Removing Barriers to Energy Efficiency Improvements in the State Sector in Belarus
Country: Belarus
Duration: 48 Month
Implementing Agency: United Nations Development Programme
Executing Agency: Belarus Committee on Energy Efficiency
Cooperating Agency: United Nations Economic Commission for Europe
GEF Grant: $1.4 million
Government Inputs: $8.27 million (including $150,000 in-kind)
UNECE Inputs: (in-kind) $ 100,000
Total Cost of the project: $9.77 million
Brief Description: The goal of the project is to reduce greenhouse gas emissions directly by approximately 1.14 million tons of CO2 equivalent over 15 years by catalyzing current investments in energy efficiency in the state sector of Belarus. The project will target municipalities and state and communal enterprises in the district heating and combined heat and power sectors. The main objective of the project is to increase internal investments in energy efficiency projects in the state sector with the assistance of the Energy Centre created in the process of project implementation. Specific objectives include the following: (1) Strengthen institutional capacity to support energy saving in the state sector; (2) Establish a track record for investments in sustainable energy efficiency projects in the state sector; (3) Develop straightforward financial “starter” mechanisms in a challenging investment climate to promote investments in the state sector; and (4) Overcome negative perceptions of incentives for energy saving in the state sector and provide local authorities and state enterprises with much-needed market information and training. In order to strengthen institutional capacity to support energy saving in the state sector, the project will establish an energy efficiency organization, the Energy Centre, which will provide consulting services in energy efficiency to state organizations. Related project activities will include creation of the centre as a legal entity, selection of its staff, and training for its staff provided by international consultants.
The project’s strategy addresses capacity and awareness issues amongst state enterprises and local authorities by building capacity to provide information and consulting services, and training to local authority and state enterprise employees in energy efficiency. The Project team will assess opportunities of local bank loans for energy efficiency investment projects. Expected outcomes of the project include the following: (1) Increased incentives for state (budget) organizations to invest in energy efficiency; (2) Financial resources available to the state sector for energy efficiency investments are used more efficiently; (3) Project successes throughout Belarus sustained and replicated.
