The provision of debt financing of up to €5 million to the city of Nis to finance the implementation of energy efficiency (EE) measures in up to 40 residential multi-store buildings connected to the district heating network.
Contribution to the implementation of EE measures in up to 40 residential multi-store buildings, including insulation measures and introduction of thermostatic valves and heat allocators in order to upscale the results of the, already implemented, consumption-based billing system. As residential buildings account for a significant portion of the heating demand, the project will address the key contributor to the emissions and energy consumption in the city.
ETI score: 60
The Project contributes to the "green" transition impact quality through environmental benefits arising from the reduction of energy consumption in residential buildings. Implementation of high quality energy efficiency measures in buildings, including demand side energy savings measures, is expected to have a strong demonstration effect, especially considering that the current level of penetration of EE technologies in the building sector is very low. It is expected that the reduction of energy consumption and increase in residential energy efficiency can significantly improve the performance of the sector. The targeted level of energy savings will be determined and confirmed during due dilligence.
CITY OF NIS
The Client is the City of Nis, the third largest city in Serbia, with a population of 261,000 inhabitants. The Project will be implemented by the City's District Heating Company Toplana Nis, the sole producer and distributor of heating energy in the city.
EBRD Finance Summary
Up to €5 million
Total Project Cost
Up to EUR 5 million.
Financing structure: the EBRD offers financing that is not available in the market from commercial sources on reasonable terms and conditions, e.g. a longer grace period that is rarely available in the market, restricted foreign currency financing etc. Such financing is necessary to structure the project.
Standard-setting: helping projects and clients achieve higher standards. Client seeks/makes use of the EBRD expertise on best international procurement standards.
Environmental and Social Summary
Categorised B 2019 ESP and Low-Medium risk. Key Environmental and Social ("E&S") risks and impacts associated with EE measures in residential buildings include: worker and community health and safety during construction works (including potential presence of asbestos), life and fire safety issues, stakeholder engagement and access to public buildings during the works. E&S due diligence will be undertaken by an independent consultant and will include an assessment of the Company's capacity, management systems and procedures, and a site visit to some buildings.
Technical Cooperation and Grant Financing
- TC1: Energy Audit and solar-thermal pre-feasibility study.
- TC2: Environmental and social due diligence including preparation of all environmental and social aspects of project implementation.
- TC3: Advanced procurement support, to assist the Company with the preparation of tender documents and handling procurement process for works and supervision consultant.
- TC4: Project supervision of works execution, to assist the Company with the monitoring of the use of proceeds, implementation and supervision support.
Company Contact Information
+381 64 833 06 53
Vozdova 24 18000 Nis Serbia
PSD last updated
13 Aug 2020
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Independent Project Accountability Mechanism (IPAM)
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