commercial banks (“Participating Banks”) which will on-lend the funds to SMEs.

EBRD Finance

Senior loans of up to an aggregate of €150 million to be allocated to Participating Banks in Bulgaria.

Project Cost

Framework amount is up to EUR 150,000,000.

Loans to Participating Banks to be negotiated on a case by case basis with each of the Participating Bank.

Environmental Impact

FI screened project. All Participating Banks will be required to comply with the requirements of EBRD’s Performance Requirement 2 (“PR”) on Labour and Working Conditions. All sub-loans under the credit lines will need to comply with the requirements of PR9 on Financial Intermediaries. Sub-borrowers financed through the credit lines will be required to comply with national requirements for environment, health and safety and labour standards. Reporting on sub-projects and annual environmental and social reports will be provided by the Participating Banks.

Technical Cooperation

A Project Preparation and Capacity Building Consultant financed by European Commission cooperation funds was contracted by EBRD to provide support with the preparation of the Programme design, to prepare guidelines, templates and monitoring tools and procedures as well as capacity building for local stakeholders involved in the Programme.

Company Contact

Galina Shterionova, Principal Banker, Financial Institutions Team
EBRD
17, Moskovska Str.
Sofia, Bulgaria

Tel. +359 (0) 2 9123 414
Fax: +359 (0) 2 9123 441
E-mail: shteriog@EBRD.com

Stefania Racolta, Principal Manager, Energy Efficiency and Climate Change Team
EBRD
One Exchange Square
London EC2A 2JN

Tel. +44 (0)20 7338 6123
Fax: +44 (0)20 7338 6942
E-mail: racoltas@EBRD.com

Transition impact

ETI Score:30

PSD last updated

27 Mar 2019

Business opportunities

For business opportunities or procurement, contact the client company.

For state-sector projects, visit EBRD Procurement: Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

EBRD project enquiries not related to procurement:
Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

Public Information Policy (PIP)

The PIP sets out how the EBRD discloses information and consults with its stakeholders so as to promote better awareness and understanding of its strategies, policies and operations. Please visit the Public Information Policy page below to find out how to request a Public Sector Board Report.
Text of the PIP

Environmental and Social Documentation is not available for this project.

Selected procurement notices related to this project may be shown below. Further procurement opportunities related to this and other projects, if available, maybe be viewed in the EBRD Procurement Portal.

The EBRD's Environmental and Social Policy (ESP), Access to Information policy (AIP) and Project Accountability Policy (PAP) enable sound and sustainable development in its projects. The Independent Project Accountability Mechanism (IPAM) deals with complaints about environmental, social and disclosure matters related to the Bank’s investments.

No complaints about this project have been made so far.

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