Energy efficiency is a key component of the European Union’s energy policy as it is considered crucial for competitiveness, energy security and to meet international goals on climate change. Reaching the EU targets on greenhouse gas reductions and energy savings, however, requires major investments, including a scale-up of commercial financing.
To address the limited access to adequate and affordable commercial financing for energy efficiency investments, the European Investment Bank (EIB) and the European Commission have jointly developed the Private Finance for Energy Efficiency (PF4EE) instrument. The instrument’s core objectives are to
- Make energy efficiency financing a more sustainable activity across European financial institutions; and
- Increase the availability of debt financing for energy efficiency investments