Residents in Ukraine are to reap savings on their energy bills following the formation of a new partnership to boost energy efficiency in the country’s housing sector.
IFC, a member of the World Bank Group, Ukraine’s Energy Efficiency Fund and the country’s largest state-owned bank PrivatBank, have teamed up to provide loans to homeowners’ associations participating in the Energy Efficiency Fund programme.
It will be administered through the IFC’s advisory programme – implemented in partnership with the EU and Germany – to help PrivatBank, which serves more than 30% of Ukraine’s homeowners’ associations, provide loan products.
The majority of the housing stock in Ukraine is comprised of buildings with little or no energy efficiency measures, coupled with an outdated district heating and energy supply system built between 1950 and 1985.
The aim of the programme is to channel loans and grants to help nearly 2,000 homeowners’ associations cover the expenses of upgrading their multiple-apartment buildings.
Jason Pellmar, IFC’s Regional Manager for Ukraine, Belarus and Moldova said: “Energy efficiency in the residential housing sector offers maximum scope to save energy and reduce cost.
“This new partnership with PrivatBank and our strategic alliance with the EU and Germany will be critical to making this initiative more market-driven and attractive to homeowners.”