 |
|
|
 |
A source for everyone interested in energy, business and the environment  |
|
 |
"...an invaluable guide to a more helpful future..."
-Walter Cronkite |
|
|
|
|
 |
|
Pilot Project Initiated to Clean Up Danube River Basin
LONDON, December 22, 2003 - An environmental credit facility for Slovenia is being set up by the European Bank for Reconstruction and Development (EBRD) and the Global Environment Facility (GEF) to help clean up the Danube River Basin.
The Danube is the second-longest river of Europe. The basin area stretches more than 312,000 sq miles across many neighboring countries, including Romania, Serbia, Slovakia, Hungary, and others. Although the Danube does not flow through Slovenia, 80 per cent of the country is in the Danube River Basin, a priority area for GEF. The facility for Slovenia is a pilot project designed for further reproduction in other Danube River Basin countries. The EBRD will supply up to €45 million to commercial local banks for on-lending to environmental investment projects associated to the Danube, while GEF offers $9.9 million of grant funding.
The Slovenia project is aimed to promote environmental investments by private-sector companies and smaller municipalities. Volksbank.Ljudska banka d.d. will be the first participating bank to sign the loan agreement. To help overcome barriers to environmental investment, GEF has offered to provide financial incentives. After the successful completion of a project and an examination by an independent expert, borrowers will receive a completion fee. Participating banks will receive fees to compensate for the administrative costs associated with implementing the facility. In addition, companies and municipalities are entitled to assistance with developing solutions to water pollution problems, ensuring cost effectiveness, structuring investments and other aspects. These services will be provided by the EBRD’s TurnAround Management Group/Business Advisory Services program. The additional environmental assistance is co-financed by GEF.
Rogers LeBaron, EBRD Director for Bank Lending, praised the facility as “an innovative combination of financial services with environmental needs.”
Many projects are expected to be financed through the facility, including recycling of cooling waters at a glass production company, upgrading wastewater treatment at a textile company, and re-use of wastewaters at a pulp and paper mill.
The Global Environment Facility (GEF) is an international financial organization structured as a trust fund that operates in collaboration and partnership with the three implementing agencies (UNDP, UNEP, and the World Bank) for the purpose of improving the global environment. GEF grants support projects in the areas of biodiversity, climate change, international waters, land degradation, the ozone layer, and persistent organic pollutants. Since its creation in 1991, the GEF has allocated $4.5 billion in grants to support more than 1,200 projects in 140 developing nations and countries with economies in transition. The GEF brings together countries from all over the world, including over 160 member governments, as well as other international organizations, bilateral development agencies, national institutions, non-governmental organizations, private sector entities and academic institutions.
|
|
 |
|
|
|
Watch this space for upcoming features.
|
|
|
|
|
|
|
