German Development Minister visits Georgia to strengthen German, EU and EBRD support for energy efficiency
The funding agreements were signed between KfW, acting on behalf of the German government, and Georgia represented by the Ministry of Finance and the Ministry of Regional Development and Infrastructure. The agreements unlock EUR 55,85 million for the energy efficient rehabilitation of public buildings.
The main objective of the programme is the sustainable, holistic rehabilitation of school buildings to increase energy efficiency and user satisfaction. The project contributes to the improvement of the energy efficiency framework and implementation of the respective EU Directives by applying new energy efficiency standards in a large number of public schools’ renovations throughout the entire country.
The renovation measures will lead to optimised energy use and reduced CO2 emissions in targeted buildings. They will further contribute to extending building lifetime and improving health, safety and comfort level. This will help teachers and school children work and study in better conditions.
The project will enhance the market for energy efficiency materials and technologies and support capacity development of the public and private sectors including construction companies. The Project will support Georgia in fulfilling its obligations for a yearly minimum refurbishment rate of public buildings.
The agreements signed today amount to EUR 55,85 million, of which EUR 43,2 million are provided by Germany, composed of a EUR 40 million KfW concessional loan, EUR 3,2 million grant by the German government for accompanying measures, and EUR 12,65 million grant from the European Union. The programme is co-financed by the Georgian Government and will be implemented by the Municipal Development Fund of Georgia (MDF).
The Programme is part of the wider joint Team Europe initiative with EBRD and the EU. Earlier this year, an EBRD loan of up to EUR 40 million and a first EU grant of EUR 13 million were launched that will contribute to the implementation of the programme.
