GEFF - Romania - UcFin II

Location:

Romania

Project number:

51899

Business sector:

Financial institutions

Notice type:

Private

Environmental category:

FI

Approval date:

28 Apr 2020

Status:

Approved

PSD disclosed:

29 Apr 2020

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

Provision of a senior loan to UniCredit Consumer Financing IFN SA ("UCFIN") in the amount of up to EUR 15 million under the Green Economy Finance Facility ("GEFF") focusing on financing green investments in the residential sector in Romania. The financing would be used for on-lending to eligible sub-borrowers for investments in energy and resource efficiency measures in the residential buildings.

Project Objectives

The GEFF transaction will support investments in high-performance green technologies, materials and solutions undertaken in privately owned residential dwellings or buildings ("Sub-projects"). Sub-projects will be selected according to technical and financial eligibility criteria set forth in the Policy Statement for GEFF-Romania. 100% of the use of proceeds will be related to Green Economy Transition ("GET") investments. 

Transition Impact

ETI score: 85

The project contributes to the objectives of the GEFF Framework for Romania, supporting the Green and Competitive TI qualities.

Green: The project will contribute towards building a green economy by facilitating the expansion of residential energy efficiency (EE) lending in Romania and positive demonstration effects of EE projects. The project will support faster market penetration of EE related technologies, which go beyond prevailing standards for the country.

Competitive: The project will contribute towards building a more competitive financial sector through developing the internal capacity of Partner Financial Institutions(PFIs) for financing EE projects. This will be achieved through a technical assistance programme aimed at providing implementation support to the PFIs and their customers, verification of the outcomes, and investment incentives to the PFIs and end borrowers. Furthermore the project also intends to link private sector stakeholders with local financing institutions and suppliers, producers and installers of EE technology.

Client Information

UNICREDIT CONSUMER FINANCING IFN SA

UniCredit Consumer Financing IFN SA was founded in 2008 as part of UniCredit Group in Romania, operates as a non-banking financial institution and is one of the market leaders in consumer finance in Romania.

EBRD Finance Summary

RON 53,100,000.00

Senior loan of which EUR 11 million (in RON equivalent) financed by EBRD.

Total Project Cost

RON 72,300,000.00

EUR 4 million (in RON equivalent) co-financing by the International Cooperation and Development Fund Taiwan.

Additionality

Additionality is achieved by combining the necessary long-term financing in the form of the senior loan and knowledge, innovation, and capacity building  via technical support, latest technology selector, and targeted investment incentives into a package that promotes residential green economy investments.

Environmental and Social Summary

Categorised FI. UCFIN is an existing client of the Bank whose E&S performance was satisfactory. For this new transaction UCFIN will need to comply with the EBRD's Performance Requirements 2, 4 and 9 and submit annual environmental and social reports to the Bank.

Technical Cooperation and Grant Financing

The Loan is expected to benefit from the Technical Assistance package implemented under the Framework.

Company Contact Information

Ciprian Bozian
ucfin.contactclienti@unicredit.ro

PSD last updated

29 Apr 2020

Understanding Transition

Further information regarding the EBRD’s approach to measuring transition impact is available here.

Business opportunities

For business opportunities or procurement, contact the client company.

For business opportunities with EBRD (not related to procurement) contact:

Tel: +44 20 7338 7168
Email: projectenquiries@ebrd.com

For state-sector projects, visit EBRD Procurement:

Tel: +44 20 7338 6794
Email: procurement@ebrd.com

General enquiries

Specific enquiries can be made using the EBRD Enquiries form.

Environmental and Social Policy (ESP)

The ESP and the associated Performance Requirements (PRs) set out the ways in which the EBRD implements its commitment to promoting “environmentally sound and sustainable development”.  The ESP and the PRs include specific provisions for clients to comply with the applicable requirements of national laws on public information and consultation as well as to establish a grievance mechanism to receive and facilitate resolution of stakeholders’ concerns and grievances, in particular, about environmental and social performance of the client and the project. Proportionate to the nature and scale of a project’s environmental and social risks and impacts, the EBRD additionally requires its clients to disclose information, as appropriate, about the risks and impacts arising from projects or to undertake meaningful consultation with stakeholders and consider and respond to their feedback.

More information on the EBRD’s practices in this regard is set out in the ESP.

Integrity and Compliance

The EBRD's Office of the Chief Compliance Officer (OCCO) promotes good governance and ensures that the highest standards of integrity are applied to all activities of the Bank in accordance with international best practice. Integrity due diligence is conducted on all Bank clients to ensure that projects do not present unacceptable integrity or reputational risks to the Bank. The Bank believes that identifying and resolving issues at the project assessment approval stages is the most effective means of ensuring the integrity of Bank transactions. OCCO plays a key role in these protective efforts, and also helps to monitor integrity risks in projects post-investment.

OCCO is also responsible for investigating allegations of fraud, corruption and misconduct in EBRD-financed projects. Anyone, both within or outside the Bank, who suspects fraud or corruption should submit a written report to the Chief Compliance Officer by email to compliance@ebrd.com. All matters reported will be handled by OCCO for follow-up. All reports, including anonymous ones, will be reviewed. Reports can be made in any language of the Bank or of the Bank's countries of operation. The information provided must be made in good faith.

Access to Information Policy (AIP)

The AIP 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 following its entry into force on 1 January 2020. Please visit the Access to Information Policy page to find out what information is available from the EBRD website.

Specific requests for information can be made using the EBRD Enquiries form.

Independent Project Accountability Mechanism (IPAM)

If efforts to address environmental, social or public disclosure concerns with the Client or the Bank are unsuccessful (e.g. through the Client’s Project-level grievance mechanism or through direct engagement with Bank management), individuals and organisations may seek to address their concerns through the EBRD’s Independent Project Accountability Mechanism (IPAM).

IPAM independently reviews Project issues that are believed to have caused (or to be likely to cause) harm. The purpose of the Mechanism is: to support dialogue between Project stakeholders to resolve environmental, social and public disclosure issues; to determine whether the Bank has complied with its Environmental and Social Policy or Project-specific provisions of its Access to Information Policy; and where applicable, to address any existing non-compliance with these policies, while preventing future non-compliance by the Bank.

Please visit the Independent Project Accountability Mechanism webpage to find out how to submit a Request for review through our confidential online form, by emailmail or telephone. IPAM is available to discuss your concerns and answer any questions you may have about the submission or handling of Requests, which follow the Project Accountability Policy and Guidance. Requesters’ identities may be kept confidential, upon request.

 

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