Businesses are allowed to buy gas-fired power plants for loans of 5-7-9%
19 June 2024 16:36
The Cabinet of Ministers has expanded the scope of the state programme “Affordable Loans 5-7-9%” and allowed entrepreneurs to buy and install gas-fired power generation units using the programme’s loans, "Komersant Ukrainian" reports
The limit of concessional lending is UAH 150 million per borrower, and the loan term is up to 10 years.
Entrepreneurs will be able to use the funds received under the programme to finance the construction and installation of gas turbine, gas piston and biogas generating units.
The Affordable Loans 5-7-9% programme also provides entrepreneurs with the opportunity to use the loan funds to purchase solar and wind power plants, as well as equipment for the storage of electricity.
The government hopes that with the liberalisation of the NBU’s monetary policy (discount rate is 13%) and an increase in lending to this sector, businesses will be able to quickly increase their own electricity production, and, as a result, the small distributed generation market will develop more actively.
“The government understands that it is important for businesses to ensure the continuity of their production process even during power outages. That is why today we are introducing an additional tool – we are expanding the capabilities of the state programme “Affordable Loans 5-7-9%” so that entrepreneurs can purchase gas-fired generating units with credit funds. This way, manufacturers will be able to improve their energy efficiency and energy sustainability,”
– said Yulia Svyrydenko, First Vice Prime Minister and Minister of Economy.
