KyrSEFF II to boost resource efficiency for businesses and residential sector
The European Bank for Reconstruction and Development (EBRD) is launching a new US$ 35 million credit line to boost energy savings and resource efficiency in the Kyrgyz Republic. The investment is an expansion of the Kyrgyz Sustainable Energy Financing Facility (KyrSEFF) and is complemented by more than €9.2 million in donor funding provided by the European Union’s (EU) Investment Facility for Central Asia.
This is the second phase of the programme and it goes beyond energy efficiency to include water resource efficiency investments in Kyrgyz homes as well as businesses.
Launched in 2013, KyrSEFF has made great inroads in raising awareness about the benefits of energy efficiency investments, both in the commercial and the residential sectors. To date, 600 households, 12 apartment blocks and 60 businesses have benefited from KyrSEFF funding and grants to reduce their energy consumption.
The total energy savings resulting from these investments are equivalent to the annual energy consumption of 751 families in the Kyrgyz Republic.
In addition, more than US$ 15 million was invested in energy efficiency improvements of companies, resulting in annual energy savings of 100,000 MWh and a reduction of CO2 emissions by 30,000 tonnes.
Of the countries where the EBRD invests, the Kyrgyz Republic is one of the most vulnerable to the effects of climate change. By expanding KyrSEFF to include water-saving measures, the EBRD and the EU are applying a holistic approach by supporting projects focused on adaptation and resilience to climate change.
The expanded programme will help the tourism and hospitality sector with access to safe water and treatment of waste water. It will also support industrial and commercial companies to combine energy and water savings while continuing lending to households, housing associations and condominiums to maximise energy savings.
Kyrgyz Investment and Credit Bank (KICB), BaiTushum and First Microcredit Company are the first financial institutions that have already joined KyrSEFF’s second phase and additional partner banks are expected to follow in the next few months.
“Working with the Kyrgyz Republic’s financial institutions on energy and resource efficiency projects is a priority for the EBRD. Through our partners, we aim to reach many businesses and households to save energy and/or water resources, reduce their bills and improve their living comfort through targeted investments,” said Neil McKain, EBRD Director for Central Asia.
"KyrSEFF II will provide the Kyrgyz Republic with the opportunity to save energy and water and at the same time become more resilient to climate change. We are proud to be able to support this through EU-IFCA, through which we have delivered more than €45 million for big infrastructure projects with the EBRD. We are also hoping to support the increased use of renewable energy sources such as small hydropower plants in the future," said Jaap Ora, Head of the Political, Press and Information Section of the Delegation of the European Union to the Kyrgyz Republic.
The EBRD’s green investments have reached a value of almost €20 billion in over 1,000 projects. Greenhouse gas emission reductions related to these projects are estimated at almost 80 million tonnes each year, which is equivalent to the annual emissions of Romania.