Feasibility Study and Green Climate Concept Note preparation for Renewable Energy Financing Facility in the Republic of Moldova
Feasibility Study and Green Climate Concept Note preparation for Renewable Energy Support Scheme Financing Facility in the Republic of Moldova
The Nordic Environment Finance Corporation (NEFCO) in cooperation with Moldovan partners, primarily the Ministry of Economy and Infrastructure Development, is considering financing a renewable energy support schemes financing facility (“Facility”) in the Republic of Moldova (“Moldova”). NEFCO undertakes a Feasibility Study and a Green Climate Fund (“GCF”) Funding Proposal for this initiative. As an international financial institution, NEFCO has been working in Moldova since it signed a Framework Agreement with the Republic of Moldova in June 2017. In 2019 NEFCO launched the Energy Saving Credits Facility in Moldova, offering small-scale soft loans to the municipalities for investments in energy efficiency in social objects (day-cares, schools, hospitals) as well as street lighting.
The study included the following:
- Sector analysis including Barrier analysis (regulatory, economic), assessment of tariffs/affordability and addressable target market size;
- Banking sector analysis including interviews with all leading actors (with respect to current lending conditions, how barriers will be overcome (choice of instrument, currency), and capacity building needs);
- Assessment of financial instruments (e. g. loans, guarantees) leading to Financing Structure;
- Economic/financial analysis model to include potential stress scenarios;
- Institutional arrangements and regulatory requirements;
- Exit strategy and sustainability;
- Log frame and Monitoring, Reporting and Verification protocols (“MRV”) (including results management framework);
- Risk assessment and management (to review and update);
- Assessment against GCF Investment Criteria (anticipating the work of the independent Technical Advisory Panel).