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International Internet Magazine. Baltic States news & analytics Thursday, 09.04.2020, 20:23

EIB lends Altum EUR 18 mln to finance energy efficiency projects in Latvia

BC, Riga, 27.02.2020.Print version
The European Investment Bank (EIB) has signed an EUR 18 million loan agreement with the Development Finance Institution Altum (Altum) to finance energy efficiency projects in Latvia, Altum representatives informed LETA.

In addition to the loan, EIB has also granted a EUR 3 mln guarantee under the Private Finance for Energy Efficiency (PF4EE) instrument, provided by the European Union as part of its LIFE program. EIB Vice Chairman Thomas Ostros and Altum CEO Reinis Berzins are expected to announce the loan agreement at a bilateral meeting on Thursday.

The agreement with Altum will enable Latvian companies to increase their energy efficiency. The program will support energy efficiency and small investments in renewable energy at small and medium-sized enterprises, enterprises of medium-capitalization and in some cases also large companies, especially industrial producers.

Financing will be provided for activities like insulation of buildings or restructuring of industrial processes.

The EIB is the EU's bank providing long-term loans to promote integration, balanced growth, as well as economic and social cohesion in EU member states. The bank not only supports projects in member states, but also finances investments in the EU's would-be members and partner states.

Private Finance for Energy Efficiency (PF4EE) instrument is a joint agreement between the EIB and the European Commission which aims to address the limited access to adequate and affordable commercial financing for energy efficiency investments.

The instrument targets projects which support the implementation of National Energy Efficiency Action Plans or other energy efficiency programmes of EU member states.

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