Embed Size (px)
Citation preview
MEDREP Finance
Mediterranean Renewable Energy Program
MEDREP
Jan KappenProject Manager, Energy Finance
UNEP-DTIE
www.uneptie.org/energy/finance
MEDREP Finance
MEDREP FinanceA WSSD Type II Initiative
Sponsored by the Italian Ministry for
Environment and Territory for the
Mediterranean Basin
MEDREP Finance - Key Objectives
OBJECTIVES Investigate different approaches for
positively influencing financial flows to RE projects
Structure support mechanisms that help lenders and investors scale up financing
OUTPUTS Assessment of barriers to RE
financing Opportunities for development of
RE projects in the 3 countries
Solar Water Heating Loan and Leasing Facilities to facilitate access to credit in Tunisia and Morocco
Transaction Support Facility for the entire region
Solar Water Heating (SWH) Loan Facility in Tunisia – What it is
The SWH Loan Facility is a finance mechanism:
• to create credit facilities using the state utility,STEG as a channel for recovering the loan paymentsthrough the utility bill;• to help local banks build loan portfolios in RE areaby implementing an interest rate subsidy • to provide to the end user a capital cost subsidy topartially reduce the SWH financing (Tunisiangovernment has passed a law to provide 20% subsidy)
The SWH Loan Facility is a finance mechanism:
• to create credit facilities using the state utility,STEG as a channel for recovering the loan paymentsthrough the utility bill;• to help local banks build loan portfolios in RE areaby implementing an interest rate subsidy • to provide to the end user a capital cost subsidy topartially reduce the SWH financing (Tunisiangovernment has passed a law to provide 20% subsidy)
Solar Water Heating Loan Facility in Tunisia - How it works
UNEP and ANME establish a 2 million US$ FacilitySTEG will promote the use of SWH by recovering the loan via
a STEG customer’s utility billBanks provide loans to the end users via the SWH suppliers
by lowering the interest rates by 5-6 points because the risk of nonpayment is almost non-existent
The end user repay his loan via the STEG utility bill over 5 years to make the monthly payments equal to other conventional energy expenditures
UNEP provides an Interest Rate Subsidy decreasing over time
Solar Water Heating Loan Facility in Tunisia - What it does
Buy CHEAP and Pay SLOWLYSWH Size 200 liters 300 litersNet Cost of SWH USD 550 USD 700
Monthly payment (5 yrs) USD 9 USD 11.50
A Quick and Simplified Procedure• Customer contacts the SWH supplier• Customer fills out the application form at the SWH supplier
office, presents his latest STEG bill and ID• The installation is immediate once the application form and
engagement form are signed
Solar Water Heating Loan Facility in Tunisia - Objectives
The objectives of this projectIn 2005, installation of 29 000 m², equivalent to
8,800 householdsBy 2011, 222 000 m² will be installedOver 2005-2011, the Tunisian government would
have transferred approx. 15 millions USD from LPG subsidy to a solar subsidy
The development of the SWH market will become sustainable
MEDREP Finance
Thank you for your attention
