EBRD to provide EUR 400m for small renewables, resource efficiency in Turkey

The European Bank for Reconstruction and Development (EBRD) said on Wednesday it will extend EUR 400 million (USD 432m) in funds for small-scale renewable energy and resource efficiency projects in Turkey.

The financing will be provided under the third phase of the Turkey Sustainable Energy Financing Facility (TurSEFF). So far, the EBRD, the European Investment Bank (EIB) and the Japan Bank for International Cooperation have extended some EUR 600 million to Turkish partner banks as part of that programme.

TurSEFF’s initial focus fell on small and medium-sized enterprises (SMEs) but now targets the corporate and commercial sectors, leasing companies and municipal clients as well, said Terry McCallion, EBRD director for energy efficiency and climate change.

“It has also opened the way for sustainable energy financing in the form of two other EBRD facilities: the Mid-size Sustainable Energy Financing Facility (MidSEFF), for projects up to EUR 50 million, and the Turkey Residential Energy Efficiency Financing Facility (TuREEFF) for projects in the residential sector,” McCallion added.

Vakifbank is the first lender to get funds under the third phase. It has developed two new green products, namely the Vakifbank Commercial Building Energy Efficiency Loan and the Vakifbank Electric Motors Improvement Loan, to further expand energy efficiency financing.

Nearly 500 projects have been financed through the second phase of the programme in the period 2013-2016, for a total of EUR 254 million.

(EUR 1.0 = USD 1.079)

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