The European Bank for Reconstruction and Development is considering a loan of up to EUR 5 million to finance the implementation of energy efficiency measures in up to 40 residential buildings connected to the district heating network in the Serbian city of Niš.
The planned measures in the multi-story residential buildings include insulation and the introduction of thermostatic valves and heat allocators in order to upscale the results of the already implemented consumption-based billing system.
The loan is targeted for approval on December 2 this year, according to a project summary document on the EBRD’s website. The bank also noted that it offers financing under favorable terms that are not available in the market from commercial sources, such as longer grace periods.
The measures will address the key contribution to emissions in Niš
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.
The project will help the green transition through reduced energy consumption
The project will contribute to the green transition through environmental benefits thanks to reduced energy consumption in residential buildings, while the targeted level of energy savings will be determined and confirmed during due diligence, the bank said.
The project will be implemented by public district heating company Toplana Niš, the sole producer and distributor of heating energy in the city. The third largest city in Serbia has a population of 261,000 inhabitants, the EBRD noted.
The EBRD is helping Western Balkan countries decarbonize district heating and cooling systems
The EBRD is also helping Western Balkan countries improve energy efficiency in buildings by decarbonizing district heating and cooling systems. The lender’s Renewable District Energy in the Western Balkans fund is providing financing to enable these countries introduce renewable energy sources in such systems.
The fund focuses on the development and implementation of the following technological and technical solutions: solar thermal projects, heat pumps, geothermal energy, waste heat, biogas, and the energy of seas, lakes, and rivers, according to Bojan Bogdanović, the fund’s principal manager.