5th March 2022, Skopje – Ministry of Finance is implementing Public Sector Energy Efficiency Project through MSIP Project Unit, funds in the amount of EUR 25 million being provided therefore with the support of the International Bank for reconstruction and Development – World Bank. In this stage, the funds will be used for improvement of energy efficiency of 18 healthcare facilities, as well as facilities for which 17 municipalities have submitted 54 projects.
Today is the World Energy Efficiency Day which, this year, is celebrated during energy crisis in full swing, which crisis has shown us how important it is to prudently use the energy and to reduce the costs.
Reducing the electricity consumption in the public sector by using renewable sources of energy, as well as establishing Energy Efficiency Fund, are the key objectives of this Project.
Out of total EUR 25 million loan, EUR 5 million is investments envisaged in healthcare facilities, with EUR 10.5 million as investments in municipal projects.
Under the Project, 18 healthcare facilities have already undergone the first seismic screening and will become energy efficient. University clinics and healthcare centers are among the respective facilities.
In addition to EUR 5 million investments in healthcare facilities, EUR 10.5 million is also envisaged for energy efficiency projects in the municipalities.
17 municipalities applied with 54 projects on the public call, most of which include facilities of education institutions, i.e. schools. Municipalities having applied at the public call are Mogila, Kavadarci, Ohrid, Lozovo, Debrca, Dojran, Valandovo, Gostivar, Resen, Kichevo, Centar, Demir Kapija, Pehchevo, Struga, Rankoce, Kisela Voda and City of Skopje. Financial support for local government units amounts to 100% of the project value, with 80% of the investment as sub-loan and 20% as grant funds. Repayment period is 7 to 12 years, including 3-year grace period and an interest rate equal to the interest rate of the Republic of North Macedonia to the World Bank.
Moreover, under the Second Municipal Services Improvement Project, 36 municipalities have been extended funds under favourable terms and conditions to implement their capital infrastructure investments. 37 sub-loan agreements have been signed for implementation of 42 sub-projects totaling EUR 19.2 million. Out of them, 24 municipalities have completed their agreements.
The Project provides for financing capital projects of municipalities in the field of water supply, sewerage and waste water treatment, energy efficiency, street and road modernisation and reconstruction, procurement of vehicles for the public utility enterprises, as well as construction of kindergartens, green markets, infrastructure in the industrial zone, etc.).
Implementation of these projects is expected to contribute to a sustainable development and improved living conditions for the citizens in general.