SOURCE: AB Svensk Exportkredit

May 19, 2008 04:39 ET

SEK: SEK helps the industry in Ukraine to save energy

STOCKHOLM, SWEDEN--(Marketwire - May 19, 2008) -

Commissioned by the European Bank for Reconstruction and Development (EBRD), SEK is heading the UKEEP project (Ukraine Energy Efficiency Programme) - a project aimed at significantly reducing the energy consumption of Ukrainian companies and also reduces the industries negative emission effect to the environment. The project has so far been very successful and the energy savings already amount to nearly 900 000 MWh and 230 000 tonnes of CO2 annually.

At present, a typically company in Ukraine uses about three times as much energy as their EU counterparts. In order to reduce the Ukrainian industry's energy costs, increase its competitiveness, and not the least significantly reduce the negative impact on the environment, the EBRD decided to launch the energy efficiency initiative UKEEP. SEK (The Swedish Export Credit Corporation) acts as overall project manager. The Ukrainian participating banks are Kreditprombank, Ukreximbank and Bank Forum.

So far, UKEEP has financed a number of projects with a total value of about USD 50 million with considerable success. The currently financed projects will reduce consumption of gas, oil, and coal equivalent to nearly 900 000 MWh annually. This figure corresponds to the annual consumption of household electricity of 200 000 average EU households, equivalent to a city with 500 000 inhabitants for example central Helsinki and central Dublin. In addition, the projects will avoid annual emissions of CO2 by 230 000 tonnes, which equates to 100 000 cars.

- The accomplishments we see are not only positive for the individual companies who are considerably reducing their costs, or Ukraine which gains a more competitive industry. The global environmental effort is also a winner. We have shown that the savings can be very high even with limited investments. We prove that improvement of the environment and economic development can be achieved simultaneously, says the project manager Anders Lund, Senior Manager, SEK Advisory Services - Project Finance.

The key to success for UKEEP is to educate the local bank officers in the types of financing required and to increase the awareness among potential borrowers that energy efficiency investments increase their competitiveness. In addition, financing from external technical assistance funds from Sida enables UKEEP to offer consultancy services free of charge to Ukrainian companies without sufficient competence or resources to evaluate their options themselves.

For additional information, please contact Anders Lund, Senior Manager, SEK Advisory Services - Project Finance, +380 44 502 24 15, or, Johan Winlund, Head of Communications at SEK, +46 8 613 84 88.

SEK's mission is to secure access to financial solutions for export and infrastructure. SEK offers a wide spectrum of financial solutions, ranging from standardized loans to innovative and complex financial products. SEK's operations are based on commercial interests. SEK's main source of financing is the issuing of bonds on the international capital markets. SEK's rating from Standard & Poor's and Moody's are AA+/Aa1 respectively for long-term debt. For more information, visit

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