Energy Alliance
Policy measure

According to EBRD (2003), the European Bank for Reconstruction and Development and Western NIS Enterprise Fund established the first privately owned energy service company (ESCO) in Ukraine, known as Energy Alliance. The purpose of the Energy Alliance is to finance and develop cogeneration projects for industrial clients in Ukraine.

Total project cost was estimated at USD 13.34 million. The European Bank for Reconstruction and Development (EBRD) extended a USD 10 million loan to CJSC Energy Alliance; the Bank provided USD 5 million of its own funds and syndicated the remaining $5 million to Austria’s Raiffeisen Zentralbank Österreich AG (RZB). The Bank's loan was used by Energy Alliance to finance the purchase of the co-generation equipment.  (EBRD, 2004).


Energy Alliance will finance and develop co-generation and electricity-generation projects for creditworthy Ukrainian industrial clients.  The loan proceeds will be used to finance the purchase of generation equipment, which will be leased to clients.

No identified challenges.

According to EBRD (2004), “the project has the potential to improve the cost base of creditworthy industrial clients, as well as encourage other ESCOs to establish operations in Ukraine. The project would enable industrial companies to enhance their competitiveness by lowering their energy bills through use of state-of-the-art technologies.  Over a 10-year period, the companies may save up to 25 per cent on the cost of energy by producing it using a co-generation engine.”


EBRD (European Bank for Reconstruction and Development), 2003. Energy Alliance. Available at:


EBRD (European Bank for Reconstruction and Development), 2004. Ukraine Energy Efficiency. Available at: