Efficiency improvement is of key importance for lowering the country’s energy dependence;

The change in the rules for green energy producers has a negative impact.

Energy efficiency improvement will reduce production costs, will increase productivity and as a whole will lower the country’s energy dependence. This is what Mr. Andrea Casini, Chief Operating Officer of UniCredit Bulbank, said at the forum “European Funds: Development Opportunity”, which took place at Plovdiv Fair.

One of the targets of Bulgaria is to lower the use of energy in the industrial sector by 20%. Calculations indicate that this requires investments in the amount of BGN 2.5 billion. The expectations are for saving BGN 7 million year-on-year from energy costs. The investment will be redeemed within less than 5 years. At the forum, Mr. Casini explained that the banks are ready to finance quite a few projects in this field but for the time being the situation has not improved much yet and that a growth in investments is needed.

Owing to the established successful partnership relations with multinational financial institutions, among which the European Bank for Reconstruction and Development (EBRD) and the European Investment Bank (EIB), UniCredit Bulbank has signed agreements for the implementation of various credit facilities, specialized in the field of investments for sustainable development.

In this way, for example, the bank is one of the six financial institutions in Bulgaria that have signed an agreement with the European Bank for Reconstruction and Development under the programme “Energy Efficiency and Green Economy” for servicing a credit facility amounting to EUR 150 million.

Small and medium enterprises that have less than 250 employees and annual turnover below EUR 50 million can apply.

„At the moment, however, we are in a situation where the energy regulator changed the rules of the game and the green energy producers suffer losses. This inevitably will have an impact on the behavior of the banks in respect of financing such projects“, also commented Andrea Casini. He shared his opinion that the banks are ready to manage projects but the significance of the participation of the financial institutions in them needs to be improved.

Another possibility for the companies to improve their energy efficiency is through using the JEREMIE programme. Under this programme, loans of up to BGN 1 million may be granted at preferential conditions. The loans under the JEREMIE programme are intended for investment and working capital needs and are with a tenor between 12 and 72 months. Apart from that, the companies will be exempt from a guarantee fee, as the guarantees will be covered by JEREMIE. As a whole the JEREMIE programme gives a possibility for the bank to provide financing at lower costs and with much easier issuing of a bank guarantee.

More information for media:

UniCredit Bulbank, Identity & Communications Department

Viktoria Blajeva, Phone: + 359 2 9264 993, wjlj/ebwjepwbAvojdsfejuhspvq/ch

Ekaterina Ancheva, Phone: + 359 2 9264 963, flbufsjob/bodifwbAvojdsfejuhspvq/ch

Magdalena Ivanova, Phone: + 359 2 9232 528, nbhebmfob/jwbopwbAvojdsfejuhspvq/ch