Two projects for refurbishing the multi-family residential buildings in the Romanian capital of Bucharest received financial boost from the European Investment Bank.

The European Investment Bank (EIB) said it  is lending EUR 15.3 million to finance the second phase of the thermal rehabilitation programme covering multi-family housing in the Bucharest’s Sector 6 municipality. This is the first tranche of an approved EIB loan for a total amount of EUR 40 million. The project will focus on thermal energy efficiency improvements of the building envelope (wall insulation, windows, roofs and cellar insulation) as well as optimisation of the heating systems with the aim to save around 50% of energy.

The total cost of the project is expected to reach EUR 54.5 million, says EIB’s statement . “In order to support this important energy efficiency project in Bucharest, the Bank’s contribution has been raised to 75% of the project’s cost,” it is said. The Sector 6 municipality will finance the remaining 25% of the project value.

The EIB also said it is lending another EUR 22 million, out of estimated cost of EUR 29.5 million, to finance the second phase of the similar programme for the refurbishment of multi-family housing in the municipality of Sector 2. This project started back in 2012 aims to refurbish 95 buildings by 2018. EIB secures 75% of the project’s financing,  the bank says in the statement released today.

“The EIB funds will help reduce the energy consumption of the buildings by around 50% and the total energy saved will amount to around 45 GWh per year once the programme is fully implemented. This will contribute to the much-needed modernization of the building stock, increase indoor living comfort, reduce CO₂ emissions, improve the living standards of the people of Bucharest and encourage other future modernization and rehabilitation measures,” the EIB explained.

To date, the EIB has provided funding worth around EUR 460 million for  energy efficiency refurbishment of multi-storey residential buildings in various sectors of Bucharest. The projects are designed to help implement Romania’s National Energy Efficiency Action Plan in the energy efficiency domain, and assist the country to fulfill its obligations under the EU Energy Performance in Buildings Directive.