A financial instrument to foster international knowledge and experience in the energy efficiency sector in Hungary
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The Hungarian Municipal Finance Facility – Energy Efficiency (MFFEE) is an initiative of the European Bank for Reconstruction and Development (EBRD) and the European Commission (EC) to develop and stimulate commercial bank financing for energy efficiency in the local municipal sector. The purpose of the programme is to stimulate implementation of energy efficient rehabilitation of municipal infrastructure, including rehabilitation of heating and power distribution systems, public lighting, replacement of outdated boilers and improvement of thermal insulation of buildings.
The Facility provides a credit line of EUR 25 million funded by the EBRD and channelled through local commercial banks. Potential Sub-borrowers include municipalities and their utility companies as well as private firms including ESCOs. To enhance the effectiveness of investments, the EBRD loan is complemented by grant funds from the EC. The incentives will be based on estimated level of energy savings and will amount to up to 20% of the sub-loans.
The financial commitment of the Facility is supported by a team of consultants providing technical assistance for municipalities in identification, development and monitoring the implementation energy efficiency projects.
For assistance call MFFEE and Ulf Berglund: on +36-30-622-7894.
