Climate Action

EBRD launches €200m clean energy facility in Poland

European Bank for Reconstruction and Development launches Sustainable Energy Financing Facility to decrease carbon emissions through targeted investments and lowering energy bills

  • 05 November 2014
  • William Brittlebank

The European Bank for Reconstruction and Development (EBRD) has launched its second Polish Sustainable Energy Financing Facility (PSEFF) with a fund of €200m which will be lent by local banks to small and medium-sized enterprises (SMEs).

The loans will finance investments to replace or upgrade heating, cooling, electric and related systems in order to lower companies’ energy bills and decrease carbon emissions.

The framework will be complemented by investment grants provided by the Polish National Fund for Environmental Protection and Water Management (NFOSiGW) and technical cooperation provided by the European Commission.

PSEFF builds on the highly successful first stage of the programme that enabled hundreds of Polish businesses over the past three years to invest in energy efficient solutions.

Polish authorities are joining the effort through the participation of NFOSiGW for the first time.  

The Fund will provide investment grants of approximately €14.2m under its new programme “Improving energy efficiency and energy saving investments in SMEs.”

Established in 1989, NFOSiGW is involved in co-financing large investments with nationwide significance.

Director of EBRD for Poland, Grzegorz Zieliński said: “Small and medium-sized businesses are the engine of our economy. Projects like PolSEFF are of paramount importance for the long-term energy sustainability in Poland and good for business. We are extremely pleased to be cooperating with NFOSiGW and see it as a crucial element for the success of the second version of PolSEFF.”

PSEFF is implemented through Polish commercial banks. Their role is critical for reaching out to local SMEs clients.

BNP Paribas Bank Polska SA will be the first bank to join the initiative.

“Targeting energy-saving investments by SMEs is fundamental for the economic development in Poland, but it is also crucial for achieving our country’s goals in environmental protection,” said Małgorzata Skucha, President of NFOSiGW. “This new programme will demonstrate the financial and environmental viability of investing in the best available energy efficiency and renewable energy technologies across all Polish SME sectors.”

To date, the EBRD – with financial support by the European Commission – has financed more than 2,000 energy efficiency projects in Polish SMEs worth more than €190m, resulting in total annual energy savings of 342 GWh and total emission reduction of 102,000 tonnes of CO2.