EU/EBRD
Energy Efficiency Finance Facility - EUEEFF
Application Procedure
Procedure
How to apply - (project cycle diagram)
Step 1. Application: Applicant should send to the Project Office a completed Application Form in Bulgarian or English, signed by a person with signature authority for the company. The Application form should be sent to the attention of “EnCon EUEEFF Program Administrator”, including electronic copies of the documents, either on CD/diskette or by electronic mail, if available.
Step 2. Initial Eligibility Check. Within 10 working days of receiving an Application Form and all required supporting documentation, the Project Team will notify the Applicant of its decision regarding initial project eligibility in writing. If documents or/and information required in the Application Form are missing or are insufficiently clear for a determination to be made, the Project Office will contact the Applicant to provide this information. An initial eligibility decision will only be made when all of the required information is submitted.
Initial eligibility determination will be based on 3 items:
- Type of project
- Compliance with the relevant environmental legislation, especially but not restricted to the Habitat Directive on the assessment of the effects of certain public and private projects on the environment.
- Industry Sector Indicator - Calculation of the Industry Sector Indicator, using information provided by Sub-borrower in Application: The energy savings of a Sub-project, expressed as an Industry Sector Indicator (ISI) which is calculated by the EnCon, shall be greater than or equal to the national requirements of Bulgaria for this type of project. In the absence of a national requirement, the ISI shall be no less than 0.20.
ISI = ESR + ½ ERR
Industry Sector Indicator (“ISI”) see Glossary
Initial eligibility determination is not a guarantee of receiving a loan and incentive fee under the programme. Only after the REUP is completed, and the project complies with required environmental issues, and a minimum Internal Rate of Return (IRR) for the Sub-project, of 10% (unless otherwise agreed by EBRD and the PB), can final determination of eligibility for financing and grant funding be made.
Step 4. Letter of Engagement/Waiver Letter. Upon confirmation of initial eligibility and prior to commencing the work on an REUP, the prospective Sub-borrower is required to submit a Letter of Engagement/Waiver Letter indemnifying and holding the EBRD harmless against any losses, claims, damages or liabilities to which the Bank may become subject in or as result of providing the services. As a Sub-project may only benefit from one EC grant payable to the Sub-borrower, the Sub-borrower will be required to declare in writing that it has not received any other EC grant support for the same Sub-project.
Step 5. Term Sheet. Upon submission of the Letter of Engagement/Waiver Letter, the Applicant should negotiate a term sheet directly with the selected Participating Bank. A copy of the Term Sheet must be submitted to EnCon.
Step 6. REUP Development. Once a positive initial eligibility determination has been made, a signed Letter of Engagement/Waiver Letter submitted and a term sheet obtained from a participating bank, the Project Team will start the REUP development process. Once an REUP is completed, then the Project Team submits the REUP to the participating bank, which will then make a determination of whether it is willing to go forward with financing the project, independently of the project team.
Appeals Process
- If an Applicant disagrees with a negative initial or final eligibility determination, he has the right to appeal the decision. Within 30 days of receiving the initial determination, he may appeal the decision by submitting a letter stating the case for reconsideration to: Dr. Plamen Gramatikov, Deputy Project manager EUEEFF, EnCon Services Ltd., 135B Rakovski Str., Entrance 2, Floor 5, Sofia 1000, tel/fax 02/988 00 52 and 02/988 00 53, email: pgramatikov@enconservices.com. Any supporting documentation will also need to be submitted. A written response to the appeal (by electronic mail or fax) will be made within 15 days of receiving the appeal request.
- If the Applicant still does not agree with a negative decision at the first level of appeal, he may appeal a second time to the funding agency, the European Bank for Reconstruction and Development (EBRD) through its Operations Leader for this project: Operation Leader Technical Co-operation, European Bank for Reconstruction and Development (EBRD), One Exchange Square, London EC2A 2JN, United Kingdom, fax +44 20 7338 6942. The second appeal will only be considered if it is done within 30 days of the date of the first appeal response letter. To appeal at the second level, the Applicant should provide an English language copy of the original application, a copy of his first appeal letter and the written response from Dr. Gramatikov. The EBRD will consider the final appeal letter within 30 days and will inform the Applicant of its decision in writing. Should the decision remain negative, then the Applicant can appeal no further.
If the Applicant receives a negative determination of eligibility after direct consultation with EBRD, the Applicant’s appeal will be directed to EBRD by the Project Team at the first level of appeal, rather than going through the two-stage process.
Project cycle diagram
Progrаmmе project mangers are on hand to offer additional information. office@enconservices.com
Address: Rakovski 135 entr. 2, 1000 Sofia, Tel +359 (2) 9880052; +359 (2) 9880053
© 2009 EnconServices International (Disclaimer) Last modified: 2009-10-19
