GGF to boost energy efficiency in Macedonia with EUR 10 million

The Green for Growth Fund (GGF) has extended its loan to Halkbank Skopje with EUR 10 million to further increase energy efficiency in Macedonia.

Energy efficiency measures which will be financed in Macedonia with the GGF loan are projected to result in primary energy savings of almost 50,000 MWh on an annual basis. In addition, CO2 emission will be reduced by nearly 15,000 tonnes, reads the press release published on the GGF website.

With the GGF loan, Halkbank will increase the scope and volume of its Eco-loan products. Replacing obsolete agricultural equipment on farms and outfitting homes with technologies that will lower energy use and carbon footprint are among energy efficiency measures that can be financed by the latest loan. GGF technical assistance will support both Halkbank’s sales and promotional activities as well as the development of further energy efficiency loan products.

This is the third GGF’s loan to Halkbank Skopje since 2010. The bank was the first financial institution in Macedonia to offer the energy efficiency credit line.

“The GGF was there to support Halkbank’s first energy efficiency loans in 2010, and our continued partnership is already helping thousands of Macedonians to lower their energy use, one of the fund’s primary goals,” said GGF chairman Christopher Knowles.

“Our loans are designed for energy efficiency measures that lower energy use without reducing the quality of life. Loans for energy efficiency help our clients make significant cuts in their primary energy consumption,” said Turhan Ademi, acting CEO of Halkbank Skopje.

According to the latest Energy Community report, Macedonia suffers from a lack of political will to implement the energy efficiency legislation. The adoption of the 3rd NEEAP which has been recently presented to the public and full implementation of the Directive on Energy Performance of Buildings requirements are identified as the top priorities. In addition, Macedonia is expected to establish an energy efficiency fund and an ESCO. Strengthening of the human capacities in the energy efficiency department of the Ministry of Economy and the Energy Agency is also required.