EBRD lends € 18 million to support coal transition in Kragujevac, Serbia
BELGRADE (Serbia), July 2 (SeeNews) – The European Bank for Reconstruction and Development (EBRD) has granted an 18 million euro ($ 21.3 million) loan to the Serbian town of Kragujevac for decarbonization of its district heating system, the lender said Friday.
The loan will finance the dismantling of the coal-fired boilers of the city’s district heating system, the installation of new natural gas boilers and the rehabilitation of an open-cast ash disposal site, the EBRD said in a statement.
The funding will be complemented by technical support to the district heating company to help further decarbonize the heat supply and introduce renewable energy sources, the bank said.
âThe EBRD has worked with the government on the development of projects leading to decarbonization and the introduction of renewable energies in district heating systems and we hope that Kragujevac will be one of the first cities in Serbia to achieve these goals. . The new project responds to the urgent problem of air pollution and we hope it will pave the way for a greener and healthier future for the city, âsaid Matteo Colangeli, EBRD Regional Director for the Western Balkans and head of Serbia, in the statement.
The project is expected to have enormous environmental benefits, including reducing emissions of carbon dioxide from the heating system by 66%, sulfur dioxide by 100%, nitrous oxide by 89% and particulate matter by 100%, as well. that water savings of 55%, the EBRD noted.
In coordination with the European Union, the EBRD will also support Serbia in the preparation of a national energy and climate plan which will set targets for reducing emissions, increasing energy efficiency and increasing share of renewable energy sources by 2030.
($ = 0.8451 euro)