Romanian SME Sustainable Energy Financial Facility (RoSEFF)
Policy measure

The European Bank for Reconstruction and Development (EBRD) is helping small and medium-sized enterprises (SMEs) in Romania improve their energy efficiency with the Romanian SME Sustainable Energy Financial Facility (RoSEFF) - a newly launched EUR 60 million programe to fund sustainable energy investments in the country.


According to EBRD (2011), the aim of the RoSEFF is to help “local companies maximize energy savings and improve their overall competitiveness, while contributing to a reduction in the country’s high energy intensity.”


“The implementation of RoSEFF is supported by a planned €12.05 million grant financing from the European Union. This funding will be used to support investment projects through technical assistance and reimbursement grants.” (EBRD, 2011)

Implementation

It is expected that “the funds will be channeled to Romania’s real economy, through local financial intermediaries, including banks and leasing companies. The proceeds of the loan will be used to finance SME investments in improving industrial operations and premises, replacing equipment, software, and general upgrading aimed at reducing final energy consumption or producing renewable energy on a small scale. Individual sub-loans are limited to €1 million and thus the focus is on smaller-scale investments. Sub-borrowers undertaking energy efficiency investments will be reimbursed by up to 10 to 15 per cent of the sub-loan amount on the successful completion of the works. The size of the reimbursed grant will depend on the technology and the energy savings achieved as a result of the project.” (EBRD, 2011)

Challenges
No identified challenges.
Outcomes
No identified outcomes.
References
EBRD (European Bank for Reconstruction and Development), 2011. EBRD launches €60 million energy efficiency facility for small businesses in Romania. Available at: www.ebrd.com/pages/news/press/2011/110926a.shtml.