The European Investment Bank (EIB) is lending EUR 19.5 million – the second tranche of an approved EIB loan of EUR 42 million – to finance the second phase of the refurbishment programme for multi-family housing in the Sector 4 municipality in Bucharest.

Investments under the first tranche of EUR 22.5 million signed in October 2014 are under implementation. The EIB funds will enable the Municipality of Sector 4 to continue its priority energy efficiency programme for residential buildings, financed by the EIB in 2012. The project is expected to result in around 50% savings in the heating energy consumption of the buildings concerned. In the current phase of the programme which targets energy savings totalling some 74 GWh per year once fully implemented, 140 buildings comprising 9 500 apartments are being refurbished.

The expected project cost amounts to EUR 56 million. In order to support this important energy efficiency project in Bucharest, the Bank’s contribution has been raised to 75% of the project’s cost, in line with guidelines for investments aimed at reducing energy consumption and mitigating climate change.

The EIB loan will contribute to increasing the quality of life of Bucharest’s citizens. In addition, it will help to implement the National Energy Efficiency Action Plan of Romania in the area of thermal rehabilitation of multi-storey buildings and will support Romania’s effort to fulfil its commitments under the EU Energy Performance in Buildings Directive.

This project is a continuation of the fruitful cooperation of the EU bank with various sectors in Bucharest. To date, the Bank has provided some EUR 400 million to finance the energy efficiency refurbishment of multi-apartment buildings in Bucharest.