Medium and large businesses in Ukraine can take advantage of a new government program supporting distributed generation projects, which offers favorable loans for the development of energy infrastructure.
This is reported by Finway
Loan conditions and program features
According to a statement from the Ministry of Economy, Environment, and Agriculture, enterprises have the opportunity to attract loans at 10% annual interest. Funds can be directed towards the construction of new generating capacities, the implementation of energy storage systems, as well as the development of other critically important energy infrastructure. The maximum loan amount is up to 25 million euros in the equivalent in hryvnias.
“Thanks to the program, enterprises will be able to attract loans ranging from 1 to 25 million euros in the equivalent in hryvnias. For projects in frontline areas, the minimum loan amount will be 500,000 euros. The loan term is up to 5 years with the possibility of deferring payments for up to 12 months during the construction period and the commissioning of the facility,” the statement said.
Priority areas and regions
State support extends to projects for the creation of energy storage installations, gas turbine and gas piston installations, including cogeneration facilities, biomass, biogas, geothermal energy generation facilities, as well as electrical networks and equipment for connecting new capacities. Additionally, the program covers the development of energy islands and microgrids.
The highest priority in the consideration of applications will be given to projects implemented in Kyiv, Kyiv region, Kharkiv, Zaporizhzhia, Kherson, and other regions where energy security issues are particularly important.
Businesses can apply to participate in the program through 14 authorized banks.