EBRD offers new 400 mln-euro financing for small-scale sustainable energy projects in Turkey

ISTANBUL

The European Bank for Reconstruction and Development (EBRD) has said it is providing a new 400 million euro financing package for small-scale renewable energy and resource efficiency projects Turkey in a bid to support the country’s continuous drive towards a low-carbon economy, in a written statement on Dec. 7. 
The funds will be extended under the Bank’s Turkey Sustainable Energy Financing Facility (TurSEFF), a dedicated facility originally aimed at financing small and medium-sized enterprises (SMEs) seeking to enhance their energy efficiency, according to the statement. 

The launch builds on the success of the first two phases of the facility, with 600 million euros already provided by the EBRD, the European Investment Bank and the Japan Bank for International Cooperation to Turkish partner banks. The second extension will include, for the first time, leasing companies in addition to banks and will also be available for municipal projects, added the statement.  

The European Union is supporting the facility with funding for technical assistance through its Instrument for Pre-Accession, in close collaboration with the Turkish Treasury and the Ministry of Energy and Natural Resources. This grant funding enables the EBRD to provide expert advice to its partner banks and leasing companies as well as to private companies and cities or municipal service providers for renewable energy and resource efficiency projects.

Vakıfbank is the first bank to receive funds under the third phase of TurSEFF. 

The new financing was announced at a conference in Istanbul. The event also celebrated the best renewable energy and energy efficiency projects financed through the program’s second phase (2013-16), according to the statement. Almost 500 projects were financed during this period for a total of 254 million euros. 

Since the launch of TurSEFF in 2010, more than 860 projects have been financed through six local banks, according to the statement.