On October 28, 2011 the European Bank for Reconstruction and Development (EBRD) and NBD Bank held a press conference and announced the signing of the agreement about implementation of Russian Sustainable Energy Financing Facility (RUSEFF). This is the first agreement on energy efficiency lending which EBRD has signed with a regional bank.
According to this agreement 280 million rubles will be provided for financing energy efficiency projects for small and medium-sized companies in the area of NBD Bank's operation (Nizhny Novgorod, Ivanovo, Kirov, Penza, Republics of Chuvashia and Mari-El). Reducing energy consumption as well as purchase or supply of energy efficient equipment are special RUSEFF benefits. The advantages of the facility are credit period up to 7 years in rubles and free of charge technical assisstance for enterprises for evaluation of energy efficiency effect and economic calculations for the development of investment decisions.
NBD Bank and the EBRD launched a pilot phase of the facility for energy efficiency lending in April 2011 based on the framework agreement in order to determine current interest from regional companies for modernisation. The six-month cooperation has shown a high interest (even larger than the project volume) from regional companies in such financing. At present NBD Bank received credit applications from SME sector for the amount of USD 17 million.
Technical Assistance Funds are provided by:
