The mission of the Green for Growth Fund, Southeast Europe is to contribute, in the form of a public private partnership with a layered risk/return structure, to enhancing energy efficiency and fostering renewable energies in the Southeast Europe Region including Turkey and in the European Eastern Neighbourhood Region, predominantly through the provision of dedicated financing to businesses and households via partnering with financial institutions and direct financing.
GGF is a unique public-private partnership established in December, 2009 to promote energy efficiency in its target region and to reduce CO2 emissions. GGF's investments seek to achieve a 20% reduction in energy consumption and/or a 20% reduction in CO2 emissions, by:
Refinancing Financial Institutions (local commercial banks, non-bank financial institutions such as microfinance institutions and leasing companies and other selected financial institutions) providing loans to households, businesses, municipalities and public sector for energy efficiency measures or renewable energy projects. Investments through Financial Institutions will constitute the majority of GGF's investments.
Providing direct financing to Non-Financial Institutions (energy service companies, renewable energy companies or projects, small scale renewable energy and energy efficiency service and supply companies) that meet GGF energy saving and/or emissions targets, and comply with the technical criteria and GGF exclusion list.
As an initiative of international financial institutions already active in the area of energy efficiency and renewable energy in the region, the Fund is designed to be complimentary to existing programmes and funding sources and contribute to further innovations in financing and expanding the industries in Southeast Europe.
GGF also seeks to increase awareness of the importance and impact of energy efficiency and renewable energy in its Target Partners, and to develop the capacity of its investees in this area and, to a lesser extent, the market in general. This is achieved through dedicated projects organised and financed by the Fund's Technical Assistance Facility.