OREANDA-NEWS.  January 31, 2013. In 2013 MEGABANK, PJSC plans to issue USD 10 million loan funds under the "Financing energy efficiency projects" program. This was announced to reporters by the Chairman of bank’s Management Board Elena Zhukova during a press conference devoted to the presentation of the program, reported the press-centre of MEGABANK.

This program is being implemented in cooperation with Green for Growth Fund, Southeast Europe (GGF) which provided that the above said funds under the five-year loan agreement. MEGABANK is the first Ukrainian bank with which GGF realizes a project in Ukraine. "We plan to issue five credits per month with average volume of 200 thousand euros each. As part of the project would be considered small, medium and large businesses, as well as public", – said Elena Zhukova.

She said that the projects aimed at improving energy efficiency and reducing carbon emissions will be credited. It is expected that within the projects energy consumption and CO2 emissions will be reduced by at least 20%. "Businesses can be offered with projects for replacement of outdated equipment with modern, warmth-keeping of workshops, installing boilers with high efficiency. It is possible funding of project to replace systems of internal and external lighting to more efficient, upgrading of heating systems. But we should not only set of draft to the idea of reducing energy consumption. We should pay more attention to the modernization of the equipment, which in addition to reducing energy consumption will increase the quality and labour productivity", – said Elena Zhukova.

Loan agreement with GGF provides for the technical assistance to participants. It includes consulting services in all areas. One of them is marketing of loans for energy efficiency, the development of credit products and organization of their sales. MEGABANK implements this line together with the specialists of Frankfurt Business School of Finance and Management (Germany). Energy-calculator, which was specifically designed to assess the reduction of energy consumption, allows the bank to calculate projects amounting to 500 thousand euros.

Within the scope of technical assistance to the bank the company "Ecological Systems" (Zaporozhye) will provide services of energy audit, which is required for nonstandard projects and projects worth over 500 thousand euros. "Consulting firms have been selected on a competitive basis, they are the best experts in this industry", – said Elena Zhukova.

According to her timing of decisions on granting loans and terms of issue are minimal 7-10 days after application. The credit funds will be given for 5-7 years.

MEGABANK has already implemented a number of loan projects with international capital. 40% of the loan portfolio of the bank accounts for small and medium businesses. Together with the European Bank for Reconstruction and Development (EBRD) the five-year project on energy efficiency and conservation under the UKEEP program is being implemented, under which 17 loan agreements have been already signed for USD12 million.

As the head of a project on technical assistance of GGF, Mark Lutz, has noticed now bankers are increasingly learn the role of consultants for their clients. In this matter MEGABABK is being provided with the expert help of GGF. Trainings and workshops, master classes on how to work with clients were held for the bank’s employees. Work of consultants is financed under the program.

"It is necessary to show business that energy efficiency is not only energy savings. For Ukraine, where there are a lot of old equipment, it will give an incitement to the development of innovative production through the application of new technologies. In developed European countries, where equipment is already pretty perfect, the effect of similar programs will be less noticeable", – said Mr. Lutz.

Reference. PJSC "MEGABANK" has been operating on the banking services market since 1990. Its shareholders include European Bank for Reconstruction and Development (EBRD), German state bank (KfW) and International Finance Corporation (IFC).

As of January, 1, 2013 the regional network of MEGABANK accounts for 189 branches in 24 regions of Ukraine. Bank's assets make UAH 4,840 mln., loan and investment portfolio – UAH 3,849 mln., the equity is UAH 739 mln., profit in 2012 made UAH 1,943 thousand.

MEGABANK provides a full range of classical banking services used by 484,000 customers. The specific feature of MEGABANK – a unique banking product the Integral Clearing Center (ICC) for payment for housing and communal services, which has been developed and implemented in nine regions of Ukraine. Through a system of the ICC of  MEGABANK over 2 million Ukrainian households (12% of all taxpayers of Ukraine)pay for utilities.

The aim of work the GGF (http://www.ggf.lu) – granting loans for projects aimed at improving of energy efficiency and expansion of renewable energy market in South East Europe. The ultimate goal of GGF is to reduce energy consumption by at least 20% and reduction in carbon emissions by at least 20%. GGF loans are aimed at the productive sectors of the economy and the heavy industry, where a large-scale program to replace outdated and energy-intensive (inefficient) equipment should be implemented.