The European Investment Bank (EIB) has announced a commitment to provide €17.5 billion in funding over the next three years, supported by the European Commission, to enhance energy efficiency for small and medium-sized enterprises (SMEs). This initiative aims to support more than 350,000 businesses, encouraging them to adopt energy efficiency and decarbonisation measures. The programme will utilise a mix of existing and new financial products, including debt and equity instruments.
Announced by EU Commissioner for Energy & Housing Dan Jørgensen and EIB Group President Nadia Calviño, the initiative will see the EIB Group collaborate with private sector partners to establish dedicated investment platforms that specifically target SME energy efficiency projects. The overarching goal is to mobilise over €65 billion in investments for SME energy savings by 2027.
Jørgensen emphasised the critical role of SMEs in Europe’s economy, noting their current investment in energy efficiency is only half that of larger companies. He stated that the EIB initiative, supported by the Commission, will be pivotal in closing the investment gap, simplifying access to financing, and expediting the deployment of energy efficiency solutions. “With more energy-efficient SMEs, we boost our economy, benefit our climate, and maintain a healthy heartbeat in communities across Europe,” he said.
The EIB will introduce a new “one-stop-shop for energy efficiency for SMEs,” offering a single entry point that integrates the full EIB Group intermediated lending offering, aiming to simplify engagement and accelerate implementation. Additionally, the Commission has launched a dedicated working group under the European Energy Efficiency Financing Coalition. This group will focus on addressing barriers and developing financing solutions tailored to the needs of small businesses across Europe.
Calviño highlighted the significance of this initiative, describing it as a major advancement in supporting companies to reduce energy costs. She noted that since SMEs form the backbone of the EU economy, this step is also crucial for enhancing Europe’s competitiveness.
